IYW vs. VGT - ETF Comparison
IYW - iShares U.S. Technology ETF
The iShares U.S. Technology ETF provides diversified exposure to the U.S. technology sector, offering a low-cost way to invest in a dynamic industry. With a broad scope of over 140 holdings, the fund tracks the Dow Jones U.S. Technology Index, giving investors access to a range of technology companies. While it may be too granular for long-term, buy-and-hold portfolios, it can be a useful tool for tactical investors seeking to increase their tech sector exposure.
VGT - Vanguard Information Technology ETF
The Vanguard Information Technology ETF (VGT) tracks a broad index of US-based companies in the information technology sector, covering software, consulting, and hardware. The fund provides diversified exposure to the tech sector, with a focus on large-cap companies, making it a relatively stable investment option.
| IYW | VGT | |
|---|---|---|
| Fund Name | iShares U.S. Technology ETF | Vanguard Information Technology ETF |
| Fund Provider | BlackRock | Vanguard |
| Index | Dow Jones U.S. Technology Index | MSCI US IMI 25/50 Information Technology |
| Asset Class | Equity | Equity |
| Listing | US-listed | US-listed |
| Expense Ratio | 0.40% | 0.10% |
| Inception Date | 2000-05-15 | 2004-01-26 |
| Number Of Holdings | 142 | 323 |
| Region | United States | United States |
| Investment Style | Growth | Growth |
| Market Cap | Large-Cap | Large-Cap |
| Sector | Technology | Technology |
| Leveraged | Non-leveraged | Non-leveraged |
Select Timeframe
Key Metrics
Performance Metrics
Risk Metrics
Detailed Returns
Benchmark Comparison
Key Metrics
Performance Metrics
Risk Metrics
Detailed Returns
Benchmark Comparison
Performance Analysis
The performance analysis examines historical data to assess the returns of the investment strategy, including key metrics such as Cumulative returns, End of Year (EoY) returns, and risk-adjusted returns like the Sharpe ratio or the Sortino ratio.
Cumulative Returns
End of Year Returns Table
End of Year Returns
Risk Analysis
The risk analysis refers to an assessment of potential negative events that could lead to a loss of capital. Conducting a risk analysis can help in deciding whether an investment should be made. This is done using risk metrics such as drawdowns, volatility and beta which reflect stakeholders' confidence in the consistency of an investment strategy.
Drawdowns
Drawdowns Table
Monte Carlo Simulation
The Monte Carlo simulation is a statistical method used to forecast portfolio returns by generating a wide range of potential outcomes through random sampling from historical asset price data. It helps investors assess the potential risk and return of a portfolio under various market conditions. The simulation takes into account the initial investment and optionally simulates cash flow scenarios like fixed contributions, fixed withdrawals, or percentage withdrawals.
IMPORTANT: The forecast generated through Monte Carlo simulations is purely hypothetical and does not guarantee future returns. Investment decisions should be made with consideration of various factors, and past performance is not indicative of future results.