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News  ›  The Motley Fool

1 Risky ETF You Want to Avoid Buying in December

The Motley Fool Logo The Motley Fool By Stefon Walters
1 Risky ETF You Want to Avoid Buying in December

The Vanguard Information Technology ETF (VGT) has performed well in 2023, but carries high risk due to extreme concentration in three major tech stocks: Nvidia, Apple, and Microsoft, which collectively represent over 45% of the ETF's holdings.

Insights
VGT   negative

High concentration risk with top 3 stocks representing over 45% of ETF, making it vulnerable to performance fluctuations