VONG and RZG offer distinct paths for growth investors, with VONG focusing on established large-cap leaders and RZG targeting revenue-weighted small-cap opportunities.
VONG provides low-cost exposure to large-cap U.S. growth stocks with heavy technology concentration.
RZG offers revenue-weighted small-cap growth exposure with higher volatility and strong one-year returns.
Nvidia is VONG's largest holding at 15.5% and a past Motley Fool recommendation with massive returns.
Alphabet is VONG's second-largest holding at 10.72%.
Apple is a top VONG holding at 7.5%.
ACM Research is RZG's top holding at 2.1%.
Protagonist Therapeutics is a top RZG holding at 2.01%.
Dave is a top RZG holding at 2.01%.
Investors choosing between the Vanguard Russell 1000 Growth ETF (VONG) and the Invesco S&P SmallCap 600 Revenue ETF (RZG) must weigh large-cap stability against small-cap growth potential. While VONG offers low-cost exposure to tech giants like Nvidia and Alphabet, RZG provides a revenue-weighted approach to smaller, more volatile companies in the healthcare and industrial sectors.
The primary difference is market capitalization; VONG tracks large-cap U.S. growth stocks, while RZG focuses on a revenue-weighted subset of small-cap companies.
Vanguard's VONG is more cost-effective, featuring an expense ratio of 0.06% compared to the 0.35% expense ratio of Invesco's RZG.