Look no further than VGT vs QQQ. Vanguard’s Information Technology ETF (VGT) and Invesco’s QQQ ETF are the two best ETFs for technology, giving investors an excellent opportunity to slice the tech portion of the stock market.
If you look closely, VGT and QQQ are slightly different in allocating their stocks. Even though both are considered tech stocks, VGT is more of a tech ETF than QQQ.
An ETF is an exchange-traded fund. It is like a mutual fund, but it is traded like a stock. Mutual funds are traded at the end of the day, and an ETF will be traded during the day as if it was a stock.
VGT is a Tech ETF that tracks the MSCI USA IMI Information Technology 25/50 index. It is one of the most diverse market cap-weighted tech ETFs that gives you plain vanilla exposure to the tech industry.
Vanguard Information Technology ETF (VGT) Overview:
Invesco QQQ ETF (QQQ) OverviewInvesco QQQ ETF is one of the most traded and popular ETFs. It is second to liquidity and popularity to SPY, an S&P 500 ETF. QQQ is one of the most excellent tech ETFs because it is popular and tracks the Nasdaq 100.
Several differences distinguish VGT from QQQ. They are not identical, and both have different philosophies on investing. VGT tracks the MSCI USA IMI Information Technology 25/50 Index, while QQQ tracks the Nasdaq 100.