Average Daily Volume
334.4K
Fund Overview
The Vanguard Mega Cap Value ETF (MGV) is an exchange-traded fund that seeks to track the performance of the CRSP US Mega Cap Value Index. This index comprises large-cap U.S. stocks that exhibit value characteristics, such as lower price-to-book ratios and higher dividend yields. MGV provides investors with exposure to established, undervalued companies with strong fundamentals, making it a suitable choice for those seeking long-term capital appreciation and income through dividends. The fund is passively managed, offering a low-cost way to gain diversified exposure to the mega-cap value segment of the U.S. equity market.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
Yes
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 2.04 %
- Currency Hedged
-
No
- Portfolio Turnover
-
13 %
- Dividend Date
-
Why Invest in the MGV ETF?
Potential Benefits
- Diversified exposure to undervalued mega-cap U.S. stocks with strong fundamentals.
- Lower expense ratio compared to many actively managed value funds, enhancing net returns.
- Historically, value stocks have outperformed growth stocks over long periods, offering potential for higher returns.
- Dividend-paying components provide a steady income stream, appealing to income-focused investors.
Potential Risks
- Value stocks may underperform growth stocks during bull markets or periods of high economic growth.
- Concentration in large-cap stocks may limit diversification benefits compared to broader market ETFs.
- Dividend-paying stocks can be sensitive to interest rate changes, potentially impacting performance.
- Passive management means the fund will not adjust holdings to avoid declining stocks.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+5.0%
|
+3.3%
|
-4.8%
|
+5.4%
|
+3.2%
|
+4.2%
|
-0.2%
|
+2.4%
|
-3.2%
|
+1.0%
|
-
|
-
|
| 2025 |
+4.7%
|
+1.4%
|
-2.3%
|
-4.0%
|
+2.6%
|
+3.9%
|
-0.4%
|
+3.4%
|
+2.5%
|
-0.3%
|
+2.5%
|
+0.8%
|
| 2024 |
+1.6%
|
+3.0%
|
+5.1%
|
-3.7%
|
+2.9%
|
+0.7%
|
+4.5%
|
+2.9%
|
+1.2%
|
-1.4%
|
+5.5%
|
-5.9%
|
| 2023 |
+1.7%
|
-3.1%
|
+0.3%
|
+1.9%
|
-3.8%
|
+5.5%
|
+3.5%
|
-2.1%
|
-3.0%
|
-2.3%
|
+6.2%
|
+4.7%
|
| 2022 |
-1.0%
|
-1.2%
|
+3.2%
|
-4.9%
|
+2.2%
|
-7.3%
|
+4.6%
|
-2.9%
|
-7.3%
|
+12.1%
|
+6.0%
|
-3.0%
|
| 2021 |
-1.0%
|
+4.4%
|
+6.6%
|
+3.2%
|
+2.9%
|
-0.9%
|
+1.1%
|
+1.9%
|
-4.1%
|
+5.8%
|
-2.9%
|
+6.9%
|
| 2020 |
-2.7%
|
-9.4%
|
-13.5%
|
+10.4%
|
+2.6%
|
-1.3%
|
+3.2%
|
+4.4%
|
-2.2%
|
-2.6%
|
+12.8%
|
+3.8%
|
| 2019 |
+6.4%
|
+2.7%
|
+0.6%
|
+3.3%
|
-6.0%
|
+7.0%
|
+0.8%
|
-2.8%
|
+3.3%
|
+2.2%
|
+3.5%
|
+2.6%
|
| 2018 |
+4.6%
|
-4.4%
|
-2.6%
|
+0.5%
|
+0.7%
|
-0.1%
|
+5.0%
|
+2.3%
|
+0.8%
|
-4.7%
|
+3.6%
|
-8.9%
|
| 2017 |
+0.2%
|
+3.6%
|
-1.0%
|
-0.2%
|
+0.2%
|
+1.8%
|
+1.6%
|
-0.5%
|
+3.1%
|
+2.0%
|
+3.4%
|
+1.6%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
JPM
|
JPMORGAN CHASE & CO |
4.2 % |
|
BRK-B
|
BERKSHIRE HATHAWAY INC CLASS B |
3.6 % |
|
XOM
|
EXXON MOBIL CORP |
2.7 % |
|
AVGO
|
BROADCOM INC |
2.6 % |
|
UNH
|
UNITEDHEALTH GROUP INC |
2.4 % |
|
WMT
|
WALMART INC |
2.4 % |
|
PG
|
PROCTER & GAMBLE CO |
2.3 % |
|
JNJ
|
JOHNSON & JOHNSON |
2.2 % |
|
HD
|
THE HOME DEPOT INC |
2.2 % |
|
ABBV
|
ABBVIE INC |
2.1 % |
Top 10 holdings shown, out of 138 total holdings.
Related ETFs: MGV vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
MGV tracks the CRSP US Mega Cap Value Index, which includes the largest U.S. stocks exhibiting value characteristics. The index is market-cap weighted, meaning larger companies have a greater influence on performance. The fund holds a diversified portfolio of stocks primarily from sectors like financials, healthcare, and consumer staples. MGV is rebalanced quarterly to maintain alignment with the index, ensuring consistent exposure to undervalued mega-cap stocks. The fund's passive management approach helps keep costs low while providing broad market exposure.
Frequently Asked Questions
What is the expense ratio of MGV?
MGV has a low expense ratio of 0.07%, making it one of the most cost-effective options for investing in mega-cap value stocks.
Does MGV pay dividends?
Yes, MGV pays dividends quarterly, as it holds many dividend-paying mega-cap stocks.
How does MGV differ from other Vanguard value ETFs?
MGV focuses specifically on mega-cap value stocks, while other Vanguard value ETFs like VTV include a broader range of market caps.
What sectors are most represented in MGV?
MGV's holdings are primarily in financials, healthcare, and consumer staples sectors, which are common in the value segment.
Is MGV suitable for long-term investing?
Yes, MGV is well-suited for long-term investors seeking exposure to undervalued mega-cap stocks with potential for capital appreciation and dividend income.
Industry Overview
The Vanguard Mega Cap Value ETF (MGV) focuses on the large-cap value segment of the U.S. equity market. Mega-cap value stocks are typically well-established companies with stable earnings and lower valuations compared to growth stocks. These companies often pay dividends, making them attractive to income-seeking investors. The financials, healthcare, and consumer staples sectors are commonly represented in this segment. Investing in MGV provides exposure to companies that may be undervalued by the market, offering potential for capital appreciation and income over the long term.
Alternative Comparison
Compared to its peers like VTV (Vanguard Value ETF) and IWD (iShares Russell 1000 Value ETF), MGV focuses specifically on mega-cap value stocks, offering more concentrated exposure to the largest undervalued companies. While VTV and IWD include a broader range of market caps, MGV's focus on mega-caps may provide more stability and lower volatility. Additionally, MGV's expense ratio is competitive, often lower than many actively managed value funds. Unlike some competitors that may use derivatives or synthetic replication, MGV holds physical securities, ensuring direct exposure to its underlying assets.
Issuer Overview
Vanguard is one of the largest and most respected investment management companies globally, known for its low-cost index funds and ETFs. The firm is a pioneer in passive investing, offering a wide range of products that cater to various investment strategies. Vanguard's commitment to low fees and investor-friendly policies has made it a favorite among both individual and institutional investors.
Conclusion
The Vanguard Mega Cap Value ETF (MGV) is a compelling option for investors seeking exposure to undervalued mega-cap U.S. stocks. With its low expense ratio, diversified holdings, and focus on value characteristics, MGV offers a cost-effective way to invest in large, stable companies with potential for long-term growth and income. While value investing carries certain risks, MGV's passive approach and Vanguard's reputation make it a reliable choice for both beginner and experienced investors.
Boost Your Returns with SectorSurfer
Award-winning investment strategy automation