Average Daily Volume
3.19M
Fund Overview
The Vanguard Value ETF (VTV) is an exchange-traded fund that seeks to track the performance of the CRSP US Large Cap Value Index. This index measures the investment return of large-capitalization value stocks in the United States. VTV provides investors with exposure to established companies that are considered undervalued based on fundamental metrics such as price-to-book, price-to-earnings, and dividend yield. The fund is designed for long-term investors seeking income and capital appreciation through value stocks, which are typically less volatile than growth stocks during market downturns. With a low expense ratio and broad diversification across sectors, VTV is a cost-effective way to gain exposure to the value segment of the U.S. equity market.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
No
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 2.09 %
- Currency Hedged
-
No
- Portfolio Turnover
-
9 %
- Dividend Date
-
Why Invest in the VTV ETF?
Potential Benefits
- Provides exposure to undervalued large-cap U.S. stocks with potential for long-term capital appreciation.
- Historically, value stocks have outperformed growth stocks over extended periods, particularly during economic recoveries.
- Low expense ratio of 0.04%, making it one of the most cost-effective value ETFs available.
- Diversified across multiple sectors, reducing single-stock or single-industry risk.
- Strong track record of dividend payments, appealing to income-focused investors.
- Managed by Vanguard, known for its investor-first approach and low-cost investment products.
Potential Risks
- Value stocks may underperform growth stocks during prolonged bull markets or periods of low interest rates.
- Concentrated exposure to financial and healthcare sectors, which could be vulnerable to regulatory changes.
- Market risk: All equity investments are subject to market fluctuations and potential loss of principal.
- Dividend payments are not guaranteed and may be reduced or eliminated by constituent companies.
- Limited exposure to high-growth sectors like technology, which may lead to relative underperformance in certain market conditions.
- Tracking error risk: While minimal, the fund may not perfectly replicate its benchmark index.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+4.6%
|
+3.8%
|
-4.8%
|
+5.4%
|
+2.5%
|
+3.4%
|
+0.9%
|
+2.2%
|
-3.5%
|
+0.5%
|
-
|
-
|
| 2025 |
+4.4%
|
+0.8%
|
-2.5%
|
-3.6%
|
+2.9%
|
+3.7%
|
+0.2%
|
+3.5%
|
+2.3%
|
-0.4%
|
+2.5%
|
+0.8%
|
| 2024 |
+0.9%
|
+3.3%
|
+5.2%
|
-3.9%
|
+3.0%
|
+0.2%
|
+4.7%
|
+2.9%
|
+1.5%
|
-1.4%
|
+5.6%
|
-6.4%
|
| 2023 |
+2.8%
|
-3.2%
|
-0.5%
|
+1.8%
|
-4.1%
|
+6.1%
|
+3.5%
|
-2.4%
|
-3.3%
|
-2.6%
|
+6.7%
|
+5.1%
|
| 2022 |
-1.1%
|
-1.2%
|
+3.3%
|
-4.8%
|
+2.4%
|
-7.9%
|
+5.1%
|
-2.7%
|
-7.8%
|
+11.7%
|
+6.0%
|
-3.3%
|
| 2021 |
-0.8%
|
+5.0%
|
+6.7%
|
+3.4%
|
+2.9%
|
-1.2%
|
+1.0%
|
+2.1%
|
-3.9%
|
+5.4%
|
-3.0%
|
+6.9%
|
| 2020 |
-2.5%
|
-9.7%
|
-14.9%
|
+10.7%
|
+2.9%
|
-1.0%
|
+3.7%
|
+4.2%
|
-2.2%
|
-1.8%
|
+12.8%
|
+3.5%
|
| 2019 |
+7.0%
|
+2.9%
|
+0.6%
|
+3.4%
|
-6.3%
|
+7.1%
|
+0.8%
|
-3.0%
|
+3.5%
|
+1.9%
|
+3.4%
|
+2.6%
|
| 2018 |
+4.7%
|
-4.4%
|
-2.4%
|
+0.4%
|
+0.6%
|
+0.2%
|
+4.7%
|
+1.9%
|
+0.6%
|
-5.0%
|
+3.3%
|
-9.1%
|
| 2017 |
+0.5%
|
+3.6%
|
-0.9%
|
0.0%
|
+0.1%
|
+1.8%
|
+1.5%
|
-0.5%
|
+3.0%
|
+1.8%
|
+3.5%
|
+1.7%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
BRK-B
|
BERKSHIRE HATHAWAY INC CLASS B |
3.5 % |
|
JPM
|
JPMORGAN CHASE & CO |
3.3 % |
|
XOM
|
EXXON MOBIL CORP |
2.2 % |
|
AVGO
|
BROADCOM INC |
2.1 % |
|
UNH
|
UNITEDHEALTH GROUP INC |
1.9 % |
|
WMT
|
WALMART INC |
1.9 % |
|
PG
|
PROCTER & GAMBLE CO |
1.8 % |
|
JNJ
|
JOHNSON & JOHNSON |
1.8 % |
|
HD
|
THE HOME DEPOT INC |
1.8 % |
|
ABBV
|
ABBVIE INC |
1.6 % |
Top 10 holdings shown, out of 341 total holdings.
Related ETFs: VTV vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
VTV tracks the CRSP US Large Cap Value Index, which includes stocks from the CRSP US Large Cap Index exhibiting value characteristics. The index uses multiple valuation metrics, including book-to-price, forward earnings-to-price, historical earnings-to-price, dividend-to-price, and sales-to-price ratios to identify value stocks. The fund holds approximately 350 stocks, weighted by market capitalization, and is reconstituted annually with quarterly rebalancing. VTV primarily invests in common stocks of U.S. companies, with financials, healthcare, and industrials typically representing its largest sector allocations. The passive management approach aims to closely track the index while minimizing costs and turnover.
Frequently Asked Questions
What is the difference between VTV and Vanguard's Growth ETF (VUG)?
VTV focuses on value stocks (companies considered undervalued based on fundamental metrics), while VUG invests in growth stocks (companies expected to grow earnings at an above-average rate). These two investment styles often perform differently across market cycles.
How often does VTV pay dividends?
VTV typically pays dividends quarterly, in March, June, September, and December. The dividend amount varies based on the payouts from the underlying stocks in the portfolio.
Is VTV suitable for retirement accounts?
Yes, VTV can be an appropriate holding for retirement accounts, particularly for investors seeking value exposure and dividend income. However, investors should consider their overall asset allocation and risk tolerance when including VTV in retirement portfolios.
Does VTV include international stocks?
No, VTV focuses exclusively on U.S. large-cap value stocks. Investors seeking international value exposure might consider complementary ETFs like VYMI (Vanguard International High Dividend Yield ETF).
How has VTV performed during market downturns?
Historically, value stocks and thus VTV have shown relative resilience during market downturns compared to growth stocks, though past performance doesn't guarantee future results. During the 2008 financial crisis, for example, value stocks declined but generally less than the broader market.
Industry Overview
The Vanguard Value ETF (VTV) provides exposure to the large-cap value segment of the U.S. equity market. Value investing focuses on companies that appear undervalued based on fundamental metrics, offering the potential for capital appreciation as their true worth is recognized by the market. This strategy often performs well during periods of economic recovery or when interest rates are rising. The financial sector typically represents a significant portion of value ETFs like VTV, along with healthcare and industrials. Investors considering VTV should understand that value stocks may experience periods of underperformance relative to growth stocks, particularly during technology-driven market rallies. However, over longer time horizons, value strategies have historically delivered competitive risk-adjusted returns.
Alternative Comparison
Compared to similar value ETFs like iShares Russell 1000 Value ETF (IWD) and Schwab U.S. Large-Cap Value ETF (SCHV), VTV offers a slightly different approach to value investing through its CRSP-based methodology. While all three funds target large-cap value stocks, VTV's expense ratio of 0.04% is lower than IWD's 0.19% and competitive with SCHV's 0.04%. VTV also tends to have slightly greater exposure to mid-cap stocks than some peers due to CRSP's market-cap definitions. Unlike some actively managed value funds that might use more aggressive valuation screens, VTV maintains a pure passive approach, which may appeal to investors seeking straightforward, low-cost value exposure without manager discretion in stock selection.
Issuer Overview
Vanguard is one of the world's largest investment management companies, known for its low-cost index funds and ETFs. Founded by John C. Bogle in 1975, Vanguard pioneered index investing for individual investors. The company operates as a client-owned structure, meaning the funds are owned by their shareholders, which aligns interests and helps keep costs low. Vanguard manages over $7 trillion in global assets and is recognized for its investor-first philosophy, long-term focus, and commitment to low expenses across its product lineup.
Conclusion
Vanguard Value ETF (VTV) represents a core holding for investors seeking cost-effective exposure to large-cap U.S. value stocks. Its low expense ratio, broad diversification, and Vanguard's reputable stewardship make it a compelling choice for both retail and institutional investors building long-term portfolios. While value investing requires patience and may experience periods of underperformance, VTV offers a disciplined approach to capturing potential value premiums over time. Investors should consider their time horizon, risk tolerance, and overall portfolio objectives when evaluating VTV as part of their asset allocation strategy.
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