TOP 10 GROWTH ETFS IN 2023

Growth ETFs hold stocks of companies with exceptional growth rates in various industries, that exhibit consistent growth in sales, cash flows, and share prices.

Throughout different economic scenarios, the performance dynamics between growth and value stocks have displayed noteworthy variations. For instance, during the period of recovery following the 2013 emerging markets crisis, value stocks experienced a significant surge in performance, outpacing growth stocks.

In contrast, during the 2016 commodities downturn and subsequent economic uncertainty, growth stocks demonstrated resilience and delivered superior returns compared to value stocks.

More recently, with the world economy recovering from the 2020 Covid-19 recession, growth stocks once again proved their strength and outperformed value stocks in the current year.

These examples underscore the importance of understanding market trends and adjusting investment strategies to align with prevailing economic conditions. Investors need to carefully consider growth and value stocks' potential based on the specific circumstances and outlook for each industry and region.

Here are the 10 top Growth ETFs in 2023

Ticker symbols in green are clickable

iShares S&P 500 Growth ETF (IVW)

Expense Ratio
0.18%
Dividend Yield
0.89%
Avg. Annual Return Since Inception
6.86%

iShares Morningstar Mid-Cap Growth ETF (IMCG)

Expense Ratio
0.06%
Dividend Yield
0.84%
Avg. Annual Return Since Inception
10.49%

Vanguard Russell 1000 Growth ETF (VONG)

Expense Ratio
0.08%
Dividend Yield
0.84%
Avg. Annual Return Since Inception
15.74%

Vanguard S&P 500 ETF (VOO)

Expense Ratio
0.03%
Dividend Yield
1.49%
Avg. Annual Return Since Inception
13.95%

Vanguard S&P Small-Cap 600 Growth ETF (VIOG)

Expense Ratio
0.15%
Dividend Yield
1.14%
Avg. Annual Return Since Inception
12.71%

WisdomTree International Hedged Quality Dividend Growth Fund (IHDG)

Expense Ratio
0.58%
Dividend Yield
2.58%
Avg. Annual Return Since Inception
9.66%

Invesco NASDAQ 100 ETF (QQQM)

Expense Ratio
0.15%
Dividend Yield
0.64%
Avg. Annual Return Since Inception
6.51%

Invesco S&P 500 GARP ETF (SPGP)

Expense Ratio
0.33%
Dividend Yield
1.06%
10 Y Avg. Annual Return
15.27%

First Trust Nasdaq 100 Equal Weighted ETF (QQEW)

Expense Ratio
0.58%
Dividend Yield
0.59%
10 Y Avg. Annual Return
13.75%

SPDR Portfolio S&P 500 Growth ETF (SPYG)

Expense Ratio
1.04%
Dividend Yield
1.02%
10 Y Avg. Annual Return
5.03%

What indicators should investors consider when choosing the best growth ETFs?

Expense Ratio: A low expense ratio is essential as it directly impacts your overall returns. Look for ETFs with lower expense ratios, as they can significantly impact your long-term investment results.

Average Annual Return: Evaluate the ETF's historical performance, considering its average annual return over different time frames. A track record of consistent and strong returns is a positive sign.

Dividend Yield: Growth ETFs typically prioritize reinvesting profits for expansion rather than paying dividends. However, some may still offer dividend yields. Consider whether dividend income aligns with your investment goals.

Holdings and Diversification: Examine the ETF's holdings and ensure it provides diversified exposure across various industries and sectors. Diversification reduces single-stock risk.

Fund Size and Liquidity: Choose ETFs with sufficient assets under management and trading volume to ensure liquidity, allowing you to enter and exit positions efficiently.

Investment Strategy: Understand the ETF's investment approach and whether it aligns with your risk tolerance and investment objectives.

Index Methodology: If the growth ETF tracks an index, study the index methodology to grasp how the fund selects and weights its constituents.

By considering these indicators, investors can make informed decisions and select growth ETFs that align with their financial goals and risk appetite.

Dividend Yield
0.78%
Avg. Annual Return Since Inception
15.74%

Avg. Annual Return Since Inception (May 2014)
9.0%