 The
Utilities ETF Vanguard seeks to track the performance of the MSCI US
Investable Market Utilities Index, which measures the performance of
publicly traded utility companies in the United States. The fund is
managed by Vanguard, one of the largest investment management
companies in the world.
As of September 2021, the VPU ETF had a
net asset value of approximately $17 billion and held over 80
individual stocks. The fund's portfolio is diversified across various
sectors of the utilities industry, including electric utilities, gas
utilities, and multi-utilities.
Investing in utilities
companies may offer investors the potential for stable income and
steady growth, as these companies often have stable revenues and
earnings. However, investing in utilities may also expose investors to
regulatory risks, as utility companies are subject to government
regulation at both the federal and state levels.
The expense
ratio for the VPU ETF is 0.10%, which is relatively low compared to
some other sector-specific ETFs. This may make the VPU ETF an
attractive option for investors seeking exposure to utilities
companies at a low cost.
Overall, the Utilities ETF Vanguard
may be a suitable investment for investors seeking exposure to
publicly traded utility companies in the United States with the
potential for stable income and steady growth. However, as with any
investment, it is important to conduct your own research and consider
your investment goals and risk tolerance before investing in the fund.
Investors should also keep in mind the potential risks associated with
investing in utilities companies, including regulatory risks.
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