The Vanguard Value ETF (VTV.P) is the third-largest ETF under the Vanguard Group and the sixth-largest ETF in the United States, with a fund size of $92.5 billion as of June 17, 2022. The fund was established on January 26, 2004. Three days later, it was listed on the New York Stock Exchange High Growth Market on January 30, 2004. The fund custodian is Brown Brothers Harriman Bank Limited. Performance, which measures the return on investment of blue-chip value stocks, its benchmark index is the CRSP U.S. Large Cap Value Index.
Vanguard Value ETF is one of the oldest value-based ETFs in the world and is a type of Smart Beta strategy. The ETF selects value-oriented stocks from American blue-chip stocks according to certain criteria as an index stock selection strategy. Its investment strategy It replicates the performance of a benchmark index by investing all or substantially all of its assets in the benchmark index constituents, each weighted roughly equal to its weight in the index.
With this simple strategy, the Vanguard Value ETF has achieved impressive results, outperforming its peers by a wide margin in both the short and long term. Wind financial terminal shows that as of June 21, the annual yield, 6-month yield, 1-year yield, 2-year yield, and 3-year yield for Vanguard Value ETF in 2022 are -10.36% respectively. , -8.03%, -2.11%, 35.2% and 2.08%, while similar funds were -17.56%, -15.43%, -9.96%, 18.61% and 17.59%, respectively, the yield of the former was 7.2 points higher than the latter , 7.4 points, 7.85 points, 17.11 points and 9.49 points, its performance perfectly traversed different market scenarios such as bulls and bears. For the full year, the Vanguard Value ETF performed equally well. According to Wind Financial Terminal, the Vanguard Value ETF has yields of -5.83%, 25.85%, 2.31%, and 26.48% in 2018-2021, compared with -9.57%, 28.31%, 7.35%, and 25.12% for similar funds.
The Vanguard Value ETF’s industry allocation, heavy holdings, and its top-ranked SPDR S&P 500 ETF, iShares Core S&P 500 ETF, Vanguard Total Stock Market, Vanguard S&P 500, and Invesco QQQ Trust Series 1 vary due to the index tracked , the latter ETFs basically track the S&P 500 index, so the hot technology stocks in the U.S. capital market are generally overweight in the funds, and the industry allocation is more inclined to information technology, while the Vanguard Value ETF has more allocations Considering industries where blue-chip stocks are relatively concentrated, such as healthcare, financial and industrial, and daily consumption, as of June 30, 2022, Vanguard Value ETF’s allocation to the above four industries was 22.79%, 19.33%, 11.92%, and 11.66%, respectively. The allocation ratio to information technology is only 8.25%; in terms of heavy holding stocks, the top five heavy holding stocks of Vanguard Value ETF in the same period are UnitedHealth Group, Berkshire Hathaway Class B shares, Johnson & Johnson, Exxon Mobil And Procter & Gamble, Vanguard Value ETF is the largest shareholder of the above five heavyweight stocks; more importantly, Vanguard Value ETF’s heavy holding of the above stocks does not happen overnight. The number of reporting periods of heavy positions in the five stocks is 17, 20, 21, 17 and 18 respectively. According to the market information of Wind financial terminal, as of August 8, the above-mentioned five heavy-holding stocks have increased by 5.84%, 8.75%, -3.98%, 6.22% and 3.21% respectively since the third quarter. “Full of color. From the perspective of financial data, these five heavyweight stocks are also typical value stocks. According to Wind Financial Terminal, in the first half of 2022, the operating income of the above five stocks were US$160.481 billion, US$146.990 billion, US$47.446 billion, US$205.225 billion and US$58.868 billion, with year-on-year increases of 13.40%, 9.93% and 3.97% respectively. %, 62.36% and -14.91%; net profit was 10.097 billion US dollars, -38.295 billion US dollars, 99.99 billion US dollars, respectively.
According to the information provided by the US website ETF Channel, the largest holding stock of the Vanguard Value ETF has been changed from UnitedHealth Group to Berkshire Hathaway Class B shares. The latest market value of the two positions is US$4.422 billion and 4.408 billion US dollars, accounting for 3.03% and 3.02% of the fund’s net value, which can be said to be on a par.
So, who is holding the Vanguard Value ETF shares? According to public data, as of the end of 2021, Bank of America held the largest share of Vanguard Value ETF, with a total of 86.1792 million shares, with a holding ratio of 13.67%; followed by Jones Financial Co., Ltd., with a share of 75.1157 million shares, holding a share of 13.67%. The proportion is 11.92%; the third largest holder is the Morgan Stanley brokerage account, holding 26.1959 million shares, and the holding ratio is 4.16%; other important share holders also include Morgan Stanley Smith Barney and Envestnet Asset management companies, etc.
