Should TCW Transform 500 ETF (VOTE) Be on Your Investing Radar

The TCW Transform 500 ETF offers a low-cost option for investors seeking large-cap exposure

Should TCW Transform 500 ETF (VOTE) Be on Your Investing Radar
Should TCW Transform 500 ETF (VOTE) Be on Your Investing Radar

Los Angeles: The TCW Transform 500 ETF, known as VOTE, launched on June 22, 2021. It aims to give investors broad access to large-cap stocks in the U.S. market. With over $708 million in assets, it’s a solid choice for those looking to invest in large-cap blend stocks.

Large-cap companies usually have market caps over $10 billion. They’re generally more stable and less volatile than smaller companies. This ETF mixes growth and value stocks, which is why it’s called a blend.

One of the best things about VOTE is its low expense ratio of just 0.05%. Lower costs often lead to better returns, so this is a big plus. Plus, it has a 12-month dividend yield of 1.19%.

When you look at where the money goes, about 32.8% is in the Information Technology sector. The top three sectors also include Financials and Consumer Discretionary. Apple, Nvidia, and Microsoft are the biggest holdings, making up a significant portion of the fund.

VOTE aims to match the performance of the Morningstar US Large Cap Select Index. So far this year, it’s down about 0.46%, but it was up around 24.3% over the last year. It’s traded between $55.21 and $71.58 in the past 52 weeks.

With a beta of 1, it’s pretty much in line with the market. It has 506 holdings, which helps spread out the risk. VOTE has a Zacks ETF Rank of 2, meaning it’s a solid buy for those interested in large-cap blend investments.

If you’re looking for alternatives, the iShares Core S&P 500 ETF and SPDR S&P 500 ETF are also good options. They track similar indexes but have larger asset bases and slightly different expense ratios.

In short, VOTE is a great choice for long-term investors. Its low costs and transparency make it appealing for both retail and institutional investors. If you want to dive deeper into ETFs, check out Zacks ETF Center for more info.

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