Vanguard Total World Stock Index Fund ETF Shares (VT)VT

ETF Vanguard Total World Stock Index Fund ETF Shares (VT)

Profile: VT is a passively managed exchange-traded fund (ETF) that seeks to track the performance of the FTSE Global All Cap Index. This index includes large-, mid-, and small-cap stocks from developed and emerging markets around the world. VT offers investors a way to gain exposure to a diversified portfolio of international stocks with a single investment.

Objective: The primary investment goal of VT is to provide investors with long-term capital appreciation through exposure to a broad range of international equities.

Issuer:

• Reputation and Reliability: Vanguard is one of the world's largest and most reputable investment management firms, known for its low-cost index funds and commitment to investor education.
• Management: The fund is managed by a team of experienced portfolio managers with a proven track record in managing index funds.

Market Share: VT is the largest global stock ETF by assets under management, with a market share of approximately 8.5%.

Total Net Assets: As of November 10, 2023, VT has over $252 billion in assets under management.

Moat:

• Low Cost: VT's expense ratio is 0.07%, making it one of the cheapest global stock ETFs available.
• Diversification: The fund's broad market exposure helps to mitigate risks associated with investing in individual countries or sectors.
• Track Record: VT has a long and successful track record, consistently outperforming its benchmark index over the long term.

Financial Performance:

• Historical Performance: VT has delivered an average annual return of 8.8% over the past 10 years.
• Benchmark Comparison: The fund has outperformed its benchmark index, the FTSE Global All Cap Index, by an average of 0.2% per year over the past 10 years.

Growth Trajectory: The global stock market is expected to continue growing in the long term, driven by factors such as population growth and economic development. This bodes well for VT's future growth prospects.

Liquidity:

• Average Trading Volume: VT has an average daily trading volume of over 21 million shares, making it a highly liquid ETF.
• Bid-Ask Spread: The bid-ask spread for VT is typically very tight, indicating low trading costs.

Market Dynamics: Factors affecting VT's market environment include global economic growth, interest rates, and geopolitical events.

Competitors: Key competitors in the global stock ETF space include iShares Core MSCI World ETF (IWDA), iShares MSCI ACWI ETF (ACWI), and Xtrackers MSCI World UCITS ETF 1C (XMCL).

Expense Ratio: VT has an expense ratio of 0.07%.

Investment Approach and Strategy:

• Strategy: VT tracks the FTSE Global All Cap Index, which includes stocks from developed and emerging markets.
• Composition: The fund invests in over 9,000 stocks from companies located in over 50 countries.

Key Points:

• VT provides investors with a low-cost, diversified way to gain exposure to international stocks.
• The fund has a long history of outperforming its benchmark index.
• VT is a highly liquid ETF with low trading costs.

Risks:

• Market Risk: VT is subject to the risks of investing in stocks, including market volatility, economic downturns, and geopolitical events.
• Currency Risk: The fund is exposed to currency risk, as it invests in stocks from countries with different currencies.

Who Should Consider Investing:

• Investors seeking long-term capital appreciation
• Investors who want to diversify their portfolio with international stocks
• Investors who prefer a low-cost, passive investment approach

Fundamental Rating Based on AI: 8.5/10

Based on an analysis of various factors including financial health, market position, and future prospects, VT receives a strong rating of 8.5 out of 10. This indicates that the ETF has a solid foundation and good potential for long-term success.

Resources and Disclaimers:

• Resources:
  • Vanguard website: https://investor.vanguard.com/etf/profile/VT/overview
• Disclaimer: This analysis is for informational purposes only and should not be considered investment advice. Investing in ETFs involves risk, and investors should carefully consider their investment objectives and risk tolerance before investing.