Core Insights - The Vanguard Mega Cap Growth ETF (MGK) and the iShares Russell 2000 Growth ETF (IWO) represent different strategies in U.S. growth investing, with MGK focusing on large-cap companies and IWO on small-cap stocks [1][7] Cost & Size Comparison - MGK has a lower expense ratio of 0.07% compared to IWO's 0.24% - As of January 25, 2026, MGK's one-year return is 15.25%, while IWO's is slightly higher at 15.35% - MGK has a dividend yield of 0.35%, whereas IWO offers a yield of 0.56% - The five-year beta for MGK is 1.20, while IWO's is higher at 1.45 - MGK has assets under management (AUM) of $32 billion, significantly larger than IWO's $13 billion [3] Performance & Risk Comparison - Over the past five years, MGK experienced a maximum drawdown of -36.02%, while IWO faced a more severe drawdown of -42.02% - An investment of $1,000 in MGK would have grown to $1,954, compared to $1,097 for IWO over the same period [4][8] Portfolio Composition - IWO provides exposure to over 1,000 small-cap U.S. growth stocks, with significant allocations in healthcare (26%), technology (23%), and industrials (20%) - Major holdings in IWO include Bloom Energy, Credo Technology Group, and Kratos Defense & Security Solutions, each under 2% of the portfolio - MGK is concentrated with only 60 stocks, heavily weighted towards technology at 55%, with top holdings including Nvidia, Apple, and Microsoft, which together account for over 35% of the fund [5][6][9] Investment Implications - MGK's focus on mega-cap stocks has led to higher total returns over five years, attributed to the strong performance of its top holdings - IWO, while more volatile, offers greater diversification and less concentration in technology, appealing to investors seeking exposure to smaller, innovative companies [7][10]

Core Idea - The iShares S&P 100 ETF (OEF) provides concentrated exposure to the largest companies in America, particularly in the technology sector, appealing to investors who favor growth and are willing to accept the associated risks [1][2]. Performance and Structure - OEF tracks the S&P 100, focusing on capital appreciation from dominant businesses, with technology making up nearly 40% of the portfolio and communication services and consumer discretionary accounting for an additional 25% [2]. - Over the past five years, OEF's heavy allocation to mega-cap technology has resulted in substantial gains, effectively doubling the portfolio's value, with the top three holdings comprising 28% of total assets [3]. - The fund has a competitive expense ratio of 0.20% and a 25-year track record, making it a stable choice for long-term investors [4]. Portfolio Fit - OEF serves as a core holding for investors seeking large-cap U.S. equity exposure with a growth focus, providing modest income through a quarterly dividend structure with a current yield of 0.86% [4]. - It is suitable for tax-advantaged accounts due to its low 4% turnover rate, enhancing tax efficiency, but is less appropriate as a sole equity holding due to sector concentration [5]. Risks and Vulnerabilities - The concentration strategy that drives OEF's performance also introduces vulnerability; significant sell-offs in mega-cap tech can adversely affect returns, particularly given that NVIDIA alone represents nearly 11% of the fund's assets [6]. - OEF has minimal exposure to defensive sectors, with utilities and materials making up only 1.3% of the portfolio, which can exacerbate declines during market downturns [7]. - Although OEF has historically outperformed the S&P 500, it can lag during certain periods, as evidenced by a year-to-date decline of 2.2% compared to the SPDR S&P 500 ETF Trust's 0.4% decline [8].