VDE Profile
The Energy ETF Vanguard (VDE) is an exchange-traded fund (ETF) that invests in a diversified portfolio of energy stocks. The fund seeks to track the performance of the MSCI US Investable Market Energy 25/50 Index, which includes companies involved in the exploration, production, refining, and distribution of energy products, such as oil, gas, and coal.
VDE aims to provide investors with exposure to the energy sector while diversifying across multiple companies, reducing the risk of exposure to individual stocks. The fund is passively managed, meaning that it seeks to replicate the performance of its benchmark index rather than trying to outperform it.
The top holdings of VDE include large-cap companies such as Exxon Mobil, Chevron, and Schlumberger. The fund has an expense ratio of 0.10%, which is relatively low compared to other actively managed energy funds.
Investing in VDE can provide investors with exposure to the energy sector, which can be volatile and subject to fluctuations in commodity prices and geopolitical events. As with any investment, it is important to carefully consider your investment objectives, risk tolerance, and investment horizon before investing in VDE or any other ETF.
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