iShares Russell 1000 Growth ETF

IWF

Market cap $124B

Exchange-traded funds can be ideal options for new investors to get started with investing. A couple of strong ETFs can be solid pillars to build your portfolio around for the long haul.

Looking for broad exposure to the Large Cap Growth segment of the US equity market? You should consider the iShares Russell 1000 Growth ETF (IWF), a passively managed exchange traded fund launched on May 22, 2000.

Growth ETFs stand out as growth forecasts rise, Fed cut hopes build and investors pour billions back into U.S. equities.

iShares Russell 1000 Growth ETF receives a buy rating for superior risk-adjusted returns and effective diversification, despite a higher expense ratio. IWF outperforms Vanguard Growth Index Fund ETF in long-term Sharpe ratios, lower volatility, and better downside protection, making it more attractive for growth exposure. VUG is cost-efficient with a 0.04% expense ratio but offers less appealing risk management and sector diversification compared to IWF's broader portfolio.

Growth ETFs like VUG, IWF and SPYG shine as easing inflation, Fed rate cuts and upbeat earnings fuel bullish momentum in U.S. markets.

Fidelity Enhanced Large Cap Growth ETF (FELG) is positioned to outperform passive peers like IWF amid a broadening AI ecosystem as OpenAI strikes more deals. FELG's active management, dynamic stock selection, and higher portfolio turnover enable it to capture emerging AI-driven opportunities beyond the Magnificent 7. FELG trades at a lower P/E than IWF, justifying a moderate price target of $43.70, but carries higher concentration risk and volatility.

The S&P 500 has delivered stellar gains, but the SPY isn't the only choice. Many other exchange-traded funds are racing ahead, often ahead of the SPY. These two are worth looking into if you want to outperform the SPY.

Designed to provide broad exposure to the Large Cap Growth segment of the US equity market, the iShares Russell 1000 Growth ETF (IWF) is a passively managed exchange traded fund launched on May 22, 2000.

Rate cut bets, record highs and strong earnings power growth ETFs like VUG, IWF, IVW, SPYG and IUSG into the spotlight.

I upgrade IWF to Buy, as robust tech earnings, rate cut prospects, and solid GDP growth fuel outperformance, versus broader indices. Mega-cap tech stocks, especially in AI, are driving S&P 500 earnings surprises and underpin IWF's strong price momentum and low risk profile. IWF's diversified portfolio, low expense ratio, and superior liquidity make it an attractive vehicle for growth exposure amid easing credit conditions.