Vanguard Value ETF

VTV

Market cap $162B

Volatility is returning to Wall Street, signaling a potential fracture in the bull market sentiment that defined the previous year. Recent trading sessions have seen Nasdaq futures face noticeable downward pressure, a stark contrast to the smooth sailing investors grew accustomed to in 2025.

The bull market in U.S. stocks has been heavily driven by a narrow group of tech stocks. Slower economic growth in 2026 could finally trigger a rotation from growth stocks to value stocks.

ETFs provide a convenient, diversified way to invest in the stock market. The funds on this list pay more in dividends than the average stock on the S&P 500.

As geopolitical risks rise and volatility lingers, value investing stands out as an attractive strategy. Look at ETFs to simplify the implementation of the strategy.

SCHB covers the full U.S. stock market with a tech tilt, while VTV focuses on large-cap value stocks led by financials and healthcare. VTV yields more than SCHB's payout.

ITOT covers the entire U.S. stock market and has a higher allocation to technology stocks than VTV. VTV holds more financial, healthcare, and industrial names and offers a higher dividend yield.

VTI covers the entire U.S. stock market with a strong tilt toward technology, while VTV focuses on large-cap value stocks led by financials and healthcare. VTI delivered higher one-year and five-year returns, but it experienced a steeper drawdown than VTV.

Investing in a value ETF is a smart way to gain exposure to undervalued stocks. With plenty of diversification, this fund can help minimize the impact of volatility.

Over the last few years, the Vanguard Value Index Fund ETF Shares (NYSE:VTV) has performed exactly as investors hoped.

Vanguard Value ETF carries a higher yield but slightly higher expenses than SPTM. SPTM has delivered stronger 1-year and 5-year growth, but with higher volatility and drawdowns.