3 popular ETFs to Consider for Trading in September

Approximately half of the ETF's portfolio is composed of stocks from the Information Technology sector, with an additional 15% allocated to the Communication Services sector. As of September 3, its top holdings in the tech sector include Apple, making up 9.2% of the portfolio, Microsoft at 8.2%, Nvidia at 7.2%, and Broadcom at 4.9%.

Key Points

1. Stock market volatility is picking up for the first time in months.
2. The VanEck Semiconductor ETF has outperformed benchmark indexes for years.
3. The Vanguard High Dividend Yield Index ETF is a defensive ETF that can bolster portfolio diversification.
4. 10 stocks we like better than Vanguard S&P 500 ETF

Vanguard Information Technology ETF

Another great technology-focused ETF to consider for trading right now is the Vanguard Information Technology ETF (NYSEMKT: VGT). This ETF tracks the performance of the MSCI U.S. Investable Market Information Technology 25/50 index.

The demand for artificial intelligence (AI) remains sky-high

Organizations are rushing to implement AI tools as fast as possible. That creates tremendous demand for the chips that serve as AI "brains." Almost all of them are semiconductor manufacturers represented in the VanEck fund. Making AI chips is very difficult. Few companies possess the technological expertise, advanced equipment, or facilities required to make advanced semiconductors. To put it another way, the barriers to entry are incredibly high in the AI chip industry.

No matter which companies emerge victorious, the VanEck fund should capture the rise of the winning stocks. Pair that with the fund's very impressive past performance -- it has generated a compound annual growth rate (CAGR) of nearly 25% over the last 10 years -- and it's clear why the VanEck fund is worth considering on the dip.

Invesco QQQ ETF

The Invesco QQQ ETF offers investors exposure to the top 100 non-financial companies listed on the Nasdaq, with a strong focus on technology and growth sectors. Its holdings include major innovators like Apple, Microsoft, and Nvidia, providing high potential for capital appreciation. QQQ is known for its historical outperformance compared to broader market indices, making it an attractive choice for those seeking growth opportunities in cutting-edge industries like tech and communications.

Around half of the ETF's portfolio is invested in the Information Technology sector, with an additional 15% allocated to the Communication Services sector. As of September 3, its major tech holdings include Apple at 9.2%, Microsoft at 8.2%, Nvidia at 7.2%, and Broadcom at 4.9%.

In the Communication Services sector, Alphabet holds a 4.9% share, followed by Meta Platforms at 4.8%. Meanwhile, Amazon and Tesla are categorized under Consumer Discretionary stocks, accounting for 4.9% and 2.7% of the ETF's portfolio, respectively.

Vanguard S&P 500 ETF

The Vanguard S&P 500 ETF (VOO) is a popular exchange-traded fund that aims to mirror the performance of the S&P 500 Index, which includes 500 of the largest U.S. companies. With a diverse portfolio, it covers sectors such as Information Technology, Healthcare, Financials, and Consumer Discretionary. As of its latest data, approximately half of the fund is invested in Information Technology stocks, with major holdings like Apple, Microsoft, and Nvidia.

The ETF also includes key companies from other sectors, such as Amazon and Tesla in Consumer Discretionary, and Alphabet and Meta Platforms in Communication Services. VOO is known for its low expense ratio and broad market exposure, making it a popular choice among investors looking for long-term growth and stability. By tracking the S&P 500, it offers exposure to the overall U.S. economy, providing a balanced investment option for both new and experienced investors.

When considering shares, indices, forex (foreign exchange) and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.

Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice.