The Vanguard Russell 2000 ETF (VTWO) is designed to replicate the performance of the Russell 2000 Index, which measures the performance of small-capitalization stocks in the United States.

As of February 7, 2025, VTWO is trading at $91.40, reflecting a 1.20% decrease from the previous close.

The fund has an expense ratio of 0.10% and manages nearly $8 billion in assets.

The ETF’s top holdings include FTAI Aviation Ltd. (FTAI) at 0.54%, Sprouts Farmers Market, Inc. (SFM) at 0.47%, and Insmed Incorporated (INSM) at 0.44%.

VTWO offers a dividend yield of 1.18%, with an annual dividend of $1.08 per share. Dividends are distributed quarterly, with the most recent ex-dividend date on December 23, 2024.

Analyst consensus rates VTWO as a “Moderate Buy,” with an average 12-month price target of $115.96, suggesting potential upside.

Investors should be aware that small-cap stocks can exhibit higher volatility compared to large-cap stocks. Recent analyses have highlighted concerns about the quality of holdings within the Russell 2000 Index, suggesting that VTWO may have exposure to lower-quality stocks.

In summary, VTWO provides diversified exposure to U.S. small-cap equities with a low expense ratio. However, potential investors should consider the inherent volatility and quality of the underlying holdings when evaluating this ETF for their portfolios.