MGC: Vanguard Morningstar Mega Cap ETF
What this ETF is trying to do
The Vanguard Morningstar Mega Cap ETF (MGC) is designed to invest in very large companies. It focuses on "mega cap" stocks, which are some of the biggest businesses in the market. This ETF holds a total of 179 different companies.
What the numbers show
The data shows that MGC has experienced significant growth in its share price over different time periods.
• Year-to-Date (YTD): The price return is approximately 14.74%. When you include distributions, the YTD total return is approximately 15.62%.
• One Year: The one-year price return is approximately 17.05%. The one-year total return is approximately 18.24%.
• Three Years: The three-year price return is approximately 88.25%. The three-year total return is approximately 94.75%.
• Five Years: The five-year total return is approximately 98.93%.
To give you an idea of how the price has changed, the estimated price from roughly one year ago was $246.20. The current price is $288.18.
Top Holdings
The following are the largest companies held by this ETF (note that this is a partial list):
• NVIDIA CORP: 9.34%
• APPLE INC: 8.57%
• MICROSOFT CORP: 6.94%
• AMAZON.COM INC: 4.63%
• ALPHABET INC CLASS A: 3.67%
• BROADCOM INC: 3.23%
• ALPHABET INC CLASS C: 2.88%
• META PLATFORMS INC CLASS A: 2.31%
• MICRON TECHNOLOGY INC: 1.99%
• TESLA INC: 1.91%
Please remember that holdings can change over time.
Income and distribution explanation
MGC provides some cash income through distributions. The distribution yield is approximately 0.89%. This means the amount of cash paid out is about 0.89% of the ETF's price. The fund usually pays these distributions quarterly, and there were 4 payments in the last 12 months.
It is important to remember that a distribution yield is not the same as total return. Total return includes both the change in the share price and the cash distributions received.
NAV erosion explanation
"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.
However, regarding price erosion (the movement of the market price), the fund has an erosion score of 100, which is labeled as "No price erosion detected." The erosion severity is listed as "good," and there is no severe erosion-risk flag.
Pros
• Strong Price Growth: The ETF has shown high price returns over the last one, three, and five years.
• Low Erosion Risk: The data shows no detected price erosion.
Cons
• Lower Yield: The distribution yield is relatively low (0.89%) compared to funds designed specifically for high income.
Beginner takeaway
MGC is an ETF that tracks very large companies. It has shown strong growth in its share price over several years. While it does pay a small amount of cash through distributions, most of its total return comes from the increase in the share price itself.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | NVIDIA CORP | NVDA | 9.34% |
| 2 | APPLE INC | AAPL | 8.57% |
| 3 | MICROSOFT CORP | MSFT | 6.94% |
| 4 | AMAZON.COM INC | AMZN | 4.63% |
| 5 | ALPHABET INC CLASS A | GOOGL | 3.67% |
| 6 | BROADCOM INC | AVGO | 3.23% |
| 7 | ALPHABET INC CLASS C | GOOG | 2.88% |
| 8 | META PLATFORMS INC CLASS A | META | 2.31% |
| 9 | MICRON TECHNOLOGY INC | MU | 1.99% |
| 10 | TESLA INC | TSLA | 1.91% |