15 Best ETFs To Buy Now

Published March 11, 2024 at 8:40 am EDT Updated August 19, 2026 at 3:10 pm EDT

In this article, we discuss 15 best ETFs to buy now.

In 2023, US-listed ETF trading declined by 17% to $38 trillion due to record-high interest rates, with money market fund assets reaching an all-time high of $5.9 trillion. However, it was still the second-highest year for ETF volumes on record. iShares ETFs, led by iShares Russell 2000 ETF (NYSE Arca: IWM), iShares iBoxx $ High Yield Corporate Bond ETF (NYSE Arca: HYG), and iShares 20+ Year Treasury Bond ETF (NASDAQ GM: TLT), represented $9.4 trillion of this activity. US equity markets traded nearly $127 trillion, making the US ETFs account for 30% of the total American composite volume in the secondary market in 2023. Meanwhile, US-listed Fixed Income ETFs had their second-largest year on record at $5.8 trillion, slightly behind the 2022 figures. Also, options trading in the US-listed ETFs reached record levels in 2023, with the industry totaling $130 trillion, up 24% year-over-year.

The ETF industry set a new record with 543 new ETFs launched in 2023, surpassing the previous record of just under 480 in 2021 by more than 60 funds. Approximately 75% of the newly launched funds in 2023 were actively managed. According to VettaFi’s Dave Nadig:

“It was only a few years ago when we crossed 2,000 ETFs listed that the first ‘there are too many ETFs!’ complaints started up, and yet here we are. But the reality is there’s no cap on innovation. The products we’ve seen gain traction this year — the rise of active products, the narrow slices of the market, options overlays, buffers, conversions — they weren’t really even a pipe dream five years ago, and they’re the stories of the year. ETFs have gained so much ground because they solve real problems for real investors.”

Lately, retail traders are increasingly utilizing exchange traded funds as a new tool during the recent Bitcoin rally. Newly launched funds, such as the iShares Bitcoin Trust (NASDAQ GM: IBIT), Fidelity Wise Origin Bitcoin Fund (CBOE US: FBTC), and ARK 21Shares Bitcoin ETF (CBOE US: ARKB) have experienced a surge in trading volume. For instance, IBIT traded about 96 million shares on February 28, more than double its previous record, indicating significant retail interest. The Fidelity and ARK funds also saw substantial increases in shares traded, surpassing earlier records. The active market suggests that retail traders are leveraging these ETFs to participate in the Bitcoin rally, with the cryptocurrency crossing $60,000 for the first time since November 2021. Despite Bitcoin’s 30% rise since the ETFs were approved, their prices have consistently increased over the past six weeks, contributing to the notable trading volumes.

Some of the best ETFs expose investors to stocks like Costco Wholesale Corporation (NASDAQ:COST), Eli Lilly and Company (NYSE:LLY), and NVIDIA Corporation (NASDAQ:NVDA).

Our Methodology

We curated our list of the best ETFs by choosing consensus picks from multiple credible websites. We have mentioned the 5-year share price performance of each ETF as of March 9, 2024, ranking the list in ascending order of the share price. We have also discussed the top holdings of the ETFs to offer better insight to potential investors.

An experienced investor staring at a wall of monitors displaying stocks and mortgaged securities.

Best ETFs To Buy Now

15. Energy Select Sector SPDR Fund (NYSE Arca: XLE)

5-year Share Price Performance as of March 9, 2024: 34.59%

Energy Select Sector SPDR Fund (NYSE Arca: XLE) aims to replicate the performance of the Energy Select Sector Index. This index is designed to accurately represent the energy sector within the S&P 500 Index, focusing on companies in the oil, gas, consumable fuel, and energy equipment and services industries. Established in December 1998, Energy Select Sector SPDR Fund (NYSE Arca: XLE) has an expense ratio of 0.09% as of March 7, 2024, and its portfolio consists of 23 stocks. It is one of the best ETFs to buy.

Exxon Mobil Corporation (NYSE:XOM) is the largest holding of the Energy Select Sector SPDR Fund (NYSE Arca: XLE). On February 2, Exxon Mobil Corporation declared a quarterly dividend of $0.95 per share, in line with previous. The dividend is payable on March 11, to shareholders on record as of February 14.

According to Insider Monkey’s fourth quarter database, 85 hedge funds were bullish on Exxon Mobil Corporation, compared to 79 funds in the prior quarter. Jean-Marie Eveillard’s First Eagle Investment Management is the largest stakeholder of the company, with 13.2 million shares worth $1.3 billion.

In addition to Costco Wholesale Corporation, Eli Lilly and Company, and NVIDIA Corporation, Exxon Mobil Corporation is one of the stocks favored by elite hedge funds.

Here is what First Eagle Investments had to say about Exxon Mobil Corporation in its second-quarter 2022 investor letter:

“Integrated oil and gas giant Exxon Mobil performed well in the second quarter as continued high prices for energy products supported the stock. As the largest refiner in the US, the company has benefitted from wide “crack spreads,” or the margin between the cost of crude oil and the petroleum products extracted from it. Exxon continues to invest in refining capacity in the US, which industry wide has been in steady decline since 2019. We are pleased that Exxon has been using its strong cash flows to reduce debt and to return cash to shareholders through dividends and stock repurchases.”

14. iShares Core S&P Small-Cap ETF (NYSE Arca: IJR)

5-year Share Price Performance as of March 9, 2024: 38.53%

iShares Core S&P Small-Cap ETF (NYSE Arca: IJR) aims to replicate the performance of the S&P SmallCap 600 Index, which represents small-cap U.S. equities. As of March 8, 2024, the ETF holds net assets totaling $88 billion and holds a portfolio consisting of 689 stocks, with an expense ratio of 0.06%. iShares Core S&P Small-Cap ETF (NYSE Arca: IJR) is one of the best ETFs to invest in.

Fabrinet (NYSE:FN) is one of the largest holdings of the iShares Core S&P Small-Cap ETF (NYSE Arca: IJR). Fabrinet is a global company providing optical packaging, precision optical, electro-mechanical, and electronic manufacturing services across North America, the Asia Pacific, and Europe. On February 5, Fabrinet reported its financial results for the December quarter. The company posted a non-GAAP EPS of $2.08 and a revenue of $712.7 million, outperforming Wall Street estimates by $0.05 and $17.31 million, respectively.

According to Insider Monkey’s fourth quarter database, Fabrinet was part of 24 hedge fund portfolios, compared to 30 in the prior quarter.

FPA Queens Road Small Cap Value Fund stated the following regarding Fabrinet in its fourth quarter 2023 investor letter:

“Fabrinet is a contract manufacturer of optical communications modules and components. The company has a dominant position in hard-to-replicate precision-manufacturing technologies and an enviable track record of execution. The majority of Fabrinet’s sales are to optical communications equipment manufacturers, but it has been successfully diversifying into the data center, industrial, auto, and medical end-markets. FN’s stock jumped after reporting June 2023 earnings – data center sales increased 50% sequentially and more than 100% over the previous year, driven by their 800-gigabyte transceivers for Artificial Intelligence applications. The company also announced that Nvidia is a 10%+ customer.

Fabrinet was, notably, a top-five holding in the Fund before its June earnings announcement and, although we have trimmed our position, was our largest holding at the end of 2023. While we continue to evaluate what we believe is a positive incremental change in the company’s earnings power, we are seeking to take some profits in keeping with our risk management policies.”

13. Schwab U.S. Dividend Equity ETF (NYSE Arca: SCHD)

5-year Share Price Performance as of March 9, 2024: 50.05%

Schwab U.S. Dividend Equity ETF (NYSE Arca: SCHD) aims to closely replicate the total return of the Dow Jones U.S. Dividend 100 Index before fees and expenses. Schwab U.S. Dividend Equity ETF (NYSE Arca: SCHD) invests in stocks chosen for their fundamental strength compared to peers, assessed through financial ratios. Established on October 20, 2010, the ETF has net assets totaling $54.2 billion as of March 8, 2024, with an expense ratio of 0.060%.

Broadcom Inc. (NASDAQ:AVGO) is the largest holding of Schwab U.S. Dividend Equity ETF (NYSE Arca: SCHD). On March 7, Broadcom Inc. reported a Q1 non-GAAP EPS of $10.99 and a revenue of $11.96 billion, outperforming Wall Street estimates by $0.57 and $240 million, respectively.

According to Insider Monkey’s fourth quarter database, 91 hedge funds were bullish on Broadcom Inc., compared to 87 funds in the prior quarter.

Aristotle Atlantic Core Equity Strategy stated the following regarding Broadcom Inc. in its fourth quarter 2023 investor letter:

“Broadcom Inc. contributed to portfolio outperformance during the quarter, as the company reported fourth quarter results which continued to show strength in its AI business segments. With the VMware acquisition having closed at the end of November, the company also provided positive fiscal year 2024 guidance on its earnings call that included synergy target goals ahead of schedule and a more positive revenue ramp for the combined businesses.”

12. Financial Select Sector SPDR Fund (NYSE Arca: XLF)

5-year Share Price Performance as of March 9, 2024: 52.53%

Financial Select Sector SPDR Fund (NYSE Arca: XLF) aims to replicate the price and yield performance of the Financial Select Sector Index. This index effectively represents the financial sector of the S&P 500 Index and provides exposure to companies in financial services, insurance, banks, capital markets, mortgage REITs, and consumer finance. Established in December 1998, the ETF has an expense ratio of 0.09% as of March 9, 2024, and offers a portfolio of 72 stocks. Financial Select Sector SPDR Fund (NYSE Arca: XLF) is one of the best ETFs to buy.

Berkshire Hathaway Inc. (NYSE:BRK-B) is the largest holding of the Financial Select Sector SPDR Fund (NYSE Arca: XLF). Berkshire is a global conglomerate involved in insurance, freight rail transportation, and utilities. On February 24, Berkshire Hathaway Inc. reported a Q4 EPS of $3.92 and a revenue of $93.38 billion, exceeding Wall Street estimates by $0.12 and $12.69 billion, respectively.

According to Insider Monkey’s fourth quarter database, 117 hedge funds were long Berkshire Hathaway Inc., compared to 116 funds in the last quarter. Bill & Melinda Gates Foundation Trust is the largest stakeholder of the company, with nearly 20 million shares worth $7.10 billion.

Here is what Black Bear Value Fund has to say about Berkshire Hathaway Inc. in its Q3 2022 investor letter:

“Going forward I expect Berkshire to compound at above average returns from this price. BRK is a collection of high-quality businesses, excellent management, and a good amount of optionality in their cash position. If the cash were to be deployed accretively, the true value would be greater than an 8% premium (as mentioned above). The combination of a pie that is growing, an increasing share of said pie due to stock buybacks, upside optionality from cash and a tight range of likely business outcomes that span a variety of economic futures gives me comfort in continuing to own Berkshire.”

11. iShares Core Dividend Growth ETF (NYSE Arca: DGRO)

5-year Share Price Performance as of March 9, 2024: 53.66%

iShares Core Dividend Growth ETF (NYSE Arca: DGRO) aims to replicate the performance of the Morningstar US Dividend Growth Index, which is composed of US equities with a track record of consistent dividend growth. Launched on June 10, 2014, the ETF has accumulated net assets of $26.5 billion as of March 8, 2024. iShares Core Dividend Growth ETF (NYSE Arca: DGRO)’s portfolio comprises 420 stocks and the fund offers an expense ratio of 0.08%. iShares Core Dividend Growth ETF (NYSE Arca: DGRO) is one of the best ETFs to invest in.

JPMorgan Chase & Co. is a prominent holding of the iShares Core Dividend Growth ETF (NYSE Arca: DGRO). On January 12, JPMorgan Chase & Co. reported a Q4 non-GAAP EPS of $3.97, outperforming Street estimates by $0.37. However, the revenue of $38.57 billion fell short of market consensus by $1.21 billion.

According to Insider Monkey’s fourth quarter database, 103 hedge funds were bullish on JPMorgan Chase & Co., compared to 109 funds in the prior quarter.

Madison Sustainable Equity Fund stated the following regarding JPMorgan Chase & Co. in its fourth quarter 2023 investor letter:

“We updated the sustainable scorecard for JPMorgan Chase & Co.. JP Morgan continues to have an Average rating across Governance, Social and Environmental factors. JP Morgan is using its business to improve climate change. JP Morgan has targeted $2.5 trillion in financing between 2021 and 2030 to advance long-term solutions to address climate change and sustainable development. The Board has oversight of corporate responsibility and ESG matters, but ESG and Sustainability are addressed across the firm. JPM does listen to shareholders. After a 31% For Vote on executive compensation in 2022, the Board will not be granting any special awards to Jamie Dimon or Daniel Pinto and if awarded to other Named Executive Officers, there will be a direct performance condition associated with the award. The Compensation Committee limited the cash percentage of Dimon and Pinto’s compensation.”

10. Industrial Select Sector SPDR Fund (NYSE Arca: XLI)

5-year Share Price Performance as of March 9, 2024: 65.29%

Industrial Select Sector SPDR Fund (NYSE Arca: XLI) aims to replicate the price and yield performance of the Industrial Select Sector Index. This index effectively represents the industrial sector of the S&P 500 Index, offering exposure to different industries including aerospace and defense, industrial conglomerates, transportation, machinery, logistics, and more. Industrial Select Sector SPDR Fund (NYSE Arca: XLI) has an expense ratio of 0.09% as of March 9, 2024, and holds a portfolio of 78 stocks. Industrial Select Sector SPDR Fund (NYSE Arca: XLI) is one of the best ETFs to buy.

General Electric Company (NYSE:GE) is the largest holding of the Industrial Select Sector SPDR Fund (NYSE Arca: XLI). On January 23, General Electric Company reported a Q4 non-GAAP EPS of $1.03 and a revenue of $19.4 billion, topping Wall Street estimates by $0.13 and $1.85 billion, respectively.

According to Insider Monkey’s fourth quarter database, 92 hedge funds held stakes in General Electric Company, up from 76 funds in the prior quarter. Chris Hohn’s TCI Fund Management is the largest stakeholder of the company, with 41.65 million shares worth $5.3 billion.

Longleaf Partners Fund stated the following regarding General Electric Company in its fourth quarter 2023 investor letter:

“General Electric Company – Industrial conglomerate General Electric (GE) was the top performer for the year. We exited this multi-year investment as its price went above our appraisal. In 1Q23, GE spun out GE Healthcare, which we sold as it traded at our value. The share price continued its strong performance throughout the spring and summer, and we ultimately sold the position in the third quarter when we no longer saw a margin of safety for the business. CEO Larry Culp was a great partner who created significant value for shareholders by reducing leverage, cutting costs, streamlining operations, improving company culture and simplifying the structure with plans to split the company into three businesses. We hope to have the opportunity to partner with him again in the future.”

9. Vanguard U.S. Quality Factor ETF ETF Shares (CBOE US: VFQY)

5-year Share Price Performance as of March 9, 2024: 68.46%

Vanguard U.S. Quality Factor ETF ETF Shares (CBOE US: VFQY) ranks 9th on our list of the best ETFs to buy. Vanguard U.S. Quality Factor ETF ETF Shares (CBOE US: VFQY) employs a rules-based quantitative model to assess US common stocks, investing in those with robust fundamentals through an actively managed portfolio. The fund’s holdings include a diverse mix of stocks across different market capitalizations, sectors, and industries. Emphasizing strong profitability and healthy balance sheets, the ETF aims for long-term capital appreciation. Vanguard U.S. Quality Factor ETF ETF Shares (CBOE US: VFQY) features an expense ratio of 0.13% and a portfolio comprising 396 stocks. It is one of the best ETFs to buy.

Vanguard U.S. Quality Factor ETF ETF Shares (CBOE US: VFQY)’s top holding is Bristol-Myers Squibb Company (NYSE:BMY), an American manufacturer and distributor of biopharmaceutical products worldwide. On March 1, Bristol-Myers Squibb Company declared a quarterly dividend of $0.60 per share, in line with previous. The dividend is payable on May 1, to shareholders on record as of April 5.

According to Insider Monkey’s fourth quarter database, 60 hedge funds were bullish on Bristol-Myers Squibb Company, compared to 65 funds in the last quarter. John Overdeck and David Siegel’s Two Sigma Advisors is the largest stakeholder of the company, with 8.90 million shares worth $456.85 million.

Aristotle Atlantic Core Equity Strategy stated the following regarding Bristol-Myers Squibb Company in its fourth quarter 2023 investor letter:

“We sold our position in Bristol-Myers Squibb Company, following the third quarter earnings report where the company reduced the medium-term guidance on the new product portfolio and lowered its 2025 target. Given the large amount of revenue associated with drugs going off-patent, the new product portfolio was key to the company’s ability to change investor perception. Certain launches are not performing as expected, and others are taking longer to scale. Additionally, Bristol-Myers reduced medium-term operating margin guidance to invest in its commercial drugs and the research and development (R&D) pipeline. We do not believe that the company exhibited the level of defensiveness in the strategy we expected given the low valuation.”

8. Vanguard S&P 500 ETF (NYSE Arca: VOO)

5-year Share Price Performance as of March 9, 2024: 81.02%

Vanguard S&P 500 ETF (NYSE Arca: VOO) invests in stocks from the S&P 500 Index. Its primary objective is to closely mirror the index’s return, serving as an indicator for overall US stock performance. Vanguard S&P 500 ETF (NYSE Arca: VOO) is designed for long-term goals where capital appreciation is needed. As of March 9, 2024, the ETF offers an expense ratio of 0.03% and holds net assets of $1 trillion. Vanguard S&P 500 ETF (NYSE Arca: VOO) is one of the best ETFs to invest in.

Microsoft Corporation (NASDAQ:MSFT) is the largest holding of Vanguard S&P 500 ETF (NYSE Arca: VOO). On January 30, the company reported its financial results for the December quarter. The GAAP EPS of $2.93 and revenue of $62.02 billion outperformed Wall Street estimates by $0.16 and $890 million, respectively.

According to Insider Monkey’s fourth quarter database, 302 hedge funds were long Microsoft Corporation, compared to 306 funds in the last quarter. Bill & Melinda Gates Foundation Trust is the biggest stakeholder of the company.

Alger Spectra Fund stated the following regarding Microsoft Corporation in its fourth quarter 2023 investor letter:

“Microsoft Corporation is a beneficiary of corporate America’s transformative digitization. Microsoft’s CEO expects technology spending as a percent of Gross Domestic Product (GDP) to jump from about 5% now to 10% in 10 years and that Microsoft will continue to capture market share within the technology sector. The company operates through three segments: Productivity and Business Processes (Office. LinkedIn, and Dynamics), Intelligent Cloud (Server Products and Cloud Services, Azure, and Enterprise Services), and More Personal Computing (Windows, Devices. Gaming, and Search). During the quarter, the company reported strong fiscal first quarter results, where revenues and earnings beat analyst estimates, driven in large part to growing Al demand. Regarding Intelligent Cloud segment, management noted Azure optimizations were similar to the previous quarter, but new Al and traditional workloads are helping drive greater consumption growth, which resulted in their first reacceleration since March 2022. We believe the strong Azure performance suggests diminishing cost optimization headwinds and growing strength in Al service consumption.”

7. SPDR S&P 500 ETF Trust (NYSE Arca: SPY)

5-year Share Price Performance as of March 9, 2024: 81.91%

SPDR S&P 500 ETF Trust (NYSE Arca: SPY) aims to mirror the performance of the S&P 500 Index. Launched in 1993, SPDR S&P 500 ETF Trust (NYSE Arca: SPY) was the first US-listed exchange traded fund. The S&P 500 Index assesses the large-cap segment of the US equity market, utilizing a float-adjusted market capitalization weighting. As of March 7, 2024, SPDR S&P 500 ETF Trust (NYSE Arca: SPY) provides an expense ratio of 0.0945% and manages nearly $507 billion in assets. It is one of the best ETFs to invest in.

Amazon.com, Inc. (NASDAQ:AMZN) is one of the largest holdings of SPDR S&P 500 ETF Trust (NYSE Arca: SPY). Amazon.com, Inc. reported Q4 operating income above forecasts and provided robust guidance for the first quarter of 2024. In the fourth quarter, North American total revenue rose by 13% to $105.5 billion, compared to a consensus of $102.9 billion, while international revenue increased by 17% to $40.2 billion, compared to a consensus of $39.0 billion. The overall total revenue for the quarter reached $170.0 billion, surpassing the consensus estimate of $166.3 billion.

According to Insider Monkey’s fourth quarter database, 293 hedge funds were bullish on Amazon.com, Inc., compared to 286 funds in the prior quarter. Boykin Curry’s Eagle Capital Management is a prominent stakeholder of the company, with 13.6 million shares worth $2 billion.

Polen Global Growth Strategy stated the following regarding Amazon.com, Inc. in its fourth quarter 2023 investor letter:

“Amazon.com, Inc., which saw significant price appreciation throughout much of 2023, saw its share price increase materially in Q4 following the company’s Q3 2023 earnings report. We have yet to see the long-awaited re-acceleration in AWS (Amazon Web Services) revenue growth. However, in our estimation, the segment’s growth has likely bottomed, and we could see accelerating growth in 2024. Further, Amazon’s e-commerce business has gradually re-accelerated from 2022’s levels and, perhaps most importantly, the company’s margins and free cash flow have rebounded materially from last year. This rebound in margins and free cash flow at Amazon has been a key component of our long-term thesis for the business, and we expect the improvement in these metrics to continue into 2024 and beyond (though perhaps not linearly) as the company continues to optimize costs and capital expenditures. Our position in Amazon reflects our positive long-term expectations of the business, and it is currently our largest absolute weight in the Portfolio.”

6. iShares S&P 100 ETF (NYSE Arca: OEF)

5-year Share Price Performance as of March 9, 2024: 92.94%

iShares S&P 100 ETF (NYSE Arca: OEF) aims to replicate the performance of the S&P 100 Index, which consists of 100 large-cap US equities. Established on October 23, 2000, the ETF had net assets of $11.5 billion and an expense ratio of 0.20% as of March 8, 2024. iShares S&P 100 ETF (NYSE Arca: OEF) is one of the best ETFs to buy.

Meta Platforms, Inc. (NASDAQ:META) is one of the largest holdings of the iShares S&P 100 ETF (NYSE Arca: OEF). On February 1, Meta Platforms, Inc. declared its first quarterly dividend of $0.50 per share dividend. The dividend is payable on March 26, to shareholders on record as of February 22. The company also announced a $50 billion increase in share repurchase authorization.

According to Insider Monkey’s fourth quarter database, 242 hedge funds were long Meta Platforms, Inc., compared to 234 funds in the prior quarter. Rajiv Jain’s GQG Partners is the largest stakeholder of the company, with 11.15 million shares worth approximately $4 billion.

Like Costco Wholesale Corporation, Eli Lilly and Company, and NVIDIA Corporation, Meta Platforms, Inc. is one of the best stocks to buy according to hedge funds.

SaltLight Capital stated the following regarding Meta Platforms, Inc. in its fourth quarter 2023 investor letter:

“Meta Platforms, Inc.’s primary mission is all about capitalising on user engagement and maintaining its network effects. AI is augmenting their objectives in two ways: 1) Improving engagement time per daily active user (AI Job One) 2) Matching ad buyers (advertisers) with ad consumers (AI Job Two)

Improving Engagement Time per Daily Active User Meta is in the business of making sure that when you’re scrolling through your feed or watching videos, you’re glued to the screen as long as possible. Why? Because the longer you watch, the more ads they can slip into your viewing experience (think of digital billboards). But these ‘digital billboards’ are a finite resource – only more engagement time creates them.

And here’s where the magic of ‘AI job one’ comes in – finding that perfect video that keeps you hooked – thereby increasing the time you spend on the platform. It’s a cycle that feeds itself: more engagement means more opportunities to serve ads, which in turn means more revenue…” (Click here to read the full text)

5. Vanguard Russell 1000 Growth Index Fund ETF Shares (NASDAQ GS: VONG)

5-year Share Price Performance as of March 9, 2024: 121.02%

Vanguard Russell 1000 Growth Index Fund ETF Shares (NASDAQ GS: VONG) invests in stocks from the Russell 1000 Growth Index, a broadly diversified index primarily composed of growth stocks from large US companies. Launched on September 20, 2010, Vanguard Russell 1000 Growth Index Fund ETF Shares (NASDAQ GS: VONG) comes with an expense ratio of 0.08%, and holds a portfolio of 443 stocks. It is one of the best ETFs to invest in.

Vanguard Russell 1000 Growth Index Fund ETF Shares (NASDAQ GS: VONG)’s top holdings include Eli Lilly and Company. On December 8, Eli Lilly and Company declared a $1.30 per share quarterly dividend, a 15% increase from its prior dividend of $1.13. The dividend was paid on March 8.

According to Insider Monkey’s fourth quarter database, 102 hedge funds were long Eli Lilly and Company, same as the last quarter. Ken Fisher’s Fisher Asset Management is the leading stakeholder of the company, with 4.5 million shares worth $2.6 billion.

Aristotle Atlantic Core Equity Strategy stated the following regarding Eli Lilly and Company in its fourth quarter 2023 investor letter:

“Eli Lilly and Company is a leading pharmaceutical company that develops diabetes, oncology, immunology and neuroscience medicines. The company generates over half of its revenue in the U.S. from its top-selling drugs Trulicity, Verzenio and Taltz. The company operates in a single business segment, Human pharmaceutical products.

Eli Lilly has a deep pipeline in treatment areas focused on metabolic disorders, oncology, immunology and central nervous system disorders. Currently, there are two phase three assets, Orforglipron, an oral GLP-1 and retatrutide, a triple incretin agonist, which have the potential to expand upon the potential success of Mounjaro. We believe that Mounjaro has the potential to commercialize beyond type 2 diabetes and obesity, potentially in the areas mentioned above of heart disease, sleep apnea, fatty liver disease and chronic kidney disease. We believe the premium valuation is supported by this outsized growth profile.”

4. Invesco QQQ Trust (NASDAQ GM: QQQ)

5-year Share Price Performance as of March 9, 2024: 146.16%

Invesco QQQ Trust (NASDAQ GM: QQQ) ranks 4th on our list of the best ETFs to buy. Invesco QQQ Trust (NASDAQ GM: QQQ) provides access to a diverse portfolio of innovative NASDAQ-100 companies. The ETF, formed in 1999, has a track record of consistently outperforming the S&P 500 Index. As of March 8, 2024, Invesco QQQ Trust (NASDAQ GM: QQQ)’s net assets stood at $252.6 billion, along with an expense ratio of 0.2%.

Costco Wholesale Corporation is one of the top holdings of Invesco QQQ Trust (NASDAQ GM: QQQ). On March 7, Costco Wholesale Corporation announced its operating results for the first 24 weeks of fiscal 2024, ending February 18, 2024. The company reported a non-GAAP EPS of $3.71, beating market consensus by $0.07. However, the revenue of $58.44 billion fell short of Street estimates by $690 million.

According to Insider Monkey’s fourth quarter database, 57 hedge funds were bullish on Costco Wholesale Corporation, compared to 65 funds in the prior quarter. Ray Dalio’s Bridgewater Associates is a prominent stakeholder of the company, with 687,572 shares valued at $453.85 million.

Madison Sustainable Equity Fund stated the following regarding Costco Wholesale Corporation in its fourth quarter 2023 investor letter:

“Costco Wholesale Corporation reported solid holiday results and announced a special dividend of $15 per share. Earnings were better than expected driven by better gross margin. Same store sales were 3.9% with solid traffic. Costco also noted better discretionary trends and solid seasonal sales.”

3. Vanguard Information Technology Index Fund ETF Shares (NYSE Arca: VGT)

5-year Share Price Performance as of March 9, 2024: 162.20%

Vanguard Information Technology Index Fund ETF Shares (NYSE Arca: VGT) aims to mirror the performance of an index measuring the investment return of stocks in the information technology sector. It employs a passive management approach, utilizing a full-replication strategy when feasible and a sampling strategy when regulatory constraints apply. Vanguard Information Technology Index Fund ETF Shares (NYSE Arca: VGT) includes stocks of companies involved in the electronics and computer industries, or companies manufacturing products based on the latest applied science. The ETF was established on January 26, 2004. It offers an expense ratio of 0.10% and a portfolio consisting of 312 stocks. Vanguard Information Technology Index Fund ETF Shares (NYSE Arca: VGT) is one of the best ETFs to buy.

Vanguard Information Technology Index Fund ETF Shares (NYSE Arca: VGT)’s top holdings include Adobe Inc. (NASDAQ:ADBE). On December 13, the company reported financial results for its fourth quarter ending December 1, 2023. The non-GAAP EPS of $4.27 and revenue of $5.05 billion outperformed Wall Street estimates by $0.13 and $30 million, respectively.

According to Insider Monkey’s fourth quarter database, 105 hedge funds reported owning stakes in Adobe Inc., compared to 112 funds in the last quarter.

Here is what Polen Global Growth has to say about Adobe Inc. in its Q3 2023 investor letter:

“Both Alphabet and Adobe’s businesses continue to perform well. With respect to Adobe, the most recent quarter delivered more of the same with constant currency revenue growing 13%, margin expansion, and over 2% of shares outstanding repurchased for non-GAAP earnings growth of over 20%. We believe its approach to GenAI through Firefly, which guarantees safe content because it trains on Adobe Stock, will continue to be attractive to enterprises. The counter to GenAI, and something we are keeping an eye on with Alphabet and Adobe, is that it requires heavy investment. While both businesses can leverage their scale and manage costs in other areas, we expect the investment in future growth through GenAI will weigh on company-wide margins over the near term.”

2. iShares U.S. Technology ETF (NYSE Arca: IYW)

5-year Share Price Performance as of March 9, 2024: 181.85%

iShares U.S. Technology ETF (NYSE Arca: IYW) aims to replicate the performance of the Russell 1000 Technology RIC 22.5/45 Capped Index, which includes US equities in the technology sector. Established on May 15, 2000, iShares U.S. Technology ETF (NYSE Arca: IYW) provides exposure to electronics, computer software and hardware, and information technology companies, offering targeted access to domestic technology stocks. As of March 8, 2024, the fund’s net assets total $15.8 billion, and its portfolio comprises 133 stocks. The ETF has an expense ratio of 0.40%. iShares U.S. Technology ETF (NYSE Arca: IYW) ranks 2nd on our list of the best ETFs to buy.

Alphabet Inc. (NASDAQ:GOOG) is one of the top holdings of the iShares U.S. Technology ETF (NYSE Arca: IYW). On March 7, Google’s Alphabet announced that it has established its inaugural Asia-Pacific cyberdefense base in Tokyo, with a focus on advancing research on countermeasures against cyberattacks. The initiative involves sharing information with Japanese government officials, companies, and universities. Additionally, the Tokyo site will serve as a central hub for training experts in the field of regional cyberdefense.

According to Insider Monkey’s fourth quarter database, 166 hedge funds were bullish on Alphabet Inc., compared to 163 funds in the last quarter.

The FPA Crescent Fund stated the following regarding Alphabet Inc. in its fourth quarter 2023 investor letter:

“Alphabet Inc. continued going from strength to strength during 2023 despite concerns that competition may infringe on the company’s dominant position in Search. Thus far, Alphabet has continued to hold its own, and we look forward to seeing how the company incorporates further AI developments across the Alphabet ecosystem. Lastly, we are hopeful that the impending arrival of a new CFO will bring a renewed focus on efficiency – an area where we believe Alphabet has ample room for improvement.”

1. VanEck Semiconductor ETF (NASDAQ GM: SMH)

5-year Share Price Performance as of March 9, 2024: 323.63%

VanEck Semiconductor ETF (NASDAQ GM: SMH) ranks 1st on our list of the best ETFs to buy. VanEck Semiconductor ETF (NASDAQ GM: SMH) aims to closely replicate the price and yield performance of the MVIS US Listed Semiconductor 25 Index, which tracks companies specializing in semiconductor production and equipment. Established on December 20, 2011, the ETF had net assets of $17.32 billion as of March 8, 2024, along with an expense ratio of 0.35%.

VanEck Semiconductor ETF (NASDAQ GM: SMH)’s largest holding is NVIDIA Corporation. On February 22, NVIDIA Corporation declared a $0.04 per share quarterly dividend, in line with previous. The dividend is payable on March 27, to shareholders on record as of March 6.

According to Insider Monkey’s fourth quarter database, 173 hedge funds were bullish on NVIDIA Corporation, compared to 180 funds in the last quarter. Rajiv Jain’s GQG Partners is the biggest stakeholder of the company, with 13.90 million shares worth $6.8 billion.

SaltLight Capital stated the following regarding NVIDIA Corporation in its fourth quarter 2023 investor letter:

“We were fortunate to have some exposure to some of the ‘Magnificent Seven’ – Amazon, NVIDIA Corporation, Meta Platforms and Google (although in aggregate, we still hold a smaller weighting than the S&P 500).

While we are cautious in AI infrastructure, we do think there are mispriced opportunities in areas of application software where AI can be infused to make a step change improvement. Posted in our office is this chart that ASML provides at each of its investor days. This chart is a little outdated from 2021, but we think illustrates how value (in operating profit) was distributed across semiconductors, hardware, and then software & services. It’s very clear that most of the economic value in the past has accrued to the software services (in gray) built on the backs of highly technical companies run by extremely smart people.

Why is this? We think it is due to a combination of distribution and network effects. Our working hypothesis right now is that this will likely remain a similar outcome in the AI epoch. One outlier right now is Nvidia which is capturing 80% margins..” (Click here to read the full text)

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