5 Best ETFs to Invest In For Long Term

2. Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG)

Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG) tracks the total return of the Dow Jones U.S. Large-Cap Growth Total Stock Market Index, offering potential tax-efficiency due to low costs. The fund invests in large-cap U.S. securities that are growth oriented. 48% of the fund’s investments are centered on the information technology sector. 

Amazon.com, Inc. (NASDAQ:AMZN), one of the Big Five US tech giants, is a significant holding of Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG), representing 6.66% of the total portfolio. 

According to the Department of Commerce, despite supply chain and inflationary pressures, US e-commerce sales increased 6.7% year-over-year in Q1 to $231 billion, JPMorgan analyst Doug Anmuth told investors in a research note on June 3. He called Amazon.com, Inc. (NASDAQ:AMZN) his best idea, noting that the company’s revenue growth should also accelerate in the second half of 2022 as comps ease and it wins further share in “key under-penetrated categories” including grocery, consumer packaged goods, apparel and accessories, and furniture/appliances/equipment, contended the analyst.

According to the database of elite funds maintained by Insider Monkey, Amazon.com, Inc. (NASDAQ:AMZN) was part of 271 public hedge fund portfolios in Q1 2022, compared to 279 funds in the earlier quarter. Jaime Sterne’s Skye Global Management is a notable position holder in the company, with 740,500 shares worth $2.4 billion. 

Here is what Miller Value Partners Opportunity Equity has to say about Amazon.com, Inc. (NASDAQ:AMZN) in its Q1 2022 investor letter:

“For frame of reference, Amazon (NASDAQ:AMZN) bottomed at the same valuation in the financial crisis (side note: Amazon bottomed at 4x EV/GP after the tech bubble burst)! So there’s historical precedent for the lows being in. We will see whether that holds true this time. Regardless, we think there’s significant upside over a 5-year time horizon. The one other topic I want to briefly address is our volatility. We hope to write something about the topic in more depth in the future, but we want our clients and prospective investors to understand our views on it. We think that volatility is significantly misunderstood. We believe it creates opportunities from which we can profit.”