Three Vanguard exchange-traded funds are positioned to outperform as technology stocks lose their market leadership. The Vanguard Industrials ETF benefits from surging global factory activity, with the Federal Reserve's industrial productivity index hitting a multiyear high in May and the ISM Manufacturing PMI reaching 54.5, its highest in four years. The Vanguard Financials ETF is supported by higher interest rates boosting lending margins, while loan portfolios and deposits at major banks like Bank of America and Wells Fargo grew in the first quarter without a significant rise in charge-offs. The Vanguard Value ETF has gained about 15% year to date, outpacing the Vanguard Growth ETF's 7.5% return, as investors rotate away from growth stocks that are heavily weighted toward a few large technology companies.
Bank of America Corp
Goldman Sachs Group Inc
Wells Fargo & Company
Apple Inc.
NVIDIA Corporation
Charles Schwab Corp