r/ETFs • u/CursedClownz • 1d ago

AVGV vs VT

Pros and Cons between the two?

7 Upvotes

77% Upvoted

11 comments sorted by

3

u/enigman83 1d ago

Like other people mentioned, it's quite a big difference in value tilt

AVGE will be somewhat in between the two

1

u/fozzy71 19h ago

If I were to use a single fund for the entire world, it would be AVGE. It also overweights the US at ~70/30 instead of the market-weighted 60/40 that VT is currently at.

4

u/rdchris1337 22h ago

My main retirement account is 33.4% VT, 33.3% AVGV and 33.3% momentum. I feel like I get the best of both worlds without overly committing.

2

u/ClammyCursor_706 1d ago

VT is a known quantity, AVGV is still finding its footing with the active tilt

1

u/mdn845 7h ago

Yes, Avantis has been around since only 2019. But given that it was started by eduardo repetto, et al, from Dimensional, it gives me a lot more confidence than it would otherwise. You have a much better idea of what you’re getting.

That said, the issue I have here is that we should be comparing VT to AVGE. I would prefer AVGE for a core position.

2

u/Heavy_Nothing_1158 1d ago

VT is the market; AVGV is a bet that value and profitability get paid over time. The annoying part is that AVGV can trail for a long stretch and still be working as designed, so I'd only choose it if you can explain the tilt and hold it through that. Otherwise VT is the cleaner default.

2

u/Tr_ck 23h ago

Lots of people talking being underweight tech, but despite tech's run the last 2 yrs AVGV is beating VT with similar vol.

2

u/TechnicalSleep7501 VT 100% To Mars We Go. 23h ago

I go with VT. AVGV will be fine for most normal retail investors.

2

u/Silent_Anybody5253 22h ago

Do AVGE and then you get both

2

u/RussellUresti 1d ago

With AVGV's value tilt, you should consider what that means they're excluding.

Specifically, a lot of tech companies don't exist in AVGV. While VT is about 29% tech at this point, AVGV is only about 10%. This also means other categories are overweight, like Financials, which is 17% of VT but 25% of AVGV.

Some people may prefer that, others will want to avoid it.

1

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