- IWY holds 109 growth stocks in the Russell Top 200 Growth Index and has been the best-performing large-cap growth ETF over the last five years. Fees are moderate at 0.20%.
- Growth ETFs have fallen into correction territory in the last three months, with IWY losing 10% from November to February. Notably, that performance was among the best in the category.
- Reasons include high inflation, rising interest rates, and the war in Ukraine. EPS growth targets will be more difficult to meet and IWY's 31.44 forward P/E is still too high.
- In my fundamental analysis, I've compared IWY with leading ETFs across the large-cap value, blend, and growth categories. After seeing volatility and growth rates, I think you'll agree IWY is too risky.
- My recommendation is not to buy IWY today. Instead, wait for relative valuations to improve, which could mean another substantial decline of 10% or more in the near future.
For further details see:
IWY: Be Ready To Buy This Top-Performing Growth ETF