This ETF’s 2024 gains nearly match the Nasdaq Composite – with less volatility

A low-volatility exchange traded fund is performing similarly to the tech-heavy Nasdaq Composite this year – and doing so without the stomach-churning price swings that keep investors up at night. The Invesco S & P 500 Low Volatility ETF (SPLV) has advanced close to 13% in 2024, while the Nasdaq Composite is up 13.8%. The ETF also hit an intraday all-time high on Wednesday. SPLV follows the S & P 500 Low Volatility Index, which is based on 100 stocks within the broad-market index with the lowest realized volatility over the past 12 months. SPLV YTD mountain Invesco’s S & P 500 Low Volatility ETF (SPLV). Where SPLV’s performance really stands out is during times of market tumult. Outside of the big Aug. 5 global market sell-off — in which the Nasdaq lost 3.4% and the low-volatility ETF dropped 2.2% — SPLV has had just one losing day in the past month. It’s also slightly ahead of the tech-heavy index in that period, with a 5.7% gain over the past month, while the Nasdaq is up 5.5%. Top holdings in the ETF include Warren Buffett’s Berkshire Hathaway , Coca-Cola and T-Mobile . Shares of the fund are tradeable on several mainstream popular trading platforms including E-Trade from Morgan Stanley and Charles Schwab. The ETF has an expense ratio of 0.25%. The three major averages have been on shaky footing so far in September after ending the previous month with gains. On Tuesday, the S & P 500, Nasdaq and Dow Jones Industrial Average posted their worst session since the early-August slide as a batch of weak manufacturing data spurred investors’ worries over the economy. Elsewhere, the ‎Cboe Volatility Index has ticked up above 20 since September has started, and it surged over 65 during the early-August rout, which was its highest level since 2020. With the 2024 election looming, markets could only be testing the waters of volatility , making the SPLV a potential candidate to ride out the uncertainty.