The Smartest Growth ETF to Buy With $1,000 Right Now. (Hint: It Has Averaged Annual Gains of 18.6% Over the Past 10 Years.)

By Selena Maranjian – Feb 15, 2026 at 1:00PM ESTKey PointsThe ETF has an impressive track record.It charges a paltry annual fee.It encompasses all of the "Magnificent Seven" stocks, too.We’re bullish on these 10 stocks ›NYSEMKT: VUGVanguard Growth ETFToday's Changeangle-down(-0.47%) $2.17Current Price$457.98Price as of February 13, 2026 at 4:00 PM ETIt's an easy way to quickly own 150-plus companies growing at a solid clip.If you're like me, you would love a portfolio chock-full of terrific growth stocks. But achieving that is easier said than done, because you'll need some time and skill to study the universe of stocks, deciding which ones have the most promise and when you should buy -- and/or sell -- them. Thus, it can be smart to stick with one or two great growth exchange-traded funds (ETFs). (An ETF is a fund that trades like a stock, making it easy to get in and out of.) Here's a look at one of my favorites -- the Vanguard Growth ETF (VUG 0.47%) Image source: Getty Images. The table below shows how it has performed, and offers comparative numbers for the Vanguard S&P 500 ETF (VOO +0.04%): Time Period Vanguard Growth ETF Vanguard S&P 500 ETF Past 5 years 12.81% 13.82% Past 10 years 18.55% 16.09% Past 15 years 15.40% 13.77% Data source: Morningstar as of Feb. 9, 2026. Why you might invest in the Vanguard Growth ETF Here are some reasons I love this ETF: It sports a solid performance record. Its expense ratio (annual fee) is just 0.04%, so you'll fork over only $0.40 annually for each $1,000 you have invested in the fund. It's full of large, established companies, including the "Magnificent Seven." ExpandNYSEMKT: VUGVanguard Growth ETFToday's Change(-0.47%) $-2.17Current Price$457.98Key Data PointsDay's Range$456.60 - $462.3852wk Range$316.14 - $505.38Volume2.2M Here are the ETF's recent top 10 holdings: Stock Percent of ETF Nvidia 12.73% Apple 11.88% Microsoft 10.63% Alphabet Class A 5.39% Amazon 4.58% Alphabet Class C 4.27% Meta Platforms 4.26% Broadcom 4.04% Tesla 3.77% Eli Lilly 2.72% Data source: Morningstar as of Dec. 31, 2025. Why you might not invest in the Vanguard Growth ETF Of course, the ETF is not for everyone, and you might think twice if: You're worried about an imminent market meltdown -- because during such pullbacks, growth stocks often fall harder than their counterparts. You don't love very concentrated funds. This ETF recently held about 64% of its assets in just its top 10 holdings. (It recently held 151 different stocks.) Indeed, about 35% of its assets were in just its top three holdings! This is a plus, of course, if you're exceptionally bullish on the future of companies such as Nvidia, Apple, and Microsoft. You'd like some dividend income. This ETF's recent yield was just 0.42%, even less than the S&P 500's recent 1.1%. So take a closer look, weigh the fund's pros and cons, and see what you think. Remember that there are plenty of other promising ETFs out there, too.Read NextJan 30, 2026 •By Stefon Walters1 ETF That Could Turn $500 per Month Into $1 MillionJan 26, 2026 •By Adé HennisIWO vs. VUG: Comparing Growth ETFs With Different FocusesJan 24, 2026 •By Stefon WaltersIf I Had to Bet on 1 Vanguard ETF Outperforming the Market in 2026, This Would Be ItJan 23, 2026 •By David Jagielski, CPANew Investors: Build Your Portfolio Around These 2 Rock-Solid ETFsJan 17, 2026 •By Jake LerchDIA vs. VUG: Is Dow Stability or Big Tech Growth the Better Choice for Investors?Jan 17, 2026 •By Katie BrockmanSCHG vs. VUG: Here's How to Decide on the Right Growth ETF for Your PortfolioAbout the AuthorSelena Maranjian is a contributing personal finance and investing expert at The Motley Fool. Selena has produced The Motley Fool’s nationally syndicated newspaper feature since 1997. She is the author of The Motley Fool Money Guide and Investment Clubs: How to Start and Run One the Motley Fool Way, and the co-author of The Motley Fool Investment Guide for Teens and several editions of The Motley Fool Investment Tax Guide. Prior to The Motley Fool, she worked as a high school teacher and public opinion analyst. She holds a master’s degree in teaching from Brown University and a master’s degree in finance from the Wharton School of the University of Pennsylvania.TMFSelenaStocks MentionedVanguard Growth ETFNYSEMKT: VUG$457.98 (0.47%) $2.17Vanguard S&P 500 ETFNYSEMKT: VOO$626.77 (+0.04%) $+0.28*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.