PTF vs VGT

PTFCInvesco Dorsey Wright Technology Momentum ETF

VGTAVanguard Information Technology ETF

In short

PTF Launched in 2006, PTF skips the mega-cap pecking order and ranks tech stocks on relative strength instead, holding the leaders and reshuffling quarterly. Fee: 0.60%, net of a waiver through August 31, 2028.

VGT Vanguard's technology sleeve, indexed since 2004: roughly 300 US tech stocks running from megacap giants down to small caps, for 0.09% a year. Broad coverage of the sector rather than just its household names.

Stated mandate

PTF The fund normally invests at least 90% of its assets in securities comprising its technology-focused momentum index.

VGT The fund seeks to track an index measuring the investment return of information technology stocks. It uses an indexing approach for large-, mid-, and small-capitalization U.S. technology companies and normally invests at least 80% of assets in target-index stocks.

Why people hold it

• PTF The index ranks technology stocks by relative strength and holds a minimum of 30 of the strongest, so the lineup follows what is actually leading rather than what is largest.nasdaqomx.com
• Reconstituted and rebalanced every quarter (January, April, July, October), so fading names get cut on a schedule instead of lingering in the portfolio.nasdaqomx.com
• Trading since 2006, which gives this momentum screen a long public record across several tech cycles rather than a backtest.
• A plain, fully disclosed basket of roughly 40 US tech stocks, with at least 90% of assets in index names. No derivatives, no leverage, no black box on the holdings side.

• VGT Casts a wide net: about 300 US technology stocks across large, mid and small caps, not just the megacap names everyone already knows.vanguard.com
• Charges 0.09% a year, roughly a quarter of what the typical technology sector ETF asks.
• One of the largest and most actively traded sector funds around, and it has followed its index closely.
• Running since 2004 and among the strongest implementations in its technology peer group. Pays quarterly.

Worth knowing

• PTF At 0.60% (0.69% gross, net of a waiver through August 31, 2028) it costs more than the typical broad tech fund; XLK charges 0.08% and VGT 0.09%.
• Roughly 40 momentum-picked names is a far narrower book than a cap-weighted tech index, and quarterly reshuffles mean the holdings can change meaningfully when leadership rotates.nasdaqomx.com
• Momentum, not income: the screen selects on price strength, and the fund has gone without paying a distribution.

• VGT Weighted by market value, so the biggest platform companies drive most of the return. The small caps are along for the ride.
• One sector, one country: US technology only, which means bigger swings than a total market fund.
• If the last basis point matters, XLK and FTEC list at 0.08%.

Full PTF profile⁠

Full VGT profile⁠