Vanguard ESG U.S. Stock ETF

Vanguard ESG U.S. Stock ETF (ESGV) is an index fund that tracks the FTSE US All Cap Choice Index. It held 1,225 large, mid and small U.S. company stocks as of Aug. 31, 2026, all screened for environmental, social and governance (ESG) standards. The screens remove fossil fuel, weapons, tobacco, alcohol, gambling and nuclear power companies, which leaves the fund heavy in technology. Its 0.09% expense ratio is a little above the 0.06% average for similar funds.

• Over the year to Nov 2, 2026, ESGV returned +9.8%, 9th of 9 among similar funds.
• Its 5-year annualized return was +10.1%.
• In the 2020 COVID crash it fell 33.7% and regained its old high 4 months after the low.
• Its worst full calendar year was 2022 (-24.0%); its best was 2019 (+33.4%).
• The deepest fall in its price history was 33.7% (Feb 19, 2020 to Mar 23, 2020), recovered by Jul 22, 2020.

As of Aug 31, 2026, the fund held 1,225 securities; the ten largest made up 41.33% of assets.

By sector

• Over the three months to Aug 31, 2026, investors withdrew a net $32.7M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: -1.02%, -0.41%, +3.18%.

ESGV follows the FTSE US All Cap Choice Index, built by FTSE Russell. The index covers large, mid and small U.S. companies and is weighted by market capitalization, meaning a company's share price times its share count. The biggest companies therefore get the biggest weights. FTSE Russell removes companies with a set level of involvement in, or revenue from, adult entertainment, alcohol, tobacco, cannabis, gambling, many types of weapons, civilian firearms, nuclear power, and coal, oil or gas. It also drops companies it judges to fall short on labor, human rights, environmental, anti-corruption or diversity standards.

Vanguard aims to hold all or nearly all of the index's stocks in about the same proportions as the index, and it must keep at least 80% of net assets in them. Trading is light: portfolio turnover was 3%. Because the index is weighted by size, a few stocks dominate. As of Aug. 31, 2026, NVIDIA was 8.6% of assets, Apple 7.7% and Microsoft 6.3%, and the top 10 holdings made up 41.3%. The prospectus warns that the fund could become "nondiversified" under federal fund law, or concentrated in one industry, simply by following the index.

The shares trade on Cboe BZX Exchange at market prices, which can sometimes differ from the value of the underlying holdings. The fund also held a few futures and swap contracts, but their value rounded to 0% of assets.

• ESGV charges 0.09% a year, versus an average of 0.06% for the similar funds below (7th of 9, cheapest first).
• Of that, 0.08% is the management fee; the rest covers other fund expenses.
• Using the prospectus's standard example, $10,000 invested would cost about $9 in the first year and $115 over 10 years (assuming a 5% annual return).

It offers broad exposure to U.S. stocks of every size at a low cost, with ESG screens built in.

ESGV could serve as the U.S. stock core of a portfolio for someone who wants ESG screens, but it holds only stocks and has fallen hard. Its deepest drop was 33.7%, from Feb. 19 to Mar. 23, 2020, and it had recovered by July 22, 2020. In the 2022 bear market it fell 28.7% and did not regain its old high until Jan. 19, 2024. Its worst calendar year was 2022, down about 24%. The fund launched in 2018, so it has no record from the 2008 crisis. A retiree who had to sell shares in a year like 2022 would lock in losses, which is why a cash or bond reserve can help. Income is small: the trailing yield was 0.88% as of Oct. 29, 2026, paid quarterly. In the SEC's standard example, costs total $115 over 10 years on $10,000. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.