5 Best Large-Cap Growth ETFs

2. Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG)

5-Year Share Price Performance as of May 3: 116.13%

Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG) ranks 2nd on our list of the best large-cap growth ETFs. The objective of the Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG) is to closely mirror, prior to fees and expenses, the overall performance of the Dow Jones U.S. Large-Cap Growth Total Stock Market Index. The fund was launched on December 11, 2009. As of May 2, 2024, the fund’s net assets amounted to $26.3 billion, along with a portfolio comprising 250 holdings and a net expense ratio of 0.040%.

UnitedHealth Group Incorporated (NYSE:UNH), an American diversified healthcare company, is one of the largest holdings of Schwab U.S. Large-Cap Growth ETF (NYSE:SCHG). UnitedHealth Group Incorporated (NYSE:UNH) was part of 113 hedge fund portfolios at the conclusion of the fourth quarter of 2024, compared to 104 funds in the prior quarter. Rajiv Jain’s GQG Partners is the top stakeholder of the company, with 3.42 million shares worth $1.80 billion.

Baron Health Care Fund stated the following regarding UnitedHealth Group Incorporated (NYSE:UNH) in its first quarter 2024 investor letter:

“UnitedHealth Group Incorporated (NYSE:UNH) is a leading health insurance company that operates across four segments: United Healthcare, Optum Health, OptumInsight, and OptumRX. Shares fell alongside other managed care organizations (MCOs) due to patient utilization of Medicare Advantage (MA) that was higher than consensus forecasts, raising concerns that MCOs had mispriced 2024 bids and could suffer margin compression as a result. In addition, the industry is facing headwinds from MA reimbursement cuts and Star Rating changes. While management said higher cost trends are mostly transitory and reflected in its bidding, and 2024 guidance was roughly in line with consensus, investors took a more cautious wait-and-see approach. We believe UnitedHealth should remain a core portfolio holding, as it is a way to play positive demographic, population health, and value-based reimbursement trends. Despite its size, we think the company should be able to grow earnings consistent with its 13% to 16% long-term EPS annual target, the fastest among major MCOs.”