10 Growth ETFs to Buy for Backside Protection, Too

Growth exchange-traded funds (ETFs) are as straightforward as they sound: They're portfolios of growth stocks.

By definition, a growth stock is any company with an above-average growth profile. In other words, they are companies whose revenues and earnings are expanding faster than the market average. They also often pay little or no dividends, opting instead to reinvest their cash flow in the business to maintain their growth.

But they have their pitfalls; namely, when growth slows. Recently, outdoor gear maker Canada Goose (GOOS) lost more than 30% of its value in a single day after reporting lower-than-expected fourth-quarter earnings. Although revenues rocketed 40% higher year-over-year and profits jumped 20%, it still marked the company's slowest growth in eight quarters, prompting fears its tremendous growth was coming to an end. Whether that's true is up for debate. But if you owned GOOS stock, you couldn't have been pleased about the one-day plunge.

This is why owning growth ETFs makes so much sense. By diversifying your growth-stock holdings through a fund, you're protecting your downside.

Here are 10 growth ETFs to buy if you want to cut back on the risk of owning individual shares.

Schwab U.S. Large-Cap Growth ETF

Market value: $7.8 billion

Dividend yield: 1.1%

Expenses: 0.04%

If you're looking for a low-cost way to invest in U.S. large-cap growth stocks, the Schwab U.S. Large-Cap Growth ETF (SCHG, $83.20) is one of the best options, at 0.04% in annual expenses.

SCHG, which tracks the performance of the Dow Jones U.S. Large-Cap Growth Total Stock Market Index, selects growth stocks from 750 of the largest U.S. companies by market cap. Using six fundamental factors to determine their suitability as growth stocks (two

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