The exchange-traded fund (ETF) industry has grown in all directions in 2025. ETFs have become a prominent investment in a portfolio by demonstrating impressive growth. From every corner of the globe and every type of investor, ETFs have grown in both measures. Every major ETF has seen inflows this year, and industry trends point to continued momentum for 2026. Known for low-risk, steady returns and ultimate diversification, ETFs have become a top choice during periods of market uncertainty. SPDR S&P 500 ETF (NYSEARCA:SPY), Invesco QQQ Trust (NASDAQ:QQQ), and Vanguard S&P 500 ETF (NYSEARCA:VOO) have led the charge as ETF assets hit new milestones in 2025.
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SPY leads 2025 ETF inflows with $672.7B in assets under management and a 16.98% gain.
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QQQ grew from $100B in assets in 2020 to over $400B today.
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VOO attracted over $105B in inflows this year and holds $800.2B in total assets.
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The SPDR S&P 500 ETF Trust remains one of the most dominant industry players in 2025. It tops the ETF market with the highest inflows in the year. SPY tracks the S&P 500 index and invests in large-cap U.S. companies. It has an expense ratio of 0.0945% and holds 500 stocks. The ETF has $672.7 billion in assets under management.
SPY pays quarterly dividends and has a yield of 1.03%. While the yield is not very high, the fund has the potential for capital appreciation. In 2025, it has gained 16.98% and is exchanging hands for $683.89. SPY offers ultimate diversification with the top 500 U.S. large-cap stocks.
The ETF has the highest allocation to the technology sector (34.74%), followed by financials (13.20%) and communication services (10.65%). SPY has been the biggest beneficiary of the ETF boom in 2025.
Its top 10 holdings include Nvidia, Apple, Microsoft, Amazon, Alphabet, Broadcom, and Meta Platforms. Since the fund holds about 500 stocks, the weightage on each stock is limited. Nvidia has the highest weightage at 7.48%.
SPY has generated a cumulative 3-year return of 22.51% and a 5-year return of 17.47%. It is considered as one of the best places to put your money.
The Invesco QQQ Trust is one of the largest ETFs in the world and has $400 billion in assets under management. It was at $100 billion in assets in 2020 but is up 300% with over $400 billion today. The fund tracks the Nasdaq 100 and invests in the top U.S. companies that are a part of the index.
It is a passively managed fund that consists of the 100 largest non-financial companies in the Nasdaq index. It is a tech-heavy fund that invests in the Magnificent Seven. Its top holdings include Nvidia, Apple, Microsoft, Alphabet, Broadcom, Tesla, and Amazon. These companies account for over half of the value of the Nasdaq 100, and their upside has allowed QQQ to outperform the broader market.
QQQ has an expense ratio of 0.2%. This ETF is a way to own AI powerhouses and make the most of their upside. It invests 64% of the portfolio in the technology sector and 18% in consumer discretionary.
QQQ has generated a 500% cumulative return over a 10-year period. The fund has gained 22% so far in 2025 and is exchanging hands for $623. As long as the tech industry continues to drive the market, QQQ will keep growing.
Vanguard’s S&P 500 ETF has seen a year-to-date inflow of over $105 billion, becoming a top asset gatherer of the year. VOO is very similar to SPY and invests in the stocks in the S&P 500 index. It has gained 17% in 2025 and is exchanging hands for $628.85.
It has an expense ratio of 0.03% and a dividend yield of 1.10%. The fund also holds 500 stocks with the highest allocation in the technology sector (36.10%), followed by financials (12.90%).
Its top holdings include the same stocks as SPY, which are Nvidia, Apple, Microsoft, Alphabet, Tesla, and Meta Platforms. While both the ETFs are identical, VOO has a larger asset under management of $800.2 billion and provides higher liquidity.
The fund has generated a cumulative 3-year return of 75.11% and a 5-year return of 103.22%. VOO has a simple investment strategy and a strong track record. It has generated an average annual return of 14.6% in the past 10 years and 17.6% in the past five years. If you’re new to investing, VOO can be an ideal starting point. It can become a pillar of your investment portfolio.
Even if there’s a market correction, this fund has the potential to rebound.
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