Elon Musk’s vision for America is no longer just about rockets and electric cars — it’s about creating a tech-powered economy that changes how the country runs. After pouring $290 million into the 2024 election and helping President Donald Trump secure victory, Musk now leads the Department of Government Efficiency (DOGE).
This group is focused on cutting “wasteful expenditures” and “excess regulation.” As part of this, Musk has embarked on a push for pro-tech policies. His companies, like Neuralink and Starlink, continue to lead in artificial intelligence and satellite advancements and are set to benefit from his growing federal influence.
For investors looking to profit from a world in which Musk is at the helm, the Vanguard S&P 500 ETF (VOO) offers a way to tap into the tech transformation without relying on individual stocks.
Instead of focusing only on Tesla (TSLA), VOO gives exposure to a mix of top tech companies. By combining Musk’s ambitious projects with these tech leaders’ innovations, VOO provides a balanced way to benefit from this massive shift in America’s economy. It’s a smart move for anyone looking to align with Musk’s bold plans. Let’s take a closer look at the ETF.
Breaking Down the VOO ETF
The Vanguard S&P 500 ETF (VOO) is a straightforward yet powerful way to tap into America’s tech-driven transformation. Launched in September 2010, this fund by Vanguard has grown to manage a massive $621.4 billion in assets.
It uses a full replication strategy, meaning it holds all stocks in the S&P 500 Index ($SPX), weighted by market capitalization, liquidity, and sector representation, ensuring precise tracking of the benchmark index.
VOO’s performance highlights its strength. The fund has delivered 21.5% over the past 52 weeks. Even with a slight 0.7% dip over the last five days, it has gained 2.5% in the year to date and 1.4% over the past month.
The ETF’s portfolio is dominated by tech heavyweights that align with Musk’s vision for America’s future. Apple (AAPL) leads with a 7.59% allocation, followed by Nvidia (NVDA) at 6.6% and Microsoft (MSFT) at 6.28%. Amazon (AMZN) holds 4.12%, Meta Platforms (META) accounts for 2.56%, and Tesla (TSLA) — Musk’s own company — makes up 2.26%. Alphabet’s Class A (GOOGL) and Class C (GOOG) shares are at 2.22% and 1.82%, respectively, while Broadcom (AVGO) claims 2.17%. Berkshire Hathaway (BRK.B) rounds out the top ten at 1.67%. Together, these top holdings make up 37.27% of the fund’s total assets.
VOO keeps costs low with a management fee of just 0.03%, or $3 on an initial $10,000 investment, maximizing returns for its holders. It also offers steady income through dividends, with a yield of 1.22%. With approximately $100 billion in fresh inflows reported by FactSet, VOO continues to balance growth and income effectively while drawing significant attention from market participants.
Megatrend Accelerators
Trump himself has also announced a tech-friendly push, including the Stargate initiative between OpenAI, Oracle (ORCL), and SoftBank (SFTBY), which involves a $500 billion investment in AI infrastructure. Investors broadly expect that his administration will reduce regulations, which would be especially beneficial for the tech giants that make up a significant portion of VOO’s portfolio.
On top of that, the creation of the President’s Council of Advisors on Science and Technology — featuring top tech executives — further highlights how serious the administration is about letting industry leaders drive innovation.
Musk’s unique position as both a government figure and a tech pioneer has created rare opportunities for his companies. Tesla and SpaceX are well-positioned to benefit from fewer regulations and more government contracts. Other major players like Microsoft, Amazon, and Meta are also set to gain from these developments. The government’s focus on national AI initiatives and quantum computing programs aligns perfectly with their strengths and ambitions.
With Musk shaping federal tech policy and the government pouring resources into innovation, this is a pivotal moment for technology-focused companies. The combination of federal support, lighter regulations, and massive investments creates an ideal environment for VOO’s portfolio to thrive.
On the date of publication, Ebube Jones did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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