VHT also devotes about a third of its combined weight to medical equipment makers, one of the hottest corners of the healthcare sector; and managed care providers.

Industry observers argue that medical technology companies can tap into increased healthcare spending among emerging economies while the U.S. market has matured and could experience slower growth. Looking ahead, in the years through 2024, spending growth is projected to average 5.8% and peak at 6.3% in 2020.

VHT charges 0.10% per year, or $10 on a $10,000 investment, making it cheaper than 92% of rival funds, according to Vanguard.

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