3 Things Investors Need to Know About Vanguard Total Stock Market ETF
Monday, 15 April 2024, 08:30
Vanguard Total Stock Market ETF: Top 3 Must-Knows Before Investing
It commands more than $1 trillion in assets under management. Exchange-traded funds (ETFs) are hugely popular with investors. One of the most recognized names in the ETF space is Vanguard, the company behind several of the biggest funds in the world in terms of assets under management.
1. VTI is focused on large tech
- Efficiency: The Total Stock Market ETF is about the most efficient way an investor can gain exposure to the market.
- Exposure: A full 33% of the fund's assets are invested in the tech sector.
2. Efficiency is king with VTI
- Market Tracking: It has a beta of 1.0, meaning it moves in lockstep with the S&P 500.
- Cost-effective: Its expense ratio is 0.03%, significantly lower than industry peers.
3. VTI is not the only game in town
- Alternatives: Consider other Vanguard ETFs such as Vanguard High Dividend Yield ETF and Vanguard Growth ETF.
- Personalization: Tailor your investment mix based on your financial goals and risk tolerance.
Investing in the Vanguard Total Stock Market ETF offers efficient exposure to the wider market.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.