3 Vanguard ETFs to Buy With $1,000 and Hold Forever

Alright, let's dive into the world of investing and explore three Vanguard ETFs that could be perfect for a $1,000 investment and long-term holding. Remember, the goal is to find funds that provide diversification, have low costs, and can grow your wealth over time. Let's get started!



1. Vanguard S&P 500 ETF (VOO)
- Expense ratio: 0.03%
- Tracks the S&P 500 Index, providing exposure to 500 leading U.S. companies across various sectors.
- Top holdings include Microsoft, Apple, NVIDIA, Amazon, and Google.
- VOO returned 15.21% annually over the last five years and 20.81% during the past year.
- Year-to-date (YTD), shares returned 26.63% when based on the ETF's net asset value (NAV, as of Nov. 8, 2024).

The S&P 500 ETF is a classic choice for long-term investors, offering broad market exposure and a track record of strong performance. With a low expense ratio and a diversified portfolio of large-cap stocks, VOO is an excellent choice for a $1,000 investment.

2. Vanguard Total International Stock ETF (VXUS)
- Expense ratio: 0.08%
- Provides exposure to international markets, including both developed and emerging economies.
- Top holdings include Nestlé, Samsung Electronics, and Tencent Holdings.
- VXUS returned 10.34% annually over the last five years and 14.27% during the past year.
- Year-to-date (YTD), shares returned 18.54% when based on the ETF's net asset value (NAV, as of Nov. 8, 2024).

Investing in international markets can help hedge against U.S. market volatility and provide access to growth opportunities in other parts of the world. VXUS offers a diversified portfolio of international stocks at a relatively low cost.

3. Vanguard Total Bond Market ETF (BND)
- Expense ratio: 0.03%
- Invests in a broad range of U.S. government and high-quality corporate bonds.
- Top allocations include Treasury/agency bonds, government mortgage-backed bonds, and industrial bonds.
- BND returned -0.12% annually over the last five years and 1.82% over the last 10.
- The fund has a 30-day SEC yield of 1.84% as of Nov. 8, 2024.

Bonds can provide a stable, income-generating component to your portfolio, helping to reduce overall volatility. BND offers broad exposure to the fixed-income market at a low cost, making it an excellent choice for a $1,000 investment.

In conclusion, these three Vanguard ETFs offer diversification, low costs, and the potential for long-term growth. By investing $1,000 in each of these funds, you can build a well-rounded portfolio that can weather market fluctuations and grow your wealth over time. So, what are you waiting for? Start investing today!