From Nasdaq: 2024-05-15 07:00:00

Vanguard has amassed around $7.5 trillion in assets under management since its establishment in 1975. However, the firm has yet to tap into international markets, which could potentially add trillions more to its balance sheet in the next decade.

Two of Vanguard’s popular ETFs are the Vanguard Total Stock Market Index Fund ETF (VTI) and the Vanguard Growth Index Fund ETF (VUG). VTI provides investors with a cost-effective, diverse exposure to large-, mid-, and small-cap companies, while VUG focuses on fast-growing large-cap companies.

VTI’s low expense ratio of 0.03% and 1.35% annual yield make it an attractive long-term investment. On the other hand, VUG’s low expense ratio of 0.04% and average annual returns of 15.8% over the past five years cater to investors seeking higher growth in the short-to-medium-term.

Investors deciding between VTI and VUG should consider their investment horizon and risk tolerance. VTI suits those seeking stable long-term growth, while VUG is more suited for investors looking for aggressive growth in the short-to-medium term. Both options cater to different investing goals, depending on individual risk tolerance.



Read more at Nasdaq: Better Buy: Vanguard Total Stock Market ETF or Vanguard Growth Index Fund ETF?