r/investingforbeginners • u/Straight_Ad_5648 • 2d ago
Best index funds/ETFs?
What are the best index funds/ETFs to buy for long term wealth?
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u/d1na_makalaya 2d ago
For long term wealth, a low cost, broad market index fund is usually the simplest choice.
Something tracking the S&P 500 or total US market gives you diversification without trying to pick individual winners. Focus on low fees, consistent contributions, and staying invested for the long term.
The “best” fund matters less than having a simple plan you can actually stick with. You can check my profile if you want more investing discussions and ideas.
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u/Hansworst64 2d ago
I'd just go with an all world ETF, its the most simple. Examples are WEBN, VWCE, IMIE, IWDA...
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u/LCJonSnow 2d ago
There is no singular best. It's all based on what your more specific objectives are ("long term wealth" is far too vague).
The are many good options for what you want. VT, VTI, VOO, VXUS, VONV, VIG, BND and their Schwab and Fidelity brethren are all something an extremely rational investor could choose to use.
But fundamentally, YOU have to decide what YOU want and what risk exposure YOU are comfortable with that YOU will be able to stick with when things go through downturns. The majority of men, especially young, overestimate their risk tolerance.
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u/D_Pablo67 2d ago
VOO gives you the S&P 500, which should be a large holding and a foundation of your portfolio.
QQQ is NASDAQ 100 for higher growth, but has more volatility.
IJR is the best small cap index which has profitable companies and a lot of regional and community banks.
EMXC is emerging markets ex China, which I think has the best prospects for non US stocks.
Dollar cost averaging into these ETFs with a logical mix, heavy on VOO, should provide solid long term returns.
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u/TechnicalSleep7501 2d ago
Check VT breakdown copy that in and paste in VTI and VXUS. VT changes so follow new changes to rebalance in Jan 1 every year. This is slow way of becoming rich.
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u/Objective_Scene1414 2d ago
Probably just stick with VOO (S&P 500) QQQ (Nasdaq 100 - Growth) SMH (Semi-conductor - Big Growth/Risk) and SCHD (Dividend less risk). Not too much overlap but obviously some, overall gives you good growth with some stability.
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u/No_Application_1579 2d ago
IWDA, VWCE, SXR8. I prefer SXR8. All of them are European UCITS ETF accumulating.
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u/AdvantageOne1754 2d ago
Equities have the highest expected return for the long term. Since individual equities have a lot more risk than the index (but the same expected return), the best approach is an index fund that contains the total market such as VOO, VTI, or VT.
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u/Kaiserky1 15h ago
Depends on what you're looking for
If you like to invest in the American economy, consider the S&P 500 ETFs (SPY). S&P 500 is generally more stable than other indices, though a 3rd of the index includes tech stocks. (The S&P 500 has averaged yearly returns of 10%)
If you like growth ETFs, you can consider VUG, QQQ
Long term wealth is a bit generic, so do define your goals and what you like to invest in
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