which etf is performing the best

Vanguard Total Stock Market ETF (VTI) has consistently performed well over the past year, ranking among the top-performing ETFs with an expense ratio of just 0.03%.

Oct 19, 2024 at 12:12 pm

Which ETF is Performing the Best?

Exchange-traded funds (ETFs) are a popular investment vehicle that offers investors a diversified portfolio of stocks, bonds, or other assets. They are traded on exchanges like stocks, but they offer the benefits of mutual funds, such as diversification and professional management.

There are thousands of ETFs available, each with a different investment strategy. Some ETFs track a specific index, such as the S&P 500, while others track a particular sector or industry. Some ETFs are actively managed, which means that a portfolio manager makes decisions about which assets to buy and sell. Others are passively managed, which means that they simply track an index.

The performance of an ETF is typically measured by its total return, which includes both capital appreciation and dividend income. The total return of an ETF can be compared to the total return of a benchmark index, such as the S&P 500.

Factors to Consider When Choosing an ETF

When choosing an ETF, there are a number of factors to consider, including:

• Investment objective: What is your investment goal? Are you looking for growth, income, or preservation of capital?
• Risk tolerance: How much risk are you comfortable with? ETFs can range from low-risk to high-risk.
• Time horizon: How long do you plan to invest? ETFs can be suitable for both short-term and long-term investments.
• Fees: ETFs charge annual fees, which can eat into your returns. It is important to compare the fees of different ETFs before investing.

How to Find the Best ETF

There are a number of resources available to help you find the best ETF for your investment needs. You can use an ETF screener to narrow down your choices based on a number of criteria, such as investment objective, risk tolerance, and time horizon. You can also read ETF reviews and compare the performance of different ETFs before making a decision.

Top-Performing ETFs

The following are some of the top-performing ETFs over the past year:

• Vanguard Total Stock Market ETF (VTI): VTI tracks the entire U.S. stock market and has an expense ratio of 0.03%.
• Schwab Total Stock Market ETF (SCHB): SCHB also tracks the entire U.S. stock market and has an expense ratio of 0.03%.
• iShares Core S&P 500 ETF (IVV): IVV tracks the S&P 500 index and has an expense ratio of 0.03%.
• Vanguard 500 Index Fund ETF (VOO): VOO also tracks the S&P 500 index and has an expense ratio of 0.03%.
• SPDR S&P 500 ETF Trust (SPY): SPY is one of the most popular ETFs and tracks the S&P 500 index. It has an expense ratio of 0.09%.

These ETFs are all low-cost and offer a diversified exposure to the U.S. stock market. They are suitable for a wide range of investors, from beginners to experienced investors.