VTI - Better Buy: Vanguard Total Stock Market ETF or Vanguard S&P 500 ETF?
2024-04-24 10:15:00 ET
Many investors subscribe to the idea of index investing , but figuring out which index fund they should own can leave them somewhat paralyzed.
Two common recommendations are the Vanguard Total Stock Market ETF (NYSEMKT: VTI) and the Vanguard S&P 500 ETF (NYSEMKT: VOO) . Both Vanguard funds earn high marks from index investors thanks to their low expense ratios and strong track record of matching their respective indexes. Either could provide a great foundation for a portfolio.
Where they differ is in which index they track. The Total Stock Market fund tracks the CRSP US Total Market Index , which captures practically every investable U.S. stock in the market. The S&P 500 ETF tracks the S&P 500 , which is a collection of about 500 of the largest U.S. companies that have been consistently profitable for at least a year.
For further details see:
Better Buy: Vanguard Total Stock Market ETF or Vanguard S&P 500 ETF?