5 Vanguard ETFs to Buy and Hold for the Next Generation

Core Insights - Vanguard is recognized as one of the largest and most reputable money managers globally, focusing on low-fee, broadly diversified fund offerings, making it suitable for long-term investors [1][2] Group 1: Vanguard ETFs Overview - The Vanguard S&P 500 ETF (VOO) is the largest ETF globally, managing over $820 billion, and is considered a cornerstone holding for most portfolios due to its focus on leading U.S. stocks [4][5] - The Vanguard Total Stock Market ETF (VTI) extends beyond the S&P 500, investing in over 3,500 stocks, including mid and small-cap stocks, which historically offer greater return potential [6][7] - The Vanguard Growth ETF (VUG) targets aggressive growth stocks, particularly those expected to benefit from innovations, such as advancements in AI [8][10] - The Vanguard Dividend Appreciation ETF (VIG) focuses on companies that have consistently raised dividends for at least 10 years, providing a stable foundation for long-term portfolios [12][13] - The Vanguard Total Bond Market ETF (BND) includes thousands of investment-grade bonds, offering a yield of approximately 4.2%, which contributes to income and risk management in a long-term portfolio [14][15] Group 2: Performance and Strategy - The Vanguard Growth ETF has historically performed in the top quintile of Morningstar's Large Cap Growth category over multiple time frames, indicating strong past performance [11] - Investing in a diversified range of stocks, including mid and small caps, can help mitigate risks associated with market leadership shifts [7]