This Low-Cost Vanguard Fund Can Be a No-Brainer Option for Long-Term Investors
The Motley Fool·2026-02-07 17:09

Core Insights - The Vanguard S&P 500 ETF is highlighted as a low-cost investment option that allows investors to easily track the performance of the S&P 500 index, which consists of the largest U.S. companies [1][2] Investment Strategy - Long-term investors should prioritize low-cost funds to minimize fees, which can significantly impact overall returns [2][4] - The Vanguard S&P 500 ETF has an expense ratio of just 0.03%, making it one of the most efficient options available [4] Fee Impact - A difference of just one percentage point in annual returns can lead to substantial differences in investment value over time; for example, a $50,000 investment could grow to approximately $872,000 at a 10% return over 30 years, compared to about $663,000 at a 9% return, resulting in a nearly $210,000 difference [5][6] Market Performance - The Vanguard S&P 500 ETF is suitable for various investment strategies and can serve as a foundational investment, providing stability while allowing for riskier investments elsewhere [8][9] Current Data - The current price of the Vanguard S&P 500 ETF is $635.24, with a daily change of 1.95% [7]