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Vanguard Total Inflation Protected Securities ETF (VTP)
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3 Great New ETFs From 2025
Youtube· 2025-12-18 16:15
Core Insights - The U.S. is set to launch over 1,000 ETFs this year, with many being expensive and lacking long-term merit, making it challenging to find high-quality options [1] - Notable new ETFs are those with competitive fees, reputable management, and sound investment processes, which can enhance investor portfolios [2] Group 1: Notable ETFs - Vanguard Total Inflation Protected Securities ETF (VTP) charges only five basis points annually and has a silver Morning Star Metalist rating [3] - This ETF captures nearly the entire TIPS market, focusing on bonds with at least one year to maturity and a minimum outstanding face value of 300 million [4] - The Vanguard ETF is 13 basis points cheaper than its iShares counterpart, which is significant in the low-risk, low-return segment [5][6] Group 2: Active Management and Strategy - Capital Group High Yield Bond ETF (CGHY) is actively managed, charges 39 basis points annually, and also holds a silver Morning Star medalist rating [6] - Although new, CGHY is based on a long-standing mutual fund strategy that has shown excellent returns, focusing on the mid-quality segment of the high yield bond market [7] - Capital Group has successfully launched several ETFs that mirror their proven mutual fund strategies, indicating a strong potential for CGHY [8] Group 3: New Entrants and Strategies - Rackqui US ETF (RA USU), launched in September, is currently fee-free but will likely charge 15 basis points after its waiver expires [9] - This ETF employs a market capitalization weighting strategy while valuing stock fundamentals, differentiating it from previous iterations of Research Affiliates' funds [10][11] - Each of these highlighted ETFs comes from firms with extensive experience in successful investment strategies, offering promising long-term investment merits [12]