In this article, we will take a look at the 5 best Vanguard funds to buy for retirees. To see more such funds, go directly to 11 Best Vanguard Funds to Buy for Retirees.
5. Vanguard Total Stock Market ETF (NYSE:VTI)
5-Year Performance as of September 14: 48.86%
A highly effective strategy for risk mitigation and broadening your investment horizons involves betting on the entire US stock market rather than selecting individual stocks. As such, the Vanguard Total Stock Market ETF (NYSE:VTI) stands as one of the top Vanguard funds for retirement, as acclaimed by market analysts.
This ETF, designed to mirror the CRSP US Total Market Index’s performance, grants you access to major players such as Apple Inc. (NASDAQ:AAPL), Microsoft Corporation (NASDAQ:MSFT), Exxon Mobil Corporation (NYSE:XOM), Meta Platforms, Inc. (NASDAQ:META), and many other significant companies.
4. Vanguard 500 Index Fund Admiral Shares (MUTF:VFIAX)
5-Year Performance as of September 14: 52.17%
For buy-and-hold investors comfortable with higher risk levels, the Vanguard 500 Index Fund Admiral Shares (MUTF:VFIAX) presents a simple and well-established choice. This mutual fund closely follows the S&P 500 index, a widely-recognized yardstick for U.S. large-cap stocks. The index provides broad diversification across all 11 sectors of the stock market and is exceptionally cost-effective, with VFIAX boasting a mere 0.04% expense ratio and a minimal 2.1% portfolio turnover rate. The fund has a track record spanning nearly 23 years, since its inception in November 2000.
3. Vanguard 500 Index Fund ETF (NYSE:VOO)
5-Year Performance as of September 14: 54.80%
The Vanguard 500 Index Fund ETF (NYSE:VOO) mirrors the S&P 500 index’s performance, making it a prime choice for diversifying your investment portfolio and pursuing long-term investment goals. This ETF grants access to 500 of the leading US companies, including Apple Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ:MSFT), NVIDIA Corporation (NASDAQ:NVDA), Meta Platforms, Inc. (NASDAQ:META), Exxon Mobil Corporation (NYSE:XOM), and Alphabet Inc. (NASDAQ:GOOG).
2. Vanguard Russell 1000 Growth Index Fund (MUTF:VRGWX)
5-Year Performance as of September 14: 80.07%
Maintaining a long-term investment in growth stocks typically yields robust returns. The Vanguard Russell 1000 Growth Index Fund (MUTF:VRGWX), for instance, seeks to channel its investments into the Russell 1000 Growth Index. This strategy, which provides access to leading US growth stocks, is among the effective methods for achieving sustained gains over time, making it perfect for investors looking towards retirement. By investing in this fund, you gain exposure to prominent companies like Apple Inc. (NASDAQ:AAPL), Microsoft Corporation (NASDAQ:MSFT), Amazon.com, Inc. (NASDAQ:AMZN), NVIDIA Corporation (NASDAQ:NVDA), and Alphabet Inc. (NASDAQ:GOOG).
1. Vanguard Information Technology Index Fund (NYSE:VGT)
5-Year Performance as of September 14: 114.58%
Information technology (IT) is made up of several segments, including outsourcing, managed services, security services, data management, and cloud computing. With the advent of transformative technologies such as AI, automation, robotics, and AR/VR, the IT sector is primed for extraordinary expansion. The Vanguard Information Technology Index Fund provides an opportunity to invest in some of the most prominent and secure IT stocks that will lead the way in forthcoming innovations. Among the ETF’s primary stock holdings are industry giants like Apple Inc. (NASDAQ:AAPL), Microsoft Corporation (NASDAQ:MSFT), NVIDIA Corporation (NASDAQ:NVDA), Visa Inc. (NYSE:V), Accenture Plc (NYSE:ACN), and others.
Disclosure: None. You can also take a look at Billionaire Ken Fisher and Corporate Insiders Are Betting On These Stocks and Goldman Sachs China Stocks: Top 10 Stock Picks.
