Trade-traded funds (ETFs) are a wonderful solution to develop your wealth. They provide buyers a treasure trove of selections, usually with little in the way in which of charges. Right here, I am going to evaluation among the finest ETF choices from Vanguard and reveal my best choice for 2025.
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Vanguard has many high ETFs on provide
Vanguard is without doubt one of the world’s main ETF directors, providing over 80 ETFs with mixed belongings below administration of greater than $2.6 trillion. In different phrases, there are many implausible Vanguard ETFs to select from. Listed here are a number of of my favorites:
The Vanguard Progress ETF (VUG -1.43%) tracks large-cap progress shares like Apple, Microsoft, and Nvidia. As of this writing, it has generated a year-to-date return of 35% — making it considered one of Vanguard’s top-performing funds. As well as, its expense ratio of 0.04% is without doubt one of the lowest round.
The Vanguard S&P 500 Progress ETF (VOOG -1.43%) additionally tracks large-cap progress shares, some 300 in complete, and is closely weighted with “Magnificent Seven” shares. As of this writing, it’s Vanguard’s best-performing inventory ETF with a year-to-date return of 38%. Its expense ratio of 0.1% is not the bottom the corporate gives, however it’s nonetheless low by trade requirements.
The Vanguard Data Know-how ETF (VGT -1.56%) is a tech-focused ETF that boasts giant holdings of Apple, Microsoft, Nvidia, and Broadcom, together with smaller positions in Salesforce, Oracle, Superior Micro Gadgets, and lots of different tech shares. This fund has generated a 31% year-to-date return, and it additionally boasts top-of-the-line five-year compound annual progress charges (CAGRs) of any Vanguard ETF (22%). The fund’s 0.1% expense ratio means you solely pay $10 per yr in charges for each $10,000 invested within the fund.
VGT Whole Return Degree knowledge by YCharts
My favourite Vanguard ETF proper now
Whereas all these funds are glorious selections for many portfolios, there’s one other Vanguard fund that has jumped to the highest of my want record proper now. In the mean time, my best choice is the Vanguard Communication Providers ETF (VOX -1.12%). The explanation I like this ETF a lot proper now is due to the combo of firms that make up the majority of the ETF’s holdings.
VOX Whole Return Degree knowledge by YCharts
For instance, the fund has very giant positions in Meta Platforms (23% of belongings) and Alphabet (21%), together with substantial positions in Netflix (5%), Verizon Communications (4%), Comcast (4%), AT&T (4%), and Walt Disney (4%). It additionally has smaller, however nonetheless vital, positions in a number of of my favourite under-the-radar shares like The Commerce Desk (2%) and Roblox (2%).
Certainly, one other method to consider this ETF is as an web sector ETF, relatively than a communications or telecom ETF. That is as a result of conventional telecom/broadband shares like Verizon, AT&T, and Comcast are not the most important sub-sector within the fund. More and more, social media and digital promoting shares, like Meta Platforms, Alphabet, The Commerce Desk, and Roblox, are driving the fund’s total efficiency.
To sum up, this fund is well-positioned for the long run, as digital types of communication, leisure, and promoting proceed to supplant legacy mediums. And that is why the Vanguard Communication Providers Index Fund ETF is my high Vanguard ETF proper now.
Suzanne Frey, an government at Alphabet, is a member of The Motley Idiot’s board of administrators. Randi Zuckerberg, a former director of market growth and spokeswoman for Fb and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Idiot’s board of administrators. Jake Lerch has positions in AT&T, Alphabet, Nvidia, Roblox, The Commerce Desk, Vanguard World Fund-Vanguard Data Know-how ETF, and Walt Disney. The Motley Idiot has positions in and recommends Superior Micro Gadgets, Alphabet, Apple, Meta Platforms, Microsoft, Netflix, Nvidia, Oracle, Roblox, Salesforce, The Commerce Desk, Vanguard Index Funds-Vanguard Progress ETF, and Walt Disney. The Motley Idiot recommends Broadcom, Comcast, and Verizon Communications and recommends the next choices: lengthy January 2026 $395 calls on Microsoft and quick January 2026 $405 calls on Microsoft. The Motley Idiot has a disclosure coverage.
