Vanguard is the second-largest U.S. exchange-traded fund (ETF) sponsor by assets. In general, Vanguard is widely regarded as one of the most popular ETF-issuers in the world. According to estimates, Vanguard has around $5.3 trillion worth of assets under its management, lagging only behind iShares, when it comes to the size of assets under management.
It is estimated that around 85% of Vanguard ETFs have been yielding higher returns to their owners compared to their peer-group averages over the past 10 years. We have prepared a list of the best Vanguard ETFs for your consideration.
Ticker | Company Name | Last Price | 1-Year Return |
|---|---|---|---|
| VTI | Vanguard Total Stock Market ETF | $300.81 | 30.91% |
| VOO | Vanguard S&P 500 ETF | $556.60 | 31.10% |
| VEA | Vanguard FTSE Developed Markets ETF | $50.35 | 8.47% |
| VWO | Vanguard FTSE Emerging Markets ETF | $46.69 | 15.60% |
| VTV | Vanguard Value ETF | $176.19 | 21.08% |
| BND | Vanguard Total Bond Market ETF | $73.35 | 2.12% |
| VUG | Vanguard Growth ETF | $423.07 | 40.16% |
| VIG | Vanguard Dividend Appreciation ETF | $201.12 | 20.43% |
| VNQ | Vanguard Real Estate ETF | $95.13 | 13.43% |
| VO | Vanguard Mid-Cap ETF | $278.94 | 24.85% |
| VYM | Vanguard High Dividend Yield ETF | $131.28 | 20.81% |
| VB | Vanguard Small-Cap ETF | $255.91 | 26.93% |
| VCIT | Vanguard Intermediate-Term Corporate Bond ETF | $81.96 | 3.87% |
| VCSH | Vanguard Short-Term Corporate Bond ETF | $78.51 | 2.86% |
| VEU | Vanguard FTSE All-World ex-US ETF | $60.39 | 10.44% |
| BSV | Vanguard Short-Term Bond ETF | $77.63 | 1.98% |
| VGT | Vanguard Information Technology ETF | $638.37 | 35.62% |
| BNDX | Vanguard Total International Bond ETF | $50.54 | 1.90% |
| VXUS | Vanguard Total International Stock ETF | $62.13 | 10.43% |
| VV | Vanguard Large-Cap ETF | $279.00 | 31.38% |
| VBR | Vanguard Small-Cap Value ETF | $210.99 | 23.33% |
| VGK | Vanguard FTSE Europe ETF | $66.68 | 6.74% |
| BIV | Vanguard Intermediate-Term Bond ETF | $76.22 | 2.36% |
| VT | Vanguard Total World Stock ETF | $122.49 | 22.78% |
| VMBS | Vanguard Mortgage-Backed Securities ETF | $46.15 | 2.28% |
| VOE | Vanguard Mid-Cap Value ETF | $169.96 | 20.85% |
| VBK | Vanguard Small-Cap Growth ETF | $298.04 | 31.50% |
| VHT | Vanguard Health Care ETF | $266.06 | 9.89% |
| VXF | Vanguard Extended Market ETF | $203.09 | 31.14% |
| VFH | Vanguard Financials ETF | $122.40 | 37.98% |
| VTIP | Vanguard Short-Term Inflation-Protected Securities ETF | $49.03 | 3.00% |
| VOT | Vanguard Mid-Cap Growth ETF | $270.25 | 29.58% |
| VTEB | Vanguard Tax-Exempt Bond ETF | $50.93 | 1.33% |
| VNQI | Vanguard Global ex-U.S. Real Estate ETF | $42.58 | 2.60% |
| VDC | Vanguard Consumer Staples ETF | $221.01 | 17.68% |
| VSS | Vanguard FTSE All-World ex-US Small-Cap ETF | $120.87 | 8.75% |
| VGSH | Vanguard Short-Term Treasury Index ETF | $58.31 | 0.67% |
| MGK | Vanguard Mega Cap Growth ETF | $352.86 | 39.58% |
| VPU | Vanguard Utilities ETF | $168.39 | 22.35% |
| VGIT | Vanguard Intermediate-Term Treasury Index ETF | $58.80 | 1.03% |
| BLV | Vanguard Long-Term Bond ETF | $72.09 | 0.88% |
| VCLT | Vanguard Long-Term Corporate Bond ETF | $78.54 | 2.07% |
| VPL | Vanguard FTSE Pacific ETF | $74.71 | 6.94% |
| VIS | Vanguard Industrials ETF | $269.85 | 27.37% |
| VDE | Vanguard Energy ETF | $128.10 | 11.32% |
| VCR | Vanguard Consumer Discretionary ETF | $391.37 | 33.27% |
| VONG | Vanguard Russell 1000 Growth ETF | $106.10 | 40.05% |
| VOOG | Vanguard S&P 500 Growth ETF | $374.87 | 41.95% |
| MGV | Vanguard Mega Cap Value ETF | $129.39 | 21.39% |
| VOX | Vanguard Communication Services ETF | $160.46 | 42.48% |
| VONV | Vanguard Russell 1000 Value ETF | $85.13 | 21.25% |
| MGC | Vanguard Mega Cap ETF | $218.70 | 32.68% |
| VAW | Vanguard Materials ETF | $203.44 | 12.26% |
| VTWO | Vanguard Russell 2000 ETF | $96.00 | 26.85% |
| VWOB | Vanguard Emerging Markets Government Bond ETF | $65.19 | 5.32% |
| EDV | Vanguard Extended Duration Treasury ETF | $74.45 | -2.49% |
| VIGI | Vanguard International Dividend Appreciation ETF | $83.97 | 10.56% |
| VONE | Vanguard Russell 1000 ETF | $276.25 | 31.30% |
| VGLT | Vanguard Long-Term Treasury Index ETF | $58.47 | -0.48% |
| VYMI | Vanguard International High Dividend Yield ETF | $70.77 | 9.48% |
| VIOO | Vanguard S&P Small-Cap 600 ETF | $114.81 | 22.75% |
| VOOV | Vanguard S&P 500 Value ETF | $193.35 | 18.86% |
| IVOO | Vanguard S&P Mid-Cap 400 ETF | $111.54 | 24.44% |
| IVOG | Vanguard S&P Mid-Cap 400 Growth ETF | $120.59 | 26.86% |
| IVOV | Vanguard S&P Mid-Cap 400 Value ETF | $101.96 | 22.27% |
| ESGV | Vanguard ESG U.S. Stock ETF | $108.61 | 32.13% |
| VTHR | Vanguard Russell 3000 ETF | $269.85 | 31.17% |
| VSGX | Vanguard ESG International Stock ETF | $59.35 | 11.20% |
| VIOG | Vanguard S&P Small-Cap 600 Growth ETF | $124.85 | 24.38% |
| VIOV | Vanguard S&P Small-Cap 600 Value ETF | $99.54 | 19.91% |
| VTWG | Vanguard Russell 2000 Growth ETF | $224.85 | 31.75% |
| VTWV | Vanguard Russell 2000 Value ETF | $155.82 | 21.91% |
| VTC | Vanguard Total Corporate Bond ETF | $77.57 | 2.84% |
| BNDW | Vanguard Total World Bond ETF | $69.89 | 2.00% |
| VFMF | Vanguard U.S. Multifactor ETF | $137.99 | 25.67% |
| VFMV | Vanguard U.S. Minimum Volatility ETF | $125.35 | 21.18% |
| VFVA | Vanguard U.S. Value Factor ETF | $126.48 | 18.11% |
| VFLQ | Vanguard U.S. Liquidity Factor ETF | #N/A | #N/A |
| VFMO | Vanguard U.S. Momentum Factor ETF | $173.50 | 39.26% |
| VFQY | Vanguard U.S. Quality Factor ETF | $148.50 | 21.78% |
About The Vanguard Group
The Vanguard Group began in the 1970s as a mutual company. In 1974, it was incorporated in New York, and in 1975 changed to a public company. In 1976, the first international office opened. The Vanguard Group now offers more than 500 funds across six different share classes, which are managed by nine divisions worldwide. They also offer retirement plans such as pension and 401k for its employers.
Vanguard Investments operates through its global network of investment professionals at all levels.
Vanguard Investments’ family of funds includes 604 mutual funds that manage nearly $2 trillion. About 95% of the funds are available through financial advisors. About 3% have only institutional and retail share classes and 2% are closed to investing. The remaining 2% were closed to new investors as of February 2007, although they can still be held by existing shareholders.
Clients make the majority of their investments in Vanguard’s mutual funds through financial advisors who serve as intermediaries for those clients’ accounts. About 40–50 million individual investors own another $400 billion in Vanguard’s investor-class shares directly, primarily 401(k)[s] or other employer retirement plans. Around 200 institutional investors with nearly $500 billion invest directly with Vanguard Investments, while about 900 state and local government bodies around the country use Vanguard for management services offerings. About 450,000 employers sponsor Vanguard’s Balanced Index Funds and Total Stock Market funds for 401(k) plans. About 5 million participants own them in balanced index funds (BIFs) or other employer retirement plans. About 120 million participants are invested in the company’s variable annuity products, which includes around 102 million who purchase through insurance agents, while another 17 million have some kind of access to these indexed annuities as secondary market investors. About 20–30% are individual investors with shares in their names, while the remainder are via client institutions such as pension funds or corporate accounts.
Vanguard’s funds are so popular because they deliver very good performance. About 80% of the funds have 10-year annualized returns that beat their relevant Lipper category averages, and 82% of them beat their respective peer group average for the same period. Another reason is its low cost. About 97% of Vanguard’s actively managed U.S equity funds are in the least expensive quintile of either their fund or peer group based on expense ratios. About three quarters of all its actively managed international stock funds rank in the lowest half in terms of costs for both fund share classes as well as among all peers (fund and fund families).
Vanguard recently started offering ETFs alongside their mutual funds. About 30% of the publicly traded Vanguard ETFs have assets greater than $1 billion, a measure that is known as “assets under management.” About one quarter of their international equities funds are offered through ETF.
The advantage of ETF is its transparency and liquidity. Its investors own the fund’s shares directly; they do not buy units in a trust or other pooled investment vehicle. They also can trade them at any time during market hours and know exactly how much they each are worth. Also, because it trades like a stock on an exchange, they features such as short-selling are easier to perform.
Overall, Vanguard offers great options for both mutual funds and ETFs.
Factors To Consider Before Identifying The Best Vanguard ETF
When choosing an ETF from Vanguard to invest in, one should first research assets in ETFs. Secondly, an investor should pay attention to all costs related to purchasing an ETF, such as trading fees, carry extra management fees, etc. Furthermore, pay attention to the bid/ask spread, which is essentially the broker’s profit margin for facilitating trade.
An additional factor to take into consideration is the impact of an ETF on your tax returns. Whilst tax rates in the United States vary from region to region, the foreign ETFs may be much more expensive and not on the cost-effective side.
Which ETF should I pick?
One of the biggest advantages of Vanguard ETFs is the wide array of options to choose from. This offers investors a great chance to build a complete and diverse portfolio out of Vanguard ETFs. Diversification is always advised, hence, you should always look to purchase multiple financial instruments from different classes.
Investors with lower risk tolerance may invest more funds in bonds while those seeking higher returns, which also comes with higher risks, may decide to allocate a higher percentage of their portfolio to stocks. Furthermore, stocks are regarded to be the best option for long-term investors.
