VTI

Standard-Top-5942

The worse thing about America is how profit focused everything is (companies, work schedules, healthcare). It's like that more than any place in the world probably. This makes the stock market I think a decent bet for the long term. That, and the fact that the S&P 500 gets like most of their profits from abroad, makes me a 100% S&P investor (or 100% VTI).

wandererarkhamknight

One thing these articles conveniently fail to mention is what is the approximate % of VOO, VTI they will be. Because if they mention it, the article will be big nothing burger!

harpers25

Dear lord, stop getting your entire worldview from Reddit comments. Many index funds have always had fast entry, including VT / VTI. SpaceX will be less than 1% of these kinds of funds. It's still float weighted.

The-zKR0N0S

SpaceX will become ~0.15% of VTI. It doesn’t really matter.

BottleMedium881

At 30, I’d keep it boring. In taxable, VTI is usually a great core because it gives you the whole US market and is tax-efficient. VOO is fine too, but holding both doesn’t add much since they overlap heavily. Since your Roth is already 80/20 US/international, you could mirror that with VTI + VXUS in taxable and focus on consistency, low costs, and not tinkering.

fec2245

Based on the small free-float it's going to be something like 0.15% of an index like VTI. There's far to much consternation about this, it isn't going to have a noticable effect even if it drops in half over the first year.

grandpa2390

I bought Nvidia because everyone wanted Nvidia, and then when the Crypto coins started taking off I saw, everyone wanted Nvidia. and then AI was starting to happen and everyone wanted Nvidia. so much that an entire country was not allowed to buy the best chips. so I just kept adding to my position. I didn't buy enough to become a millionaire, mind you And as Nvidia succeeded, I had enough conviction in the industry to buy other names like MU and AMD. Not enough to become a millionaire. But enough that it has allowed me to beat VTI and VOO had I bought that instead.

otterbarks

You need to look in the fund's prospectus, and see what benchmark index methodology they're using. Again using VTI as a convenient example just because I was digging through it recently (for this same reason), this is what their documents say: "The Fund’s Target Index, the CRSP US Total Market Index, **is a float-adjusted market cap weighted index**."

otterbarks

Avoid QQQ(M), since the Nasdaq-100 significantly changed their rules in a way that exposes you to more SpaceX. Outside of that, most other index funds (VTI, etc.) are free-float adjusted. One of the games SpaceX is playing is they're structured with an unusually small float (just 3-5%), which surprisingly offers some protection because those funds will automatically scale down their investment in SpaceX to match. At 5% they'll treat it as a $50B to $100B company, instead of $1.5T. See: [https://www.reddit.com/r/Bogleheads/comments/1tkxhpl/protecting\_ourselves\_from\_spacex\_ipo/](https://www.reddit.com/r/Bogleheads/comments/1tkxhpl/protecting_ourselves_from_spacex_ipo/)

trix_is_for_kids

What’s your age/ time horizon? If it’s 20+ years I’d go 80/20 VOO/ VXUS. Could go 80/20 VTI/VXUS for more exposure/ safety or just 100% VTI. But if your timeframe is 20+ I’d suggest the more aggressive approach.

Informal-Lime6396

I'm of the opinion that 30 is young, and target date funds and bonds have no place in your 30-year retirement portfolio. I used https://www.etfrc.com/funds/overlap.php VOO and VTI are basically almost the same. Overlap: 88% by weight, 497 # of overlapping holdings I argue for replacing the target date fund and bond allocations for some sector ETF like VGT and SMH/SOXX. As you near retirement, you can rebalance tax free towards bonds and a more Boglehead-like portfolio. But while you're in your prime earning years, I think you can stomach the volatility for bigger returns.

TradeWithTheWind48

I can wholeheartedly say, Dub is full of lag. I invested $2,000 into 3 different high-performing portfolios and while the first few months were in the green, I ended up in the red by 15% after 6 months. Once I started seeing the red, and delays on my trade copies vs when the creator shared their trade, I knew it was time to get out. I even spent $90 on their premium plan before they reformatted it. Not worth it, I've made more by being boring and investing into VTI.

Skizm

VTI and chill

Carbon-Base

Beans, lentils and legumes are essentially VOO, VXUS and VTI.

zer1223

>Why this matters? Forcing quick inclusion means all passive index and benchmarking strategies will trigger systematic buy to hold to index weights which is something like 4%.  Which passive funds track the nasdaq? The big funds that I'm aware of are VTI, VOO and their non-etf equivalents. All of which don't track the nasdaq 

kb8242

You could also just get VTI instead of small mid and large separately. 2% WM probably won’t effect your portfolio much but then again why wouldn’t you want $WM in your portfolio.

laz62972arulian

I'm weighing between Cash vs. Equity at a very large Private Company I recently received an offer from Stripe (\~$159B valuation) and have the option to take my equity package (\~$80K/year) entirely in cash or as stock. This isn't a traditional 4-year RSU grant with a fixed strike price. Instead, the grant resets to FMV each year. So if the stock is at $65 in Year 1 and $85 in Year 2, my Year 2 grant is priced at $85. I capture year-over-year appreciation, but I have no long-term compounding upside from a single grant. Given this structure, does taking stock over cash still make sense? The way I see it, the stock only beats cash if Stripe continues to meaningfully appreciate each year, and at a $159B valuation, I'm skeptical there's much runway left before a plateau. I don't see them IPO'ing in the near future, but they offer liquidation events twice a year, so I'm not worried about liquidation. What I'm weighing: * Stock upside is capped to annual increments, not long-term compounding * $159B is already a massive valuation for a private company * The conventional wisdom is to take cash and put it in VOO/VTI * But if Stripe does continue to grow, there could be short-term gains Stripe's business varies with transaction volume, so the business's success correlates with market performance.

zangor

SPCX is bout to go really poorly or so good that it will end up a 5.3% holding in VTI.

OGS_7619

most people recommend diversifying both beyond top 500 large-cap in US, to include med-cap and small-cap in US, as well as buying international (emergent markets). So instead of ETF like VOO or SPY that only tracks S&P, you may want to get VTI or FSKAX that tracks total US market, as well as international market, VXUS or FTIHX. Most people go with cap weight of about 60 US to 40 ex-US, but it depends on whether you are in US or elsewhere (then you may tilt towards home country due to exchange rates) and whether you want to increase US allocation because of personal beliefs. International underperformed S&P (and S&P has been lately dominated by top 7 companies) until about a year or so ago, when international has been outperforming S&P. There are periods when small cap or mid-cap outperform large-cap, and most of the time bottom 450 S&P companies outperform top 50, so over time it will all averages out - stay diversified.

Flo_Evans

Sell some individual holdings off and buy VTI and chill.

EveryPassage

Yeah but I don't see the VTI index making that change, (there is no incentive for them too).

pants_full_of_pants

You already won. Don't risk pants down in the coming bubble burst. Put 5% trailing stops on everything and as they sell off put it into VT, or VTI+AVGV+(SCHD/SGOV) depending on risk tolerance. Delete the app and only reinstall it once a month to make those trades. I mean full port Tractor Supply calls or whatever.

RecommendationDie

80% VTI 20% SCHD Contribute as much and as often as you can.

blitzzerg

Depends on your retirement fund no? If you are only using funds that track NASDAQ then yes. But I would assume that the majority of people have something more diversified like VTI which tracks the "CRSP US Total Market Index"

Emotional-Power-7242

VOO is DOW, the methodology is antiquated compared to VTI.

Emotional-Power-7242

Sure but there's no shenanigans. VTI will accurarely represent the US market, as is intended.

wandererarkhamknight

Even if SpaceX lose half of their value, it will be a mere noise in VOO and VTI.

BeuTaude588

if the goal is capital preservation with better yield, SGOV or a short-duration treasury fund is the right answer, not equities. VTI solves a different problem where you are willing to see the value drop 30% temporarily. clarify the horizon first. if this money might be needed in 2-3 years, stay in something treasury-like

Emotional-Power-7242

Literally just buy VTI. SPCX is going to come in at like 0.2% of the index.

InvestingNerd2020

Individual stocks: - Google (GOOGL) - NVIDIA (NVDA) This is due to their EPS, market dominance, cult fans, and P/E ratio. Basket of stocks in an ETF wrapper: - VTI or SCHB - FTEC or VGT

spidey9113

Put money in SPY, VOO, QQQ, and/or VTI and check back in a decade. I rarely invest in individual stocks. I will day trade options but that takes time to learn and very risky, so I only use a small portion of my money for that. Even as an Econ PhD, options are very tricky.

pain474

just buy VTI, this is not for you

sf_cycle

If you want to invest, just do that. Like someone else said, go with an ETF like VT, VTI, VOO, whatever if you’re not confident picking out stocks. Most people suck at it, and those that don’t are often just lucky. If you mean you’re trying to time the market like OP with stocks, there’s nothing to understand. The market is a casino as they say. But long term it tends to rise.

vinylbond

VTI is good but it’s US only. Throw in VEU (rest of the world) and you’re golden. In time you can start adding short term bonds but it may be too early for that. Don’t sell the dips. Keep invested. Keep investing. Best times to buy is when there is blood on the street. Good luck.

ATPsynthase12

55 and nearing retirement? 50% VTI, 25% VXUS, 25% bonds Young with several decades to grow? Literally just do VTI and VXUS. Even if you don’t add a dime to it, the conpound interest alone will create generational wealth without needing to performance chase.

xLordTommyy

VTI is good to isn’t it

xLordTommyy

Like I said I just started a couple days ago but I heard VTI or VOO for long term in Roth is the way to go so I picked VTI and I’m just gonna keep putting money into it then the individual I’m just investing little bits into stocks

Historical_Low4458

I didn't even need to read the whole thing to figure out it was AI. Comparing VOO to RSP is like comparing SCHD to VTI. They're different instruments for different investing strategies. Nobody is investing in RSP trying to beat SPY.

xLordTommyy

VTI is good to isn’t it?

Ashley_4661

You're fine Individual tech is only 10% total, and SCHB mirrors VTI anyway Your mega cap exposure is actually super reasonable 👍

PuppiesAndPixels

VTI, VOO, RKLB, NVDA, AMD, NBIS, UMC, ASTS, SIVR. Up 74% in the last 6 months. No options.

brother7

SPAXX is for savers, stocks are for investors. Having said that, I discourage owning individual stocks. The safer way to own stocks is through ETFs, and one of the safer ETFs is the Vanguard Total Stock Market ETF (VTI). But since you already own VOO, that's just as good. If you have earned income, I suggest you have a parent help you open a Roth IRA for Youth at Fidelity. It's the most tax-efficient way to invest for your future retirement.

FrickinLazerBeams

Buy VOO or VTI, then stop looking at the app for a year.

FINomad

Both of those routes sound awful to me. SCHD is for people that don't understand dividends. Here's a video to help you understand what dividends are and aren't (spoiler: they aren't free money): [https://www.youtube.com/watch?v=f5j9v9dfinQ](https://www.youtube.com/watch?v=f5j9v9dfinQ) Nearly all of the stocks in SCHD and VPU are already in VTI (use the link in my comment above to see the overlap), so all you're trying to do is tilt your portfolio to something you don't understand. I would go with VTI + VXUS or simply VT.

Blockchain_Batman

Someone who is tired of working their body to its limits six days a week and wants to learn investing so they never have to do it forever has just described the exact origin story of every serious long term investor who ever built genuine wealth, and the most important thing to understand before buying a single stock is that the stock market is not a faster version of working six days a week, it is the system that makes your money work six days a week while you sleep, eat, rest, and recover, which means the first investment that will change your life is not a stock pick but a consistent monthly contribution to a broad index fund like VTI or VOO that you add to automatically and never touch regardless of what the market does on any given day.

Various_Couple_764

With a growth index fund most of the gowth in the first 15years comes from your money deposit into 401k or Roth. There is a limit to hw much ou deposit. and that deposit limit limits the size of the account. Growth index funds don't include BDCs or MLPs businesses. Even VTI which is advertises as the total US stock market doesn't have them. SO You can add PBDC 9% yield, and EMO 9%. And these com\[panies are required to pay ou most of there income as dividends. So the yield is higher than most stock that are not required to pay dividends. If you include these funds in your portfolio the reliable dividend from these companes will continue to come in and you can use the income to add to other funds in your portfolio. In addition debt opbligations such as credit fund, CLO fundsare not stocks but funds investing in these assets also pay very good yield So i also hav ARDC 9%, CLOZ 8%, and JAAA 5.5%. Utility and infrastructure funds are also stable dividend fund and I have UTF 7% yield and UTG 6.4%.

Jagged_Tide

VTI

kirlandwater

> while putting less money into SPAXX but still most of it, but I’m wondering if the risk is worth it as if let’s say the market crashes right before I’m planning to start my business I wouldn’t have time to let the market recover You’ve got the most pressing issue understood, which is great. Personally I think your 75/25 split is good, maybe expand to VTI over VOO for a touch of broader diversification, without sacrificing much if any growth. Though you’ll want to taper down every year from 25% stocks to 0% and keep it all in SPAXX or something similar for the above reason. For something this “short” term, I would park all of it in SPAXX, but I also don’t want to ever think about the account possibly losing value when I’ll need it just around the corner. However, only 25% you’ve still got a solid amount of growth and taken a lot of the risk off the table. The most important thing you can do is contribute every month as much as you can and you’ll be fine no matter what you choose

Brilliant-Fee-4994

This was very helpful. Probably the most helpful explanation so far. I’m also deciding between VTI vs. SCHG, and I don’t plan on doing both for the exact reason you mentioned above. If you had to choose one of the routes below, which would you personally go with long term? 1) VTI, SCHD, VPU, and VXUS 2) SCHG, SCHD, VPU, VXUS, and AVUV

SirGlass

Multiple people have told you just buy standard index funds like VTI or VOO, add in bonds like BND if you do not want the full risk of 100% equities. What mix is up to you and your risk tolerance. High risk go like 100% QQQ Moderate risk do something like 60% VTI / 40% BND If you want to touch some of it before 59.5 put it in a taxable account . If you need money sell some of your holdings when you need money.

SirGlass

>: I am not liquid and my quality of life is suffering for it You can sell any ETF at any time. Covered call ETF are not "More liquid" than any other ETF. I never insulted you , if you are willing to give up upside for more steady gains the most straightforward way to do this is a equity/bond mix Like 70% VTI / 30% BND or something like that. Re balance quarterly . If you need liquidity just sell some of your holdings

LuciusQ2020

ChatGPT: I’d tell him: his instinct is good, but his execution is messy. He should stop picking random stocks for the kids and build a simple household system. Priority order Priority What he should do Why 1 Keep a real emergency fund: probably 3–6 months of expenses Mortgage + two car payments + kids = fragile household. Investing before cash buffer is fake discipline. 2 Buy enough term life insurance and probably disability insurance He has kids and a spouse. This matters more than Apple stock. 3 Kill high-interest car debt if rates are high A 7–10% guaranteed debt payoff beats most “maybe” investments. 4 Use the 401(k), even with no match No match is annoying, but tax shelter still matters. The 2026 employee 401(k) limit is $24,500.  5 Max IRA/Roth IRA if eligible The 2026 IRA contribution limit is $7,500 under age 50.  6 For kids, prefer 529 before UTMA if education is the goal A 529 is designed for qualified education expenses; UTMA is legally the kid’s money and can create tax/aid complications.  7 Buy broad index funds, not “pieces of Apple” The kids don’t need stock picking. They need compounding. What I’d change immediately For the kids’ accounts, I would not build $1,000 of VOO and then start buying Apple. That is beginner overconfidence. Just use VOO, VTI, or a low-cost total U.S. / global index fund. Apple is already a huge part of the S&P 500 Index, so buying Apple separately is doubling down without a real thesis. For the IRA, I’d question FHAOX hard. If that is Fidelity Advisor Health Care Fund Class A, it is a sector bet and likely has higher expenses than a plain index fund. A 37-year-old building retirement should probably use something boring like a total-market index fund, S&P 500 Index fund, or target-date index fund unless he understands why he wants a healthcare tilt. For the 401(k), even with no match, he should likely contribute more than he is currently planning. His idea of $157/week gets him around $8,164/year, which is decent, but not close to the limit. If cash flow allows, he should raise it gradually: maybe increase by 1–2 percentage points every few months. For the UTMA, he needs to understand the trap: the money legally belongs to the child, and investment income above certain levels can trigger kiddie-tax rules. For 2026, the Internal Revenue Service says a child’s unearned income above $2,700 may be subject to kiddie tax.  My actual suggested setup Account Suggested investment His 401(k) Lowest-cost S&P 500 Index / total-market index / target-date index option His IRA Same: low-cost broad index, not sector fund as the core Wife’s IRA Same if she has earned income and eligibility Kids’ 529 Age-based index portfolio or VOO/VTI-like option if available Kids’ UTMA Keep it simple: VOO/VTI; don’t stock-pick Random NOK / Netflix Irrelevant unless position size is meaningful; don’t let old COVID trades drive the plan The hard truth He is thinking about this like: “What stocks should I buy?” He should be thinking: “What household balance sheet am I building?” The win is not NOK, Netflix, Apple, or healthcare funds. The win is: 1. no consumer-debt drag, 2. tax-advantaged investing every month, 3. broad low-cost equity exposure, 4. insurance protection, 5. time. That is how a blue-collar family realistically builds wealth. Not by trying to outsmart the market with $25 child-account stock picks. The core principle is still: buy understandable, durable ownership at sensible cost, not random ticker fragments. 

neonam11

Either you have millions and millions invested, or you are doing something very strange, because when I plug into Morningstar for the return of $10,000 invested in VTI and VOO from 1/1/2020 to 5/19/2026, the returns are $24,972.52 for VOO and $24,083.03. So yea, OP, I don’t believe your post.

Cruian

I disagree. VTI is clearly riskier because while it holds more companies, those extra holdings are in a riskier area of the market than the safer area that VOO is in. VTI is essentially VOO + VXF combined into one. VXF is riskier than VOO. VTI should have the weighted average risk of VOO + VXF, right? If we give VOO a risk of let's say 4 (higher number = more risk in this), and VXF a 6, VTI should come in at a 4.x.

SnS2500

\> The point is that it DOES make a difference, despite what everyone says. VOO is up 176.2% the past six years. VTI is up 169.7%, so it does make a difference, but if you are going to focus on the opportunity cost of mega-cap tech growth, this difference is not where to look. XLK is up 283% in that time span. SMH is up 731%. You can't turn back the clock. If you are sure you learned a lesson, then consider it money well spent to now be able to confidently adopt a path you like better going forward.

Shoddy_Ad7511

No. VTI is clearly less risky because of more diversification

Cruian

No. VTI is already the "both": it fully includes VOO inside. By weight, the VOO part of VTI is currently over 80% (maybe even 85%) last I saw. Think of VTI as being VOO + VXF combined into one at market cap weight.

Loquater

If you want a serious answer, it's a fiduciary decision to only allow mutual funds in your 401(k) and it's probably a good one on the plan sponsor's part. What everyone is trying to convey is that comparing VOO and VTI and thinking "if only I was in the other fund, my gains would be X instead of Y!" is a fools errand. There's no way to ever know, so just buy the entire market and live your life as if this doesn't matter. Do you have any questions about 401(k)'s or tax efficiency?

GandhiMSF

From a very brief look, it appears that VTI outperformed VOO from September 2010 to September 2016. That was the first 6 year period I compared the two (just because September 2010 is when VOO was created). Since it only took a very brief look to find such a period, I’d imagine there are several similar periods that could be identified as well.

Cruian

A key point here though is that both VOO and VTI can claim to be riskier: * VOO has less holdings * The extra holdings VTI has are in a riskier area of the market than what VOO holds

Cruian

>lower risk, It may be lower risk in that it has more holdings, not or can be argued that VTI is riskier than VOO because of what those holdings are: smaller caps (which are riskier than large).

OldGoneMild89

Since starting to invest, I split pretty equally between the two. There is a difference, but nothing I'm going to stress over, even though, yeah, it would have been thousands 😐. One of those hindsight things, really. VFIAX (essentially VOO) is up 123.87% VTI is up 112.83%

Cruian

The double drop of the 2000 decade resulted in small beating large (VTI beating VOO).

Zealousideal-Link-24

Six years is not long on the scale of retirement savings and many would argue that the S&P is overvalued. So to take advantage of the current situation you would have to sell right before the correction and purchase right after the correction. No one is capable of timing the market in that way. One day when the S&P tanks because it is less diversified than the total market you will appreciate VTI.

Cruian

We have data that goes back longer than that. Since 2010 has largely been US and large cap and growth favoring, but even favored factors (if we dive into factor investing research) have seen nearly 20 years out of the spotlight at points. VTI would have beat VOO for 2000-2009 by a good amount: https://testfol.io/?s=jKWvh1BwkB6

LifeForm8449

Because it’s called VOO and chill not VTI and chill. Big difference (literally).

LuciusQ2020

I was banned from Bogleheads for saying VOO is better than VTI because at least companies owned by VOO are profitable. The macroeconomics is super important when buying these index funds. My view is that the world will have two dominant economies: US and China, if China sticks to its reforms. The rest of the world has either committed political suicide or been completely ignorant of what is going on. So personally, I stick to the US stocks. VOO or QQQ would be my choice.

Standard-Top-5942

sure, but the comparison between VTI and VOO is very common and often discussed.

United_Weight3580

Choosing VTI over Bitcoin has also cost you about $100,000 over the past 6 years. What's your point?

drummer820

To rephrase: "Within this very short window of time in which a handful of tech companies overrepresented in the S&P 500 had unusually high returns, VOO had less unrealized gains than VTI" Put even more simply: Short-term FOMO Conversely, if there is a sharp correction in tech in the near future you'd be kicking yourself for investing in VOO vs VTI. it's impossible to forecast and optimize your portfolio perfectly. All we can do is diversify and plan according to our goals and risk tolerance

luxuryriot

You chose the more theoretically sound, lower risk, and diversified investment. The fact that large caps outperformed shouldn’t matter because if you teleported back in time 6 years ago without knowing the future there would have been no reason to believe that VOO was a better investment than VTI.

Ok-Sheepherder7898

What about apple - Bitcoin - Tesla - GameStop - Nvidia selling and buying each at exactly the right time?  Buying VTI sure sucks compared to that!

Cruian

A diverse portfolio will never be the best when it comes to returns, but it also won't be the worst. In a properly diversified portfolio, there will always be some parts over performing and others under performing. The thing is, which parts those are will change from time to time. It is better to always have part of your portfolio under performing than to sometimes have your entire portfolio under performing. As mentioned, VTI still gave you exposure to US, large cap, tech, just less weight than VOO did. But that's plenty of other times where market favor is with smaller caps, and/or not tech, and even outside the US. Diversification is the only way to actually guarantee you hold tomorrow's winners. Favor changes can come quickly and unexpectedly.

Standard-Top-5942

biggest VOO was the only salient alternative to VTI. My 401k doesnt even let me invest in nvda.

DoctorNezuko

If we knew VOO would continue to outperform, no one would be investing in VTI. Not every stock follows the same path when it comes to gains.

LazyDazyFazy

So VTI is too much diversification and mid- / small- caps are lagging these days

SunshineSeattle

Why not VTI?

thethrifter

18 yo... open ROTH. contribute $25 per week into VTI. Retire early

Bynnh0j

Buy a diversified ETF. VOO, VTI, SPY. Take your pick. Auto deposit and autobuy. Set and forget for 20 years. Retire.

notapersonaltrainer

Redditors caused the VXUS/VTI peak with the "I just sold all my US" herd posts.

aVolatileAgent

This may or may not be what you are looking for, but I hope you find it helpful: We have an only child. By the time she was 8 or so, I noticed her not being as grateful for the things she received as I would have liked. One day, I had had enough, and we decided to stop buying the various things that she wanted (not necessities) except on her birthday and Christmas. In place of that, I told her she was going to be receiving a weekly allowance of $10 (this was roughly 2010). Of that $10, she had to save $2, keep $1 for charity, and the remaining $7 could be spent how she wanted. In addition, I opened her a kids' checking account and got her a debit card. This completely changed how she handled money. She began to prioritize her wants and actively saved for the things that were important to her. She started looking for sales/bargains. As she got older, I started teaching her the basics of budgeting and investing. I emphasized to her that the $2 she saved weekly was 20% of her "income". Once she started seeing her savings accumulating, she decided to start saving 25% of all the money she received for Christmas, birthdays, etc. I initially funneled all her savings into a HYSA. As her balance grew to a few thousand dollars over her teen years, I opened an additional brokerage account at Vanguard to invest her money (100% VTI). I boosted her balance by $250 per month with an IRA RMD I was receiving after my father died in 2009. That RMD wasn't enough to change my monthly situation, and I felt that he would have wanted it to benefit her. When she turned 16 and started a job, she started saving 25% of her pay. Since she wasn't earning enough to pay taxes, I directed all of that money to max out her Roth contribution each year. I added the RMD from my father's IRA each month to help meet the yearly max. She continued this through college graduation. Fast forward to now, as a 22-year-old out in the world with a job and paying her own way...she has almost 10k in a HYSA, 25k in a taxable brokerage, and 60k in Roth. She is continuing to save 20% of her take-home pay for retirement. The other thing I did for her financially was add her as an authorized user on several of my credit cards when she was as young as 12. She never had access to the cards, but I wanted to start her credit history. When she turned 18, she got her own card. I taught her not to buy anything she doesn't have cash to pay for, never carry a balance, and to pay her card off weekly. She called me a few weeks ago to thank me for teaching her about money and budgeting...she said that she would not be able to do what she is doing without that knowledge. She sees what her friends' financial situations are like, and feels pretty grateful for the position she's in now. It made me tear up just hearing that from her. I'm hoping this has helped set her up for success as an adult, at least in the financial sense. I

pnutbutterandjerky

Brokerage account, VOO/VTI/VXUS

nightbefore2

VOO and VTI are basically the same thing, massive overlap. Just pick one. IMO, owning NVIDIA on its own is redundant with QQQ

Scottdbell

The standard diversification advice — VTI plus a bond fund plus maybe some international exposure — is fine, but it misses the deeper point. Most "diversification" inside the equity market isn't really diversification. When the S&P drops 30%, your small caps, international, and growth/value tilts all drop too. They're correlated to the same underlying market sentiment. Real diversification means adding assets that don't move with the stock market at all. A few worth understanding: Treasuries — the classic flight-to-safety asset. Returns are modest but they zig when stocks zag. Real estate — appreciation plus income, but operationally heavy if you own direct. Tax lien certificates — buy unpaid property taxes at county auctions, get paid back with statutory interest (8-36% depending on the state). Property-secured. Yields are set by state law, not market sentiment. Completely uncorrelated with equity markets. Gold or commodities — uncorrelated, but produce no income. The mistake most beginners make is over-diversifying within one asset class instead of across asset classes. Five different equity ETFs is not a diversified portfolio. One equity ETF plus a fixed-income alternative plus a real-asset position usually is. Start by mapping what you already own to "where the return actually comes from." If everything maps back to equity market sentiment, that's the gap to fill.

Novogobo

ETFs are your best tool for diversification. I recommend vanguard's primarily, at least for starters . VOO, VTI, VUG,VOOG,VONG,VGT. In fact several years ago I got rid of all my individual stocks and am 100% ETFs now, and can't recommend it enough. I mean sure if there is one company that you really believe in ok, but how many companies do you have the adequate mental bandwidth to believe in so strongly about? You're not warren buffet.

Aggressive_Deer_7072

Honestly after the Roth IRA, a taxable brokerage account probably makes way more sense than letting 100k sit there barely doing anything. A lot of people just keep an emergency chunk in cash then start averaging into stuff like VTI/FXAIX over time instead of trying to perfectly time the market. 230/month on 100k is kinda painful honestly lol.

Junior_Gap3756

Regarding your question: FXAIX (S&P 500) and VTI (Total Market) have a 0.99 correlation. In a taxable account, the real conversation isn't just about which one to buy, but **Tax-Loss Harvesting** and **Asset Location**. Since you're looking for more 'rewarding passive income,' you need to ensure your tax drag doesn't eat up your yields

teckel

Honest question, what does GPIQ and QQQI do for you that QQQM doesn't? Also, I'd lose DIA and the individual stocks for VTI, VOOG or QQQM or whatever.

Valvador

What are you invested in that`s 40%? SPY and VTI is 26%.

ScarLNoBigD

I didn’t invest until later as well (around 28 for me) and you have plenty of time for it to compound. Having recurring investments is fantastic and keeps you consistent, especially if you keep up with those weekly amounts, as putting $20k into the market annually is no small penny. I do something similar but once a month to help to budget/keep track of my money better. If you’re employed, myself and pretty much everyone else will highly recommend opening up a Roth IRA so you can withdraw that money tax free later in life. Likewise if you’re employed and they offer 401k with match you should contribute to that to at least the match for free money. Like with my accounts it’s good you have most of your money in ETFs with a little bit of stocks for reduced risk. Some may say you have a little overlap in positions with your VOO, QQQ, and AMZN, but I can say anything cause I’m similar with my VTI and QQQM(smaller expense ratio) and a few shares of Apple and Nvidia that I own. I only have 1% in stocks. Keeping the majority of your money in VOO is solid. I’m similar with VTI at 85% of my portfolio at the moment. XAR has moderate 0.35% expense ration but that’s not terrible and it seems to working out well for you. I know some people like to have their international exposure higher, with some doing the 70/30 split between US and International, but I can’t talk there since I have a similar exposure to you of around 4-5%. I also stay clear of any crypto. Anyway that’s just my input. Keep up those consistent buys and good luck.

IMI4tth3w

i use robinhood's roth for this reason exactly. i almost exclusively invest in VOO, VTI, and VT bi monthly, but i have a handful of individual shares i've picked up over the years. many of them up 100-400% and its tempting to liquidate but if i'm in it for another 30 years its hard to justify other than locking in gains and moving it to an ETF where growth over that time frame is likely to be slower. i've had fairly good experience with using/buying/interacting with a company, liking them/their product, and buying a share or two and watch it take off. this is mostly just my "play" money account since my 401k is my real retirement but every bit helps.

ALargeSpork

S&P 500 had a 24% (almost 25%) return in the last one year. I know it’s not as flashy, but I’d just put all my money into VOO/SPY or VTI ETFs and call it a day. It’s less stress and a better return than what you have. EDIT: I’ll also say there’s nothing wrong with individual stocks if you love that. Have at it if it gives you fun.

Stormtrooper149

It’s due to the gambling nature of the app. Robinhood UI motivates to trade and gamble more often. They have other services besides just IRA, so there is a tendency to ruin good financial habits. For example: I have been maxing out Roth for 5 years now, and investing in VTI. I have fumbled on their predictions markets and lost some chunk (not a significant amount but still money is money). I had to request to remove it from app. So if you don’t have self control, they will get you.

InvestingNerd2020

For retirement accounts, 401k/403B/IRA, index mutual funds are great. As your friends told you, ETFs are better for regular taxable brokerage accounts. Replacement options: VTI for FSKAX and VXUS for FTIHX.

Kickboy21

Well yeah no shit. But we’re in Wallstreetbets, not r/stocks. Who here is smart enough to just do SPY/VTI and chill? If they were, they dont belong here

Marcg611

I agree with this.. I'm 43 and already feel like I have too much in my 401k and will easily have ~2.5M by 60 if I stop contributing, so I have refocused efforts by only getting the 401k match and first priority is Roth IRA max and then HSA max but free money goes to taxable account which is more near term growth of my money 3-10 years. Need to have your core in S&P like VOO or VTI and then allocate a smaller % to buy a few tech stocks that are going to outpace for years to come (NVDA, AMD, GOOG, TSLA, AMZN, TSM), also add some crypto like at least some IBIT.

Old_Culture_3825

QQQ Stop at 690.00 and 687.00 limit. VTI stop at $350 and limit at $348. I hope it isn't needed for another 18 months and I have to push those numbers up because they kept running up....but hope is not a strategy, as they say. It those stops hit my belief is party is over for 24-36 months. YMMV but I'm willing to post my truth

Old_Culture_3825

Not ETFs. If they drop heavy chances are the market is turning. An individual stock, sure. But I'm not gambling so I shy away from individual stocks. VT, VOO, VTI, things that are full market or global full market. Through Thursday pm I captured all the upside that has been running. Friday was a mess but not a 4% drop mess yet so if it turns this week I'm still in and gaining. If Friday was the shape of things to come (Monday looking ugly atm) then, yes, everything likely sells this week. But, if so, I'm betting the most we will get after that is a dead cat bounce and I'm not here to trade that emotion, I'm here to avoid the massive risk that is likely at some point here without being 'out of market' if it keeps running. I think the next fall is the 3 year fall frankly. Doesn't mean I'm right. But the buy the dip can't possibly run more than another 18 months. This worked for me Oct 2007 when dow hit just under 14,000. Stop loss at 4% allowed me to be on the train all the way up and it sold 2 months later, all out (100% out). There were a few head fakes just before that but that 4% mark worked flawlessly for me. I didn't 'time the market,' I let the market do the timing via the stop loss. Then I sat there for what felt like FOREVER waiting to get back in but I wasn't sweating every night (okay, I def took some money out of my Wachovia bank account when everything felt surreal with banks being forced to merge but my holdings were locked down and not cut in half as the market fell apart). Only thing I didn't do was short a few things - didn't really understand I would MAKE money in a shit storm back then...this time I'll buy a few shekels of SQQQ if the market drops 7% or so and see how that shit show of a short works out. 😄. But back in market around 9,000 DOW 18 months later worked out just fine. You do you, it's all cool. But hurt is coming here at some point so best way to get the upside until it does is have the stop in place. Worry free.

R101C

You've done serious work already. Don't compromise it by burning yourself out. The turtle wins the race, not the hare. And after 100k, the losses are bigger in down years, the gains are bigger in up years. Stick to your fundamentals. Whatever those are. I'm heavy stocks because my employer offers some pension. I consider that a bond/income floor that let's me be more aggressive. I'm in the full market with most of my stuff, VTI and similar. I barely kept my nose above water between my 5 yr old mortgage, a divorce, and the housing crash in 2009. My fundamentals were strong, the economy came back. Same with the covid dip. Zero panic selling. Just kept buying every payday. I intend to retire before I'm 60. As an American, the largest risk is healthcare. When I'm 5 years out, then I'll soften my exposure a bit and set aside a few years of cash. Given what is happening currently, I think the bigger risk is inflation vs a market correction. So many S&P 500 etc CEOs are paid in significant stock. They will run the glove to the ground before they will lose value. If the normies like us don't hang on tight, our silly hourly wages sure won't keep us afloat. So there's my soapbox. Find peace with the process and enjoy the ride.

LAHAND1989

First of all, congrats. 100,000 is a milestone because that’s where the gains really start to snowball. An extra $10,000 a year in your net worth or whatever you want to call it is meaningful. I started investing super late, at age 34. That was May of 2024. Fear and ignorance kept me from starting earlier. I am a freelance artist so having a nest egg was always a priority for me. Finally I had watched the market go up and down enough and with the encouragement of friends and family I opened a brokerage and a Roth in May of 2024. I started with 88,000 which was my life savings at the time. I remember being unsure how it would all turn out. Lemme tell ya, 2 years later I am so thankful I started taking investing seriously. My investment account is now at 175,000 with 43,000 in gains. It was all SPY, VTI and some Mag 7. It’s been life changing. I now put everything I have sitting on the side except for a tiny emergency fund into the market and then just chill. It’s great!