VTI
Vanguard Total Stock Market Index Fund ETF Shares
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23 F advice on my long term portfolio: VTI/QQQM/Costco
Is it ok to never have bonds if you start investing early?
Let's go! For most, the best investment route is to just purchase a S&P500 index fund/ETF and hold on (*while adding to it often and extra when markets are in a down-cycle). Vanguard's VOO and VFINX have low expense ratios % and are great choices! VTI / VTSMX are also good (total market) options.
Let's go! For most, the best investment route is to just purchase a S&P500 index fund/ETF and hold on (*while adding to it often and extra when markets are in a down-cycle). Vanguard's VOO and VFINX have low expense ratios % and are great choices! VTI / VTSMX are also good (total market) options.
Let's go! For most, the best investment route is to just purchase a S&P500 index fund/ETF and hold on (*while adding to it often and extra when markets are in a down-cycle). Vanguard's VOO and VFINX have low expense ratios % and are great choices! VTI / VTSMX are also good (total market) options.
I hit $100,000 in Broad Market Index Funds (mostly VOO and VTI) this Jan
I have about 10k on hand. Thinking 50% VTI or VT,30% VXUS, and rest 20% in stocks. Unsure about my ETF choices though
Target Date Funds (TDF) in Taxable Account for Money Needed in 4-5 Years?
What to do with $300,000 just sitting in my checking account?
Thoughts on 31yo investment portfolio - big pay raise next year and questions
100% stocks is not universally good advice. Stock market indexes are not always the right benchmark for your performance.
Is FZIPX same as AVUV? Looking for Low ER small cap ETF
I'm creating a portfolio for my brother, any thoughts?
Lost eBay Lego bid war, now have 1.3k, what stock to invest for coping
Where to invest 10k leveraged from CC cash advance (5% fee)?
As a non-US resident is it worth getting Ireland-domiciled ETFs?
3rd year of maxing out my roth ira. How do my allocations look
Limited International Fund Options in Employer’s 401K Plan?
Choosing spouses growth stocks for taxable account
Three things that will happen in the next 1-2 months. Willing to ban bet any of these if you are.
Okay Portfolio Going Into 2024? [23 YOLD Looking for long term investments]
Thinking about a higher growth portfolio for the new year.
30 year old. What's got the greatest possible potential for returns? TQQQ?
What is the quality of stock markets in other countries compared to US?
Searching for advice on F1 NRA brokerage accounts (Vanguard Vs. Schwab)
Started 529 account for child, invested in "NH Portfolio 2042 (Fidelity Index)"
With IRAs about to reset for 2014 what are you all planning to buy?
Portfollio allocation after move from edward jones
Do you ever buy stocks outside of the indexes and Mag 7 near all time highs?
Investing brokerage accounts for my kids and nieces - best course of action?
Investing advice for moving around 100k into ETFs
I've got $500K burning a hole in my pocket: should I bet it all on tech stocks?
Mentions
I think its good to be globally diversified even if it may reduce returns long term. A good international fund is AVDV, pairs well with VT, VOO or VTI
Take her out for dinner and when you get home before bed, you tell her that you want to tell her something important. So when she yells at you, you can still be safe when you cry about your failure. But my advice is, don't make the same mistake again. Stop your options and futures and day trades and switch to VTI and long term ETFs.
Promise yourself you’ll never sell until time horizon hits. Money only goes in, never out. I’d pick VTI and $BTC and follow this strategy
VOO or VTI. If your feeling a little bit more risky then QQQM and SCHG
Damn that's impressive savings at 22, you guys are killing it Honestly sounds like you're already on the right track with the Roth IRAs and index funds. I'd probably max those out first ($7k each for 2026) then throw most of the rest into a taxable brokerage with boring stuff like VTI/VXUS. Keep maybe 6 months expenses as emergency fund and you're golden The fact that you're asking means you won't gamble it away lol
Assuming you already have your emergency fund, start contributing to 401k and Roth IRA. Risk averse version would be a 60% stock / 40% bond mix, with stock portion being VTI or VT if you want to cover international. Good luck!
What I would first do is open an account at major brokerage fidelity, Schwab, vangard would be my top picks. then make sure you .have a money market account. with a decent interest rate. And then depoist the money in the money market account. At this point start tot use the money in the money market account to invest for dividends. a cash profit sharing payments to you. Similar to interest but you buy stock of the fund of your choice. The dividend are payed out quarterly or monthly and deposited into your money market account. A good dividend fund to start out with is QQQI 13% yield and it is a tax efficient fund meaning you pay less in taxes on the dividends you recieve. This fund with 100K in it would generate about 1K a month of income with this 1K a month of income you can keep some emergency cash in you money market account, or reinvest it back int QQQI or some other dividend fund there are many. Or you can invest in a growth fund.. Most growth funds only pay a dividend of about 1% so they are also tax efficient But instead of dividends growth index funds grow by share price appreciation. and you only pay taxes when you sell shares at a price higher than what you spent to acuare the stock. VTI is one commonly used growth index fund, but there are many of choices. The third thing you could do is to open a roth IRA IRA. Roth IRA are tax free retirment funds. you can depoist $7500 a year into it you could invest in QQQI and VTI in the roth. You cannot withdrawal it until age 60. But when you do withdrawal money it is tax free. Also andy buying and selling and dividends earned within this account is tax free.
Look at VTI's top holdings - there's no need for the individual stocks in my opinion.
It depends on your goals/portfolio strategy. VT is the whole world, but VXUS is the international market. I personally have VTI and VXUS to diversify my portfolio and because I believe in the US market + want international exposure. VOO grows slighly more than VTI because it kicks out the small/mid cap markets but I want those in my portfolio.
>I’m playing with around 2 grand and I invest 10 percent of every check into the account which is a HYSA HYSA is usually referring to a high yield savings account, which stocks are not… (though something like SGOV can function that way) I’d stick to just VTI/VXUS unless you’re looking for specific exposure not covered there (like precious metals)
Fixed the AAPL ticker. Why VOO over VTI?
not bad but why go all in on sp500 instead of diversifying more with an all world index fund like vt? Or ar least a VTI
yeah originally i was going with VTI and VXUS since that’s what i saw everyone saying, but figured just go with the Fidelity options since i’m on Fidelity (probably just the ocd kicking in) with bitcoin, i love bitcoin. wanted to have some sort of exposure, even if it’s a little.
VT. International outperformed last year. Why limit your investment to one country with a fund like VTI/VOO?
That's perfectly fine. Most people recommend VTI/VXUS because 1. it's cheap (FSKAX is cheaper, FTIHX is close enough) and 2. it's easy to move (in a Roth IRA you can sell and rebuy whatever you want if you leave Fidelity) Having Bitcoin is a personal preference but you are only doing 5% so go for it if you want.
I think risk tolerance is an interesting concept here. I understand it when you have invested into an individual stock that might crash and never recover. But I've never understood risk associated with an etf like VOO/VTI. The market will always come back since it's so diversified. I can't imagine panic selling VOO/VTI.
Thanks for everyone’s opinions. I decided to open a vanguard account and buy VTI on my own.
Start with buying and holding shares. Preferably index funds like VTI or VOO (or equivalents) or individual companies where you can explain their business model. You can work your way up to paper trading from there.
Oh I got you. I don’t think TTWO is a bad bet to invest in if you are looking for low volatility stock. I know with that statement I might get disagreement from some lol. If you aren’t looking for individual stocks, just put some in VTI or QQQM. If you are looking for individual stocks in gaming sector, there are some “undervalued” plays like NetEase and Tencent. I put that in quotes because these companies often trade at discounts due to geopolitical risk and Chinese government
I was only comparing VT to VOO/VTI, not to the well-diversified portfolio you described that includes international exposure and bonds. For example Vanguard recommends combining VTI and VXUS if you want flexibility. So splitting VT into separate ETFs is okay if you can manually manage international exposure.
My only gripe is that VTI is weighted. It’s already heavy in s&p. If you’re buying VOO, then you need VO, and some kind of small cap etf. VTI is nice for the set it and forget it investor, even VT in that case cause you get everything in one ETF. If you’re an investor that tracks and pays close attention, a modular approach can do better. All depends on the investor and what their goals are and how much time they want to put into paying attention to the market. I like pizza and tacos. lol.
Honestly this is like arguing whether pizza or tacos are better - you're gonna be fine either way lol Your approach with VTI + VXUS gives you more global diversification which isn't a bad idea, especially starting out
I have been doing nothing other than maxing a 401k and IRA every year 100% VTI since starting with zero in 2010. This October I hit a million bucks for the first time. 15 years to a million bucks just making regular contributions to the total US market. I will take that result any time.
VTI or VOO and chill my friend.
You're relying too much on historical data. Past performance doesn't guarantee future outcomes, so diversification is the only "free lunch". VT is better than VOO/VTI because it has comparable expense ratio but significantly better diversification.
lmao I had tried this once a long time ago, and broke ass dudes started lecturing me about how risky it was and how I should have just bought VTI
Having both a 401k and a Roth IRA at 31 already established is a strong foundation...platforms like Robinhood can be engaging but focusing the majority of investments on broad-market ETFs such as VOO or VTI is a much common strategy. for a smaller portion of the portfolio you can introduce individual stocks though they can introduce some risk buh may be acceptable at this stage. If you're without specific investments, ensuring diversification and low fees is generally better n by continuing to contribute consistently to these accounts can allow for long-term growth.
Im moving my port into nothing but VGT QQQ SMH and VTI and just gonna sell puts for extra cash. boring af but prob outperform 90% of sub.
VTI is a great ETF for slow, safe, growth but I am in the 4th quarter and playing a little catchup, here is my rationale for replacing VTI with SCHG. |**Feature**|**VTI (Total Market)**|**SCHG (Large Growth)**|**Goal Impact**| |:-|:-|:-|:-| |**# of Stocks**|\~3,700|\~230|**SCHG** is more focused on winners.| |**Top 10 Holdings**|\~27% of fund|\~60% of fund|**SCHG** bets bigger on the "Magnificent 7."| |**Dividend Yield**|\~1.3%|\~0.4%|**VTI** pays more income, but less growth.| |**Role**|Safety / Diversity|Pure Growth|**VTI** is too safe for a high return target.|
Love an investment thesis that start with ‘I can’t prove it but…’ I’ll buy up your VTI.
We really need to see the 2025 list and how it performed relative to VTI or some other index
Great point, the covered calls feel great now, but in a large downturn could be no fun. At some point I plan to end my JEPQ yearly investment, and go 100% VTI. But continue to let the JEPQ DRIP into bitcoin. And without too much detail, I simply believe in bitcoin long term. The world is becoming more digital and bitcoin is digital gold. It’s still young and volatile, but will stabilize as time goes on and has the potential to (continue to) be the greatest investment opportunity of the 21st century.
Sort of newbie here, for my long term investing I was putting $500/mo into VOO the past few years. My question is since VOO is now trading at $626, what is the consensus on continuing to do that vs. selecting another, lower cost index fund? Meaning, would it make more sense to start buying something like VT or VTI to get more shares in something else, or would it be smarter to keep buying VOO if it continues to get pricier?
That's fine in the sense that you're mostly putting contributions into something traditional and relatively safe (VTI). I'm dubious of covered call ETFs... I own some XYLD but I know it will be a disaster when the S&P crashes, so it's not really a good long term buy and hold investment. This is because those covered call positions take so long to recover and over the long term they don't do as well as straight equity positions. I think it's fine for people to play with bitcoin, but I personally don't believe in it as a buy and hold, which is what retirement accounts are mostly about. Why bitcoin and not gold?
In other words, VTI/VTSAX and chill
I didn't say 0 bonds until he's 50 - someone might have. But not me. But, I did say at 18 there's no reason to hold bonds. He should be buying and holding index funds like VOO and VTI and an international fund looking for long term growth.
Thanks for sharing. Taxes involving capital gains and losses are never simple and straightforward, so I did a double check using the AARP Tax Calculator, my go to site for taxes. I chose single with $150K of wage income. That was in the marginal 24% bracket and produced a tax liability of $25,067. I then input the $6,933 of losses, assuming they were short-term losses, and the taxes were $24,347, or $720 lower. That's roughly 11% of the losses, not 24%. The losses are limited to $3,000, and the rest can only be carried forward. I also changed it to be long-term losses, and the taxes were the same, and limited to $3K. Also, all of the 2025 sales would be likely to be short-term losses, because you invested in late 2024. Going forward, it's going to be a lot harder to generate short-term losses, as the holding period will exceed one year. That means most of the losses will likely offset long-term gains, which are taxed at 15%. But that is a guess, because this stuff is never straight forward. So the math says that as of now, you would have more money with VTI, and the taxes saved does not make up the difference...and you have a $3,933 loss carryforward that has to be used before any 2026 losses can be harvested. Hard to see it as a win right now. [AARP Tax Calculator ](https://www.aarp.org/money/taxes/1040-tax-calculator/)
nonsense question. so since you asked it, VTI
You could do the same with VTI honestly. I just personally believe everyone should start with the sp500. Buying into that weekly and not panic selling is the foundation where every other knowledge is built. If someone never progressed beyond VOO and chill, buy weekly, never panic sell, they would be fine in life. Anything that gets you to spend less and invest more auto = your friend. Anything that creates friction or obstacle to investing more auto = your enemy. Overthinking the asset allocation and portfolio strategy is an example of that friction in my opinion. Energy would be better spent increasing the weekly investment.
I do really love VTI and VXUS. It feels like the perfect blend of diversification while not being overly complicated. If one has a downturn, the other might pick up
What’s better about VOO as compared to VTI? To me it seems the same in terms of the rate. I know VOO is more focused on the top of the S&P though.
You're overthinking it. VTI and VXUS is already perfect for your age n don't start chasing sector bets like silver mining or trying to time bonds because you think a downturn is coming. Nobody knows what the market will do n at 24 you've got decades, just keep dumping into your current setup. Keep 6 months expenses in the HYSA as your emergency fund, everything else goes to VTI and VXUS n I know it's kinda boring..
It’s stupid to own it when you can just buy something like VGT and get untaxed growth. VZ will not really appreciate in stock value so you’re left with just the dividend. It’s taxable so you’ll end up needing to pay additional taxes on your return. I held it for about 8 years. In that time it barely increased in share price. I ended up selling it for a small loss. If I could do it again I wouldn’t have bought it and have just bought VTI. In addition their business is likely under threat from satellite constellation companies like StarLink and it’s a capex heavy industry with significant hardware and spectrum costs.
VTI tracks the whole market while VOO is just the S&P 500 like you said. VOO and SPY are basically the same thing but VOO has lower fees so most people go with that. Can't really go wrong with any of the big ones tbh
Robinhood is leasing the industry in creating new products and usually works with lower limit than the big boys. And they have a product offering that will grow as the account grows. At 18, just keep it simple to start like VTI for at least 80-100%.
You're 18 - forget about bonds as you have a long horizon. Throw everything you have now at VTI/VOO, and keep doing it consistently (this is the MOST IMPORTANT part. Go enjoy your young years and thank yourself later.
Trading on margin is dangerous. Slow and steady wins the race. VOO/ VTI will earn more over time.
> very stable stocks like VTI, VOO, QQQM, MSFT [...] stable commodities like gold If by "stable" you mean they can crash 50%...
Open a brokerage. Takes 5 mins. VTI or VOO. As often and and a much as possible. For a long as you work. Done.
Roth buy and holds besides VTI/VOO anyone?
I don't think your brokerage will flag it as a wash sale but I wouldn't want to be audited and arguing that two sp500 ETFs are not substantially identical. They are too close for my comfort and I rather just swap with a fund with more holdings but very similar performance ( eg swap spy for VTI ).
Do you have some spare VTI sir?
Just bought $10,000 in VTI for my last paycheck 👀
VTI or VTSAX if you want simple and effective - just throw your $500/month at total market and call it a day
Notice the distinct lack of any substance in your comments Notice how you're the only one talking about chasing returns. VOO isn't chasing returns, it's an aggregated index ETF, just like VT and VTI. They all serve different purposes and different diversity of investments, and it's insane for you to think I'm chasing returns because I mentioned VOO. You know, the fund that is readily available to basically the entire working public through companies 401k programs. The one that's used in life path retirement funds early on? \> Don’t worry when you lose I hope you remember our little conversation. This is so tuff
1 live below your means and save a few bucks 2 make fidelity account 3 deposit $$ 4 buy index funds like VOO or VTI and never sell any shares. 5 repeat steps 1-4 again and again every month
I'm one of that 1% - and even I would recommend buying and holding an SP500 indexed ETF! The only reason I didn't do so was that I was ignorant, and the only reason I did better was that I was just plain lucky. The smart way to proceed imo is to live below your means, regularly invest in an ETF (VTI or VOO are both good examples), and don't touch it once it's invested. This is not complex...and it just plain works.
I’ve been learning for years and still have more to learn but so far I’m happy with my current list if you’d like to research them. GLTR, SCHD, DGRO, HDV, VTI, and of course, bitcoin.
I’m cracking up at you constantly bringing up my wealth and simultaneously talking about contributing nothing of substance. Pot, meet kettle. Also it’s so funny how we all have access to the internet and yet somehow, the loudest most obnoxious people seem to be the most wrong > VOO does not return more on a risk adjusted basis when compared to VT or VTI I thoroughly enjoy how this is just flat out a wrong statement. First of all to establish things, VTI has only been around since 2001, VT since 2008 and VOO since 2010. Using sharpe ratios for each on a 10 year scale we get VOO: .85 VTI: .79 VT: .67 VT only wins over the past year. Now if we backfill data like a lot of portfolio sites do, I’m using lazyportfolio in this case, we get the following sharpe ratios on a 20 year timescale. Not going to even bother with 30 year because it’s the same result. VOO: .63 VTI: .60 VT: .42 Unlike you, I don’t run around calling people poor and sounding miserable all the time while also being wrong about whatever I’m spouting off. Even if you have wealth, it doesn’t magically make you happy clearly https://www.lazyportfolioetf.com/etf/vanguard-sp-500-voo/ https://www.lazyportfolioetf.com/etf/vanguard-total-stock-market-vti/ https://www.lazyportfolioetf.com/etf/vanguard-total-world-stock-vt/
Forgot to include reinvest premium in broad market based funds (SPY,VOO, VTI) You should only rebalance 1 time a year after a company releases their 10K. You aren't making money if you don't research the companies you want to purchase and making sure they have high intrinsic value You aren't keeping your gains if you are illogically rolling It's not simple, but it's not hard. I make money when th market goes up or down.
Schwab 100% VT Unless you want to capture foreign tax credit. 60% VTI 40% VXUS In a taxable look for low fee low turnover funds.
just buy the S&P 500 and relax. It really is that simple. ETF's like VTI, FXAIX are money printers
Past-Year Performance Snapshot (Vanguard ETFs) in which I DCA: Vanguard Total Stock Market ETF (VTI) – $335.27 📈 +15.91% (+$46.01) over the past year Vanguard Total World Stock ETF (VT) – $141.06 🌍 +20.32% (+$23.82) over the past year Vanguard Information Technology ETF (VGT) – $753.78 💻 +21.32% (+$132.44) over the past year
Past-Year Performance Snapshot (Vanguard ETFs) in which I DCA: Vanguard Total Stock Market ETF (VTI) – $335.27 📈 +15.91% (+$46.01) over the past year Vanguard Total World Stock ETF (VT) – $141.06 🌍 +20.32% (+$23.82) over the past year Vanguard Information Technology ETF (VGT) – $753.78 💻 +21.32% (+$132.44) over the past year
What? So you’re entering into a thread started by an individual talking specifically about chasing returns and not understanding the difference between VOO/VTI/VT when it comes to risk. We are talking about risk of the financial assets themselves not portfolio construction based on where someone is in life in relation to age and retirement. Again, if that’s all you’re doing you don’t have much money anyways and should not be chasing returns. You can have a multitude of “risks” and the number one way you can tell someone does not have a good understanding is when they default to thinking “risk” is only in age related portfolio construction. VOO does NOT return more on a risk adjusted basis when compared to VT or VTI. It only looks that way to people who don’t have the education or understanding of why “big number better” is not a good way of wealth generation. Again, you don’t have wealth - I can tell by your responses. Btw - trying to quote someone out of context on a completely different topic because you don’t have anything to say that has substance…. It’s actually pretty pathetic.
Put 80% in VTI and gamble again w options w the 20%
Is VTI basically the same thing
This is a Fidelity mutual fund. It has actually beaten the S&P by a small amount, even after fees, over the last 10 and 20 years. So its not a bad choice, and has likely done well. But it makes sense to diversify your account, and reduce fees over the long term, so spreading the money over several funds might be better long term, and in the event of a downturn. So he has made some money for you over the S&P, but may have also made more for himself. I prefer ETFs and to self manage my accounts, so I would just thank him for him suggestion and say to put it into the VTI. Or just take over the control of the account and manage it yourself. If you start with a few simple funds like VTI or VOO, you can slowly add more diversity as you research what you want to do. But so far, he has not appeared to put you into a horrible fund, or lost much i any money compared to VTI or such with that choice.
My holdup with this has always been that you're selling all your losses and only holding gains and that is sort of hidden if you're not considering your future tax liability. Doing some quick calcs, you're left with $13,077.81 of gains. Taxed at 20%, you have a future liability of $2,615.56. Net you have $55,767.22 ($56,718.84 + 1,663.95 - 2,615.56). Whereas, with VTI, you'd have $7,166.51 of gains (some are divs so not exactly right), and a future tax liability of $1,433.30, for a net of $56,307.35, and a difference of +$540.12 compared to FidFolios. The difference in net in your case mostly comes down to the underperformance vs VTI which is probably random over time, though should drag due to higher management fee. From what I can find quickly, you are limited to using $3,000 of short term or long term capital losses as a deduction against ordinary income, so the more you're making using the strategy, the less relevant your ordinary income tax bracket is. If they used the losses to offset an equivalent amount of short term gains, then you're left with $6,144.70 of gains, and that's just straight up underperformance vs VTI. I am not an expert with these portfolios, so I could easily be missing something, but I've never been able to understand the positive in these strategies. Either way, I appreciate you sharing actual numbers.
VTI for 90% and 10% ASTS (and hold that!) Dont go stock picking, stay away from options and especially leverage. Read up on alot
Cashing in on my individual stocks. Did really well last 2 years. Going back to VTI for now. Keeping my all Amazon shares, and half my Google shares. Might grab some meta. Staying away from crazy PE ratio stocks this year. Done with space stocks for now (where most my money came from last year). Shit feels like beyond bubbly to me now.
Around 16%. Little less. I hold a LOT of VXUS which is international. Rest is VTI.
Lol go into /ETFs or /bogleheads and VT vs VTI+ VXUS comes up pretty much daily... Anyone can buy VT. I'm holding it in my Fidelity account without issue. Heck here's one from just a few hours ago... https://www.reddit.com/r/Bogleheads/s/BmoIdS4Hsg
He made more money putting you in FAGOX. You don't need an advisor. Fire him and move your money to Fidelity, Vanguard, or Schwab and invest in VTI.
Your concern is reasonable. VTI is a low-cost, broad-market index fund, while FAGOX is actively managed with a much higher expense ratio. Over long horizons, costs and tax efficiency matter a lot, especially in retirement accounts. If your advisor is compensated based on AUM or fund selection, it’s fair to ask whether they’re acting as a fiduciary and how they’re paid. At minimum, I’d want a clear, data-based explanation for why an active fund justifies its higher costs versus a simple index approach.
It's a great option. It's all US stocks. Don't overthink things. He wants you to invest in a front loaded fund with 1% expense ratio, and he probably gets a commission for it. As opposed to VTI which costs 0.03% per year
That depends on your goal, time horizon, risk aversion, other investments, and specific investment needs. VTI is a total stock market ETF, so it is pretty simple. If that is all you want then it is good for that after you consider the above items.
Interesting!! I’ll have to investigate what the name of the money market is at Schwuab. I for sure wait to park my money and use it as a checking account with an APY growth. Regarding VT, can I buy that on Schwuab? Why don’t more folks talk about it? That’s what I wanted to get is both US and International diversified ETF all in 1! Does Schwuab have their own or is VTI for everyone?
Do you think VTI is a good option?
If the only thing you want is to buy VTI then you don’t need an advisor.
I’ve read a number of your comments and you seem a bit confused. A lot of the big funds (like VOO, SPY, VTI…) you can buy at any brokerage. You don’t have to buy VTI on Vanguard, you can buy it as Fidelity or Schwab or wherever. IMHO this is the best option. Vanguard has terrific funds, but Schwab and Fidelity are better platforms to deal with. I personally wouldn’t own any of the smaller proprietary funds (sometimes marketed as no cost, as they are all so cheap anyway) that are only available on Fidelity or Schwab, as it could force a capital gains event if you ever want to move brokerages in the future.
Yes, in fact I think for Fidelity at least, you can actually get a check book and debit card to a CMA which is linked to your money market funds so you can freely swap money between the two (and your investments) and use the CMA essentially as a checking account. We don't do this, but it's an option. We just have our TD bank checking account directly linked to our MMFs. I doubt FZCXX can be set up in Schwab given its a Fidelity MMF, but you can always check, or they may have their own version of the same thing. No I mean VT. VT is vanguard's total world stock ETF that self balances US and international stocks across the entire globe (almost 10k stocks). I believe currently it's a 62% US / 37% international stock split. I can't think of a single more diversified single ETF that exists, hence me choosing it for my set and forget stock in taxable account. VTI is vanguard's total US stock ETF, so it lacks the international component (hence people pairing it with VXUS for international exposure).
> however they don’t have that index fund SWPPX > /ETF No trade fees on ETFs so you could use any ETF you want. Back in the trade fee days, they offered $0 trades of IVV. > Schwab doesn’t have VTI You can absolutely invest in VTI at Schwab. > neither of these 3 brokerages use the term “index fund” but only have ETF. They all offer ETFs and mutual funds. "Index fund" is just a term for a fund that follows an index rather than trying to pick winners. It could be used for mutual fund or ETFs. > Are there any benefits to using one brokerage than the other? Not significant ones -- mostly comes down to preference.
this is so smart! So essentially instead of having money in my checking account, I can have it sitting in FZCXX and it will grow like 4% APY or more? Why haven’t I done this years ago?!! So essentially I can have unlimited transfers between checking and FZCXX? And FZCXX is secured and low volatility? Also, can FZCXX be setup on Charles Schwab in a seperate account? When you say VT, you mean VTI?
I'm not sure what you mean VTI is on schwab as are other fidelity and vanguard funds, in addition to the VOO. Schwab is the best broker especially if you use their bank account which has literally 0 fees and they reimburse you for ATM fees.
You seem pretty knowledgeable, so I wanna ask you, if somebody was to invest in VTI, would they have favorable fees investing in a vanguard account as opposed to Fidelity or Schwab?
You can absolutely get VTI and a variety of s&p 500 ETFS through Schwab.
I'm not too familiar with what Canadian citizens have access to but if you can get broad US stock or broad western market stock funds with low fees, that's a good choice. Vanguard offers two funds called VOO and VTI that are popular. Most financial institutions offer their equivalent for it. Schwab has SCHB. Fidelity has FSKAX. Basically what we have seen is that these markets grow on average about 7% per year. Key point is that is over long periods of time which is why you have to be okay with volatility. It might grow 10% for a few years, then be down 20% for a year. Then 3% the next year..etc. 7% is the average over the 20-30 year span.
Index Fund just refers to a fund that tracks an index instead of having a fund manager pick stocks. An Index fund can come in either ETF or Mutual Fund form. SWPPX, SWTSX, VFIAX, SCHB, SCHX, VTI, VOO are all index funds. There are no fees for buying/selling ETFs at Schwab. There are no fees for buying/selling a wide range of mutual funds at Schwab. Schwab doesn’t allow buying fractional shares of ETFs or setting up automatic periodic purchases of ETFs. They do allow both these things for mutual funds. ETFs tend to be more portable than mutual funds should you decide to change brokers. ETFs are slightly more tax efficient than mutual funds when held in a taxable account. This is because mutual funds are more likely to have capital gains distributions, though they tend to be minimal for index mutual funds so not a major concern. If you are ok not being able to buy fractional shares and auto invest I’d hold ETFs in a taxable account for the increased portability and tax efficiency. I’d use Schwab Index Mutual Funds in an IRA. Especially if you want to set up a monthly contribution and have it automatically get invested. These are minor differences… either ETFs or Mutualfunds are ok in both.
You can buy VOO and VTI at Schwab for no fees. The only downside is they don’t allow purchasing fractional shares of ETFs. Schwab doesn’t have their own S&P 500 ETF, though SCHX is similar. They do have an S&P 500 mutual fund (SWPPX). SCHB is roughly equivalent to VTI. SWTSX is the mutual fund version.
Ended the year up $355k holding VTI, tech stonks, and gold- here’s to you 2025 🥂 ✨ 💰
Take this with a grain of salt as I’m not an expert, just another person on the internet wanting to learn more about investing to secure my future…I’ve been with Schwab for over a decade. I’ve recently moved my private equities into ETFs to simplify things. My main fund is SCHB, which is a broad market fund that includes large, mid, and small cap companies. This would resemble VTI to the best of my understanding. The only issue I have so far is I always have money leftover after buying these ETFs. You can instead choose a mutual fund such as SWPPX (which tracks the S&P 500) or SWTSX (which is a total stock market index). It’s a dollar a share and you can buy whatever you want without having any leftover cash drag. I use the Schwab funds as I earn a low wage and the Vanguard funds are beyond my budget. I keep SCHB in my Roth and SCHX in my taxable (any leftover change after maxing my Roth goes here). I get a 1099 form every year only for my taxable account for any capital gains I had (selling a stock) or qualified dividends.