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Forget the S&P 500: Buy This Incredible Growth ETF Instead

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Many people have achieved financial success through index investing. Buying broad-market funds and holding them for the long term takes a lot of the risk out of investing and has historically provided investors with reliable growth.

But what if you could take that approach and step it up a notch? What if you could enjoy those same benefits while adding minimal extra risk and raising the potential for returns? You can get all that by investing in the Vanguard Growth fund (NYSEMKT: VUG), and if you’re interested in passive investing with the potential for higher growth, you should check out this exchange-traded fund (ETF).

Investing in the S&P 500 through an index fund or ETF is a smart move for most investors. There are many upsides to doing either instead of or in addition to choosing your own stocks. The best course for an individual investor is to build a diversified portfolio with some growth stocks, some value stocks, and some passive income-focused choices. An ETF with exposure to nearly all of the largest U.S. companies — and those are precisely what is to be found in the S&P 500 index — instantly gives investors that diversification.

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