Why VTI Stands Out as a Reliable Long-Term Investment in U.S. Stocks
The Vanguard Total Stock Market ETF (VTI) remains a standout choice for investors seeking broad exposure to the U.S. stock market today. With a straightforward strategy and minimal costs, it has delivered consistent results over the years, even through economic downturns and global uncertainties.
VTI tracks the CRSP US Total Market Index, which includes nearly all investable U.S. stocks, weighted by their market size. This approach ensures investors gain proportional exposure to everything from industry giants like Apple, Microsoft, and Amazon to smaller companies. The ETF's top holdings also feature Alphabet, Nvidia, Tesla, Meta Platforms, and Berkshire Hathaway.
Since 2015, VTI's performance has varied, with annual returns swinging between a loss of 19.51% and a gain of 30.67%. Despite financial crises, pandemics, and geopolitical tensions, the fund has often closed years on a positive note in the stock market today.
One of VTI's biggest advantages is its low cost. The expense ratio stands at just 0.06%, meaning an investor with £10,000 in the fund pays only £6 a year in fees. Vanguard's structure—owned by its funds, with a vast asset base and minimal marketing expenses—allows it to keep costs down for shareholders.
VTI continues to attract investors due to its simplicity, affordability, and resilience across different market conditions. The fund's ability to maintain low fees while delivering broad market access reinforces its reputation as a reliable long-term investment option in the stock market today. Historical data shows it has weathered volatility better than many alternatives, making it a preferred choice for diversified U.S. equity exposure.
