3 Vanguard ETFs to Buy This April

Exchange-traded funds (ETFs) continue to be a popular investment choice in 2025, offering diversification, cost efficiency, and liquidity. Whether ETFs are the right fit for specific investors depends on a range of factors. Some investors are more active in their approach, and opt to pick individual stocks in an attempt to generate outperformance. We’re all […] The post 3 Vanguard ETFs to Buy This April appeared first on 24/7 Wall St..

Mar 31, 2025 - 14:26
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3 Vanguard ETFs to Buy This April

Key Points

  • There are a myriad of ETF options for investors to choose from, but these three look like solid contenders to be core portfolio positions in April.

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Exchange-traded funds (ETFs) continue to be a popular investment choice in 2025, offering diversification, cost efficiency, and liquidity. Whether ETFs are the right fit for specific investors depends on a range of factors. Some investors are more active in their approach, and opt to pick individual stocks in an attempt to generate outperformance. We’re all after alpha, so this approach is certainly enticing for many. 

However, given the recent market volatility we’ve seen, and the rather steady performance of most major indices, most investors would agree that simply broadly diversifying and holding a few ETFs may be the best course of action. The thing is, there are thousands of ETFs to choose from, ranging from broad index-level ETFs to sector-specific or stock-specific options. Thus, choosing the right options really depends on one’s risk preferences and investing time horizon.

I think most investors can consider the three ETFs I’m going to outline in this piece. These are three top options I think can fit into a well-diversified portfolio, and be core positions for most investors. 

Here’s why I think these particular ETFs are a buy in April. 

Vanguard S&P 500 ETF (VOO)

The Vanguard S&P 500 ETF (VOO) remains one of the best investment options for 2025 due to its low costs, diversification, and strong historical performance. With an ultra-low expense ratio of 0.03%, investors benefit from cost efficiency that beats most actively managed funds. VOO tracks the S&P 500 Index, offering exposure to 500 of the largest U.S. companies, ensuring broad market diversification while minimizing individual stock risk.

Historically, VOO has delivered an annualized return of 16.81% over the past five years, making it a top performer in its category. It holds a Gold Medalist rating from Morningstar, reflecting its quality and long-term potential. With over $1.4 trillion in assets, VOO provides stability and liquidity, making it a reliable core holding for any portfolio.

Although the S&P 500’s concentration in tech stocks introduces some risks, these companies have strong fundamentals. For long-term investors, VOO remains an excellent choice to capture U.S. equity market growth with minimal fees and strong diversification.

Vanguard Total Stock Market ETF (VTI)

The Vanguard Total Stock Market ETF (VTI) is an excellent investment choice for 2025, offering broad market exposure, low costs, and strong historical performance. Tracking the CRSP U.S. Total Market Index, VTI provides access to over 4,000 U.S. stocks, covering large, mid, and small-cap companies. This extensive diversification reduces sector-specific risk, making it a balanced investment.

With an expense ratio of just 0.03%, VTI is a cost-effective option, ensuring that investors retain more of their returns over time. Its liquidity and flexibility as an ETF allow for intraday trading, giving investors the ability to react to market movements efficiently. Historically, VTI has delivered an average annual return of 8.8% since its inception in 2001, aligning with overall U.S. market growth.

Sector allocations in technology, healthcare, and consumer discretionary position VTI well for long-term economic trends. Additionally, its quarterly dividend payments provide investors with passive income. Given its low fees, broad diversification, and strong track record, VTI remains a top-tier core holding for investors.

Vanguard Total International Stock ETF (VXUS)

The Vanguard Total International Stock ETF (VXUS) is an excellent choice for investors looking to diversify beyond U.S. markets in 2025. Tracking the FTSE Global All Cap ex U.S. Index, VXUS provides exposure to over 7,500 international stocks, spanning developed and emerging markets. This broad diversification reduces reliance on any single region or sector, mitigating risk while capturing global growth opportunities.

VXUS has an expense ratio of just 0.08%, making it a cost-efficient option for long-term investors. It follows a passive management strategy, ensuring that performance closely mirrors its benchmark. The ETF’s regional allocation is primarily in Europe, the Pacific, and emerging markets, providing exposure to diverse economic cycles.

Historically, VXUS has delivered an annualized return of 4.97% since inception, reinforcing its long-term growth potential. While international investing carries risks, including currency fluctuations and geopolitical instability, VXUS’s broad exposure helps manage these challenges.

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