I constantly see people giving advice to invest in ETFs (exchange traded funds) and not individual stocks. While I think the sentiment of this advice is good, there are a lot of ETFs out there. Some are great ones; some are terrible ones. Telling someone to “just invest in ETFs” alone is not good advice. That said, here are some ETFs that I do like.
- SFY – SoFi Select 500 ETF
SFY is a S&P 500 ETF from SoFi. The reason I really like this ETF compared to other S&P 500 ETFs (although I do also like VOO) is because it has an expense ratio of 0. The expense ratio is the management fee that a fund’s creator takes. SFY’s is 0.
2. SCHD Schwab U.S. Dividend ETF
I believe that SCHD is likely the best dividend ETF out there. Since its creation in 2011, it has outperformed the S&P 500. Now, past performance does not necessarily equal future performance, but the fund has performed pretty amazingly.
3. VUG – Vanguard Growth ETF
This fund by Vanguard invests into growth stocks. Most of these stocks are very large cap U.S. companies. I’m a pretty optimistic investor which is a big reason that I really like this fund.
4. VFH Financials ETF
This ETF invests in the financial sector. I like this ETF because I want exposure to this sector without having to pick individual companies in it.
These are some of the ETFs I am a fan of.
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