Latest news with #VTI
Business Insider
4 days ago
- Business
- Business Insider
With Hims & Hers Health Stock (HIMS) Up 108%, Let's Look at Who Owns It
Hims & Hers Health (HIMS) stock has been one of 2025's standout gainers, climbing nearly 108% year-to-date, fueled by strong subscriber growth and growing demand for its digital health offerings. The company posted impressive Q1 results in May, with revenue jumping 111% year-over-year to $586 million. However, the stock has come under pressure recently, sliding about 16% over the past month after Novo Nordisk (NVO) ended its distribution deal with the company, citing concerns over compounded versions of its weight-loss drug Wegovy. With the stock in focus, now's a good time to take a closer look at who actually owns HIMS shares. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Now, according to TipRanks' ownership page, public companies and individual investors own 59.23% of HIMS. They are followed by ETFs, mutual funds, insiders, and other institutional investors at 20.46%, 14.55%, 5.51%, and 0.24%, respectively. Digging Deeper into Hims & Hers Health's Ownership Structure Looking closely at top shareholders, Vanguard owns the highest stake in HIMS at 8.16%. Next up is iShares, which holds a 7.04% stake in the company. Among the top ETF holders, the iShares Core S&P Mid-Cap ETF (IJH) owns a 2.97% stake in HIMS stock, followed by the Vanguard Total Stock Market ETF (VTI), with a 2.55% stake. Moving to mutual funds, Vanguard Index Funds holds about 6.99% of HIMS. Meanwhile, TIAA‑CREF Funds owns 1.34% of the company. Is HIMS Stock a Good Buy? Overall, Wall Street is sidelined on HIMS stock based on one Buy, seven Holds, and two Sell recommendations. The average HIMS stock price target of $41 indicates a downside risk of 18.75% from current levels.
Forbes
12-07-2025
- Business
- Forbes
VTI Vs. VOO: Comparing The Risk And Resilience Of These ETFs In A Volatile Market
VTI and VOO both offer excellent low-cost access to U.S. equity markets, but their different ... More approaches create distinct risk and return profiles. When it comes to broad market exposure through exchange-traded funds, two Vanguard offerings consistently dominate investor conversations: VTI and VOO. Both funds have garnered massive followings among retail and institutional investors alike, yet they represent fundamentally different approaches to capturing U.S. equity market returns. While both ETFs offer low-cost access to American stocks, their structural differences create distinct risk profiles that become particularly pronounced during periods of market volatility. Understanding how these two popular funds respond to market turbulence requires examining their underlying compositions, diversification strategies, and historical performance patterns. This analysis will examine the nuanced differences between VTI's total market approach and VOO's S&P 500 focus, enabling investors to determine which fund better aligns with their risk tolerance and investment objectives during uncertain market conditions. Understanding VTI And VOO Fundamentals Before diving into risk analysis and volatility comparisons, it's essential to understand the core characteristics that define each fund. While both VTI and VOO are Vanguard products that track U.S. equity markets, their methodologies and scopes differ significantly, creating unique investment profiles that appeal to different investor preferences and market outlooks. VTI seeks to track the performance of the CRSP US Total Market Index, representing nearly 100% of the investable U.S. stock market across all capitalization segments. Launched on May 31, 2001, this fund has grown to become one of the largest ETFs globally, with net assets exceeding $1.81 trillion. The fund employs a sampling strategy to closely match its benchmark index, which includes large-, mid-, small-, and micro-cap stocks across all sectors of the American economy. The fund's broad mandate means it holds thousands of individual securities, with its top 10 holdings representing just 26.5% of total assets. Apple leads at 5.58%, followed by Microsoft at 4.93%, demonstrating how even the most prominent companies maintain relatively modest weightings within the total market context. This diversification extends across sectors, with technology commanding the largest allocation at 23.78%, followed by healthcare at 14.10% and financial services at 13.54%. VOO tracks the S&P 500 Index, focusing exclusively on the 500 largest publicly traded U.S. companies by market capitalization. Launched on September 9, 2010, this fund has accumulated approximately $1.4 trillion in net assets, making it one of the most popular large-cap equity investments available. The fund's benchmark represents roughly 80% of the total U.S. stock market by value, concentrating on established, profitable companies that meet specific criteria for inclusion in the S&P 500. The fund's top 10 holdings carry more weight than VTI's, representing 30.78% of total assets. Apple dominates with a 6.57% allocation, followed by Microsoft at 5.80%. This higher concentration reflects the market-cap weighted nature of the S&P 500, where the most prominent companies naturally command greater influence over fund performance. Sector allocation mirrors VTI's general distribution but with slight variations, including technology at 24.46% and healthcare at 14.48%. The most significant difference between these funds lies in their market capitalization exposure breadth. VTI includes small- and mid-cap stocks that VOO excludes, providing exposure to approximately 4,000 securities compared to VOO's 500. This broader scope means VTI captures the entire spectrum of U.S. public companies, from micro-cap startups to mega-cap giants, while VOO focuses exclusively on large-cap established enterprises. Weighting methodologies also create subtle but important distinctions. While both funds use market-cap weighting, VTI's inclusion of smaller companies means large-cap stocks have slightly less influence on overall performance compared to VOO. This difference becomes particularly relevant during periods when small- and mid-cap stocks outperform or underperform their large-cap counterparts, creating performance divergence between the two funds despite their substantial overlap in holdings. Risk Analysis Comparison: How Each ETF Handles Volatility Examining how VTI and VOO respond to market volatility requires analyzing multiple risk dimensions, from historical price movements to sector concentration effects. While both funds track U.S. equity markets and share similar long-term return profiles, their different approaches to market exposure create distinct risk characteristics that become apparent during periods of market stress and uncertainty. Historical analysis reveals subtle but meaningful differences in how these funds handle market turbulence. VTI's broader market exposure typically results in slightly higher volatility compared to VOO, particularly during periods when small- and mid-cap stocks experience heightened price swings. Over the past decade, VTI has demonstrated a marginally higher standard deviation in monthly returns, reflecting the additional volatility contributed by its exposure to smaller companies. Risk-adjusted returns, as measured by metrics such as the Sharpe ratio, indicate that both funds perform similarly over extended periods. However, VTI occasionally edges ahead during market cycles that favor smaller companies. The fund's 10-year annualized return of 13.0% compares to VOO's 13.7%, reflecting periods where large-cap stocks outperformed; however, these differences often reverse during different market cycles. Beta measurements relative to the broader market indicate that VTI typically exhibits slightly higher market sensitivity due to its small-cap component. Both funds face similar sector concentration risks, with technology representing their largest allocation. However, subtle differences in sector weightings create varying exposure to sector-specific volatility. VOO's slightly higher technology weighting at 24.46% compared to VTI's 23.78% means greater sensitivity to technology sector movements, which can amplify both gains and losses during tech-focused market cycles. Diversification benefits emerge more clearly when examining VTI's broader sector representation. The fund's inclusion of smaller companies provides access to niche sectors and subsectors that may not be represented in the S&P 500, potentially offering some protection against concentrated sector downturns. This broader exposure can help cushion portfolio performance when specific, large-cap-dominated sectors experience significant declines; however, it also means exposure to potentially more volatile, smaller-company sectors. The most significant risk differential between these funds stems from their market capitalization exposure profiles. VTI's inclusion of small- and mid-cap stocks introduces additional volatility, as these companies tend to experience more pronounced price swings during market stress periods. Small-cap stocks often face greater liquidity constraints during market downturns, potentially amplifying losses compared to their large-cap counterparts. Conversely, VOO's focus on large-cap stocks provides inherent stability advantages during turbulent periods. Large companies typically possess stronger balance sheets, more diversified revenue streams, and better access to capital markets, helping them weather economic storms more effectively. This stability comes at the cost of potentially missing upside opportunities when smaller companies outperform, but it provides more predictable performance during uncertain market conditions. Diversification Benefits And Drawbacks The diversification strategies employed by VTI and VOO represent different philosophies toward risk management and return optimization. While both funds offer broad U.S. market exposure, their approaches to diversification create distinct advantages and limitations that investors must consider when building portfolios designed to weather various market conditions. VTI's comprehensive market coverage provides several diversification benefits that can enhance portfolio resilience during specific market conditions. The fund's exposure to mid- and small-cap stocks offers access to companies in earlier growth stages, potentially capturing value creation that occurs before companies reach S&P 500 inclusion criteria. This broader exposure means investors participate in the full spectrum of American business success stories, from emerging growth companies to established market leaders. The fund's reduced single-stock risk represents another significant advantage. With thousands of holdings compared to VOO's 500, VTI provides greater protection against individual company failures or sector-specific downturns. This diversification becomes particularly valuable during periods of market rotation, when different segments of the market experience varying performance patterns. The fund's structure also means that no single company or small group of companies can disproportionately impact overall performance, providing more balanced exposure to market movements. VOO's concentration on S&P 500 companies offers distinct advantages through its bias toward quality, established enterprises. These companies have demonstrated sustained profitability, met specific financial criteria, and possess the scale necessary to compete effectively in their respective markets. This quality focus can provide more predictable performance patterns and reduced volatility compared to broader market exposure that includes smaller, potentially less stable companies. The fund's lower exposure to small-cap volatility represents a significant benefit for risk-averse investors. Small companies often experience more dramatic price swings due to limited liquidity, higher business risk, and greater sensitivity to economic cycles. By excluding these companies, VOO provides smoother performance patterns that may be more suitable for investors seeking steady, predictable returns without the additional volatility associated with smaller company exposure. The choice between VTI's broad diversification and VOO's focused approach involves important trade-offs that depend on market conditions and investor objectives. VTI's broader exposure can provide superior returns during periods when small- and mid-cap stocks outperform large-cap stocks, but this same exposure can amplify losses when smaller companies underperform. Historical analysis shows these performance cycles can persist for extended periods, making timing considerations important for investors choosing between these approaches. VOO's focused strategy offers more predictable performance but potentially sacrifices upside opportunities available in the broader market. During periods of economic expansion when smaller companies benefit from growth opportunities, VOO investors may miss significant returns available through broader market exposure. However, during economic contractions or periods of market stress, VOO's large-cap focus often provides better downside protection, making it potentially more suitable for conservative investors or those approaching retirement. Income Generation And Dividend Analysis Dividend income represents an essential component of total returns for both VTI and VOO, though their different market exposures create subtle variations in yield characteristics and dividend sustainability. Understanding these differences helps investors evaluate which fund better aligns with their income generation objectives and risk tolerance regarding dividend payments. Both funds currently offer similar dividend yields of approximately 1.2%, reflecting the overall yield characteristics of the U.S. stock market. However, the composition of these yields differs due to their distinct market exposures. VOO's focus on large-cap stocks typically provides more consistent dividend payments, as larger companies often maintain more established dividend policies and possess greater financial resources to sustain payments during challenging periods. VTI's broader market exposure encompasses companies across the dividend spectrum, ranging from high-yielding, mature companies to growth-oriented firms that pay minimal or no dividends. This diversity can create more variable dividend income over time, as the fund's yield may fluctuate based on the relative performance and dividend policies of different market segments. Historical analysis reveals that both funds maintain relatively stable yields over extended periods, although VTI occasionally experiences slightly more yield volatility due to its broader company exposure. The dividend growth characteristics of both funds reflect the policies of their underlying holdings. Large-cap companies in VOO often demonstrate more predictable dividend growth patterns, with many maintaining consistent annual increases over extended periods. VTI's dividend growth may be less predictable due to its inclusion of smaller companies that may initiate, suspend, or dramatically alter dividend payments based on business conditions and growth opportunities. Dividend sustainability analysis reveals important differences between these funds' income generation capabilities. VOO's concentration on S&P 500 companies provides exposure to dividends from financially stable, profitable enterprises with established track records of maintaining payments through various economic cycles. These companies typically possess diversified revenue streams, strong balance sheets, and access to capital markets that support dividend continuity even during challenging periods. VTI's broader exposure includes companies with varying dividend sustainability profiles. While the fund benefits from the same large-cap dividend payers as VOO, it also includes smaller companies that may have less predictable dividend policies. Some smaller companies may offer higher yields but face greater risk of dividend cuts during economic downturns, while others may pay no dividends at all, focusing instead on growth investments. Sector exposure impacts dividend reliability differently for each fund. VOO's slightly higher weighting in technology stocks, which traditionally pay lower dividends, may result in lower overall yield but potentially higher dividend growth as these companies mature. VTI's broader sector exposure includes more traditional dividend-paying sectors but also encompasses growth-oriented sectors where dividend payments may be less prioritized, creating a more complex dividend sustainability profile. Expense Ratios And Tax Efficiency Cost considerations play a crucial role in long-term investment performance, with both funds offering exceptionally low expense ratios that minimize the impact of fees on returns. VTI charges an expense ratio of 0.03%, and VOO maintains an identical 0.03% fee structure. These ultra-low costs reflect Vanguard's commitment to providing cost-effective index investing solutions and represent significant advantages over actively managed alternatives. Tax efficiency represents another important consideration for taxable account investors. Both funds demonstrate excellent tax efficiency through their index-based strategies and Vanguard's management approach. VTI's broader diversification and lower turnover rate of 4% compared to typical actively managed funds helps minimize taxable distributions. The fund's structure allows for efficient tax management through in-kind redemptions and careful portfolio management practices. VOO similarly demonstrates strong tax efficiency characteristics, with its focus on S&P 500 companies providing stable, predictable holdings that require minimal trading activity. Both funds typically generate most of their taxable distributions through qualified dividends rather than capital gains, providing favorable tax treatment for most investors. The funds' similar tax efficiency profiles mean that cost considerations alone are unlikely to drive investment decisions between these two options. Different Market Scenario Comparisons Understanding how VTI and VOO perform across various market conditions provides crucial insights for investors seeking to optimize their portfolio allocation based on economic expectations and market outlook. Historical analysis reveals distinct performance patterns that can help guide investment decisions during different market environments. During bull market periods, the performance differential between VTI and VOO often depends on which market segments lead the advance. When small- and mid-cap stocks outperform large-cap stocks, VTI typically demonstrates superior returns due to its broader market exposure. This outperformance can be particularly pronounced during the early stages of economic recoveries when smaller companies benefit from improving business conditions and increased risk appetite among investors. Technology sector performance significantly influences both funds during bull markets, though VOO's slightly higher technology weighting can amplify gains when tech stocks lead market advances. Historical analysis shows that during sustained bull markets, both funds tend to perform similarly over extended periods, with short-term performance differences often evening out as market cycles progress. VTI's broader exposure may provide additional upside during periods of broad-based market strength when smaller companies participate fully in market gains. Growth expectations during bull markets often favor VTI's approach, as smaller companies typically offer higher growth potential compared to their large-cap counterparts. This growth premium can translate into superior returns during optimistic market periods when investors are willing to pay higher valuations for growth prospects. However, VOO's focus on established companies can provide more sustainable gains during later stages of bull markets when quality and profitability become more important than pure growth potential. Bear market performance reveals more significant differences between these funds' risk characteristics. VOO's focus on large-cap stocks typically provides better defensive characteristics during market downturns, as larger companies often possess stronger balance sheets and more diversified revenue streams that help them weather economic storms. These companies also tend to have better access to capital markets and more established relationships with lenders, providing additional financial flexibility during challenging periods. VTI's broader market exposure can amplify losses during bear markets, particularly when small- and mid-cap stocks experience disproportionate declines. Smaller companies often face greater liquidity constraints, higher borrowing costs and more concentrated business risks that can lead to more severe price declines during economic contractions. This vulnerability can result in VTI experiencing deeper drawdowns compared to VOO during significant market stress periods. Recovery patterns following bear markets often favor VTI's broader exposure, as smaller companies may rebound more dramatically once economic conditions improve. However, this recovery potential comes with the trade-off of potentially experiencing more severe initial declines. VOO's more stable large-cap focus may provide better downside protection but potentially slower recovery rates compared to the broader market exposure offered by VTI. Investment Strategy Considerations Choosing between VTI and VOO requires careful consideration of individual investment objectives, risk tolerance and portfolio context. Risk tolerance alignment is a crucial factor, with VTI's broader market exposure potentially suiting investors who are comfortable with additional volatility in exchange for more comprehensive market participation. Conservative investors or those approaching retirement may find VOO's large-cap focus more appropriate for their stability requirements. Time horizon considerations also influence fund selection decisions. Longer investment horizons may favor VTI's broader diversification, as extended periods allow investors to benefit from the full spectrum of market opportunities while weathering short-term volatility. Shorter time horizons might benefit from VOO's more stable large-cap focus, which can provide more predictable performance patterns over limited periods. Portfolio context plays an important role in fund selection, particularly for investors holding other investments alongside their core equity allocation. Investors with existing small-cap exposure through other funds might prefer VOO to avoid overweighting smaller companies, while those seeking comprehensive market exposure through a single fund might favor VTI's total market approach. The choice often depends on overall portfolio construction strategy and the role each fund plays within the broader investment framework. Expert Analyst Opinions Financial analysts and investment professionals generally view both VTI and VOO favorably, recognizing their roles as core portfolio holdings for different investor types. Many experts appreciate VTI's comprehensive market coverage, noting its ability to provide complete U.S. equity exposure through a single, low-cost investment vehicle. This total market approach receives praise for its simplicity and effectiveness in capturing broad market returns without requiring investors to make complex allocation decisions between different market segments. VOO receives similar expert endorsement for its focus on quality large-cap companies and its role as a stable core holding. Analysts often recommend VOO for investors seeking predictable large-cap exposure without the additional volatility associated with smaller companies. The fund's track record and its benchmark's long history of representing the core of the U.S. stock market contribute to its widespread professional acceptance and recommendation. Bottom Line VTI and VOO both offer excellent low-cost access to U.S. equity markets, but their different approaches create distinct risk and return profiles. VTI provides broader diversification through total market exposure, potentially offering superior long-term returns at the cost of increased volatility from small- and mid-cap holdings. VOO focuses on large-cap stability and quality, providing more predictable performance with potentially lower upside during periods favoring smaller companies. The choice between these funds ultimately depends on individual risk tolerance, investment timeline, and preference for comprehensive market exposure versus focused large-cap stability. Both represent solid core holdings that can serve as foundation investments for well-diversified portfolios.
Yahoo
08-07-2025
- Business
- Yahoo
Investor Used To Believe They Could Beat The Market By Picking Stocks. Now They Ask 'Is Holding Individual Stocks Worth The Stress Anymore?'
An investor on Reddit's r/stocks recently asked a question that hit home for many people: 'Is holding individual stocks worth the stress anymore?' 'I used to think I could beat the market by picking my own stocks,' the person wrote. 'But between earnings roulette, random macro shocks, and hype cycles, I'm starting to feel like just holding VTI/VT is the move.' VTI refers to the Vanguard Total Stock Market Index Fund ETF (NYSE:VTI), and VT (NYSE:VT) refers to the Vanguard Total World Stock Index Fund ETF. These are total market index funds that aim to mirror the performance of the entire U.S. or global stock markets, offering broad diversification with minimal effort. Don't Miss: Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." $100k+ in investable assets? – no cost, no obligation. Many Redditors agreed, saying they had already switched to passive index funds because picking individual stocks was just too stressful and time-consuming. One user replied, 'If it is stressful, don't. VTI is pretty stable by comparison.' Another added, 'I feel like I have a second job babysitting my portfolio. I wish there were another way. Maybe this is it.' The r/Bogleheads approach was heavily referenced throughout the thread. Named after Vanguard founder John Bogle, this investing philosophy emphasizes long-term, low-cost, passive investing—typically through broad-market index funds—and encourages avoiding market timing or frequent trading. 'Just become a Boglehead and call it good. No guesswork, just long-term gains,' one comment said. Several investors pointed out that most professional stock pickers don't outperform the market consistently, so regular investors have an even steeper hill to climb. Trending: The secret weapon in billionaire investor portfolios that you almost certainly don't own yet. Even with all the warnings, some people still think picking individual stocks is worth it if you're willing to put in the time and have the right mindset. 'I pick individual stocks for fun,' one person said. 'As long as you're not buying risky/sh*tty stocks, you'll make money.' Some shared massive gains from choosing the right names at the right time. One investor said their investments in Palantir Technologies (NYSE:PLTR) and Nvidia (NASDAQ:NVDA) had more than quadrupled in value over the past three years. Another claimed they're 'up 700%' on AST SpaceMobile (NASDAQ:ASTS) and have more than tripled their net worth in the last two years. But not everyone trusts that these results are repeatable. 'The best analysts can't do it consistently on a long timeframe,' one person wrote. 'But you're probably better than them because you made one good pick?'Many investors in the thread advocated for a middle-ground approach. One described their approach as 90% passive investing, 5% allocated to unconventional assets such as gold, GameStop (NYSE:GME), and bitcoin, and the remaining 5% in actively managed stocks. 'I find having a small basket of stocks allows me to learn quite a bit about the companies.' Another added, 'The passive allocation does the heavy lifting, and the other 10% scratches the itch to be active.' There's also a psychological angle. One investor admitted, 'If you're stressed holding stocks at all-time highs, I wouldn't be in the market.' Some described stock picking as a rewarding hobby. 'I like knowing and believing in the names I hold. Even in periods of underperformance, I don't sweat it.' Whether to invest passively or actively depends on each investor's goals, temperament and willingness to put in the time. There's no one-size-fits-all approach, but knowing your limits may be just as important as knowing the market. Read Next: Over the last five years, the price of gold has increased by approximately 83% — Investors like Bill O'Reilly and Rudy Giuliani are using this platform to Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Investor Used To Believe They Could Beat The Market By Picking Stocks. Now They Ask 'Is Holding Individual Stocks Worth The Stress Anymore?' originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Business Wire
30-06-2025
- Business
- Business Wire
JLL Partners Announces Investment in Vascular Technology, Incorporated
NEW YORK--(BUSINESS WIRE)--JLL Partners ('JLL' or the 'Firm'), a New York-based middle market private equity firm focused on investing in the healthcare, aerospace and defense, and business services sectors, today announced its investment in Vascular Technology, Incorporated ('VTI' or the 'Company'), a medical device company specializing in innovative surgical devices and single-use consumables for the operating room. Through this transaction, JLL partnered with entrepreneur Nilendu Srivastava and the rest of the VTI management team to execute on a shared vision of accelerating the Company's growth and expanding its portfolio of innovative products. To that end, JLL is pleased to announce the appointment of Greg Groenke as Chief Executive Officer and Lars Marcher as Executive Chairman. Greg brings more than 25 years of leadership across medical devices and diagnostics with a demonstrated track record in scaling businesses and delivering technological breakthroughs. Lars Marcher, who formerly served as CEO of Ambu A/S, brings extensive experience building global medical technology companies that provide real innovation to the healthcare marketplace. Upon joining VTI, Greg Groenke said, 'I am thrilled to join VTI at this exciting juncture. VTI has an exceptional history of innovation, and I look forward to working alongside our talented team to further advance our technologies, broaden our market reach, and continue delivering critical surgical tools that improve patient outcomes.' Lars Marcher said, 'Today's medtech landscape requires companies and teams to innovate boldly. VTI has already built a strong foundation, and I'm committed to strengthening its global trajectory by energizing our people, enhancing our offerings, and delivering real impact to our customers and the communities they serve.' Founded in 1985, VTI is a leader in single-use intraoperative Doppler products and remote suction and irrigation solutions. Intraoperative Dopplers are used in surgical procedures to provide non-invasive, real-time assessment of blood flow through blood vessels. The technology has broad applications in neurosurgery, vascular surgery, reconstructive surgery, microsurgery and urology. The Company's remotely operated suction irrigation system allows surgeons to control fluid removal and delivery autonomously during robotic surgery. VTI is headquartered in Nashua, NH, and has approximately 60 employees. Dan Di Piazza, Managing Director at JLL Partners said, 'VTI's innovative technology improves surgical outcomes while driving better efficiency in the operating room. Under Greg's leadership and Lars's strategic oversight, we are confident VTI will achieve new levels of innovation and market expansion.' MedWorld Advisors served as financial advisor to VTI and Moelis & Company LLC served as financial advisor to JLL. ABOUT VASCULAR TECHNOLOGY, INCORPORATED Vascular Technology Incorporated is a medical device company specializing in the development, manufacture, and sale of surgical devices, including Intraoperative Doppler Systems and Surgical Suction Irrigation Systems. The Company provides products that are utilized across multiple surgical specialties, including vascular, reconstructive, urology, GI endoscopy, neuro, and robotic surgery. VTI continuously strives to enhance its existing products, as well as develop new products to meet the evolving needs of surgeons. VTI is ISO 13485 Certified and FDA Registered. For more information, please visit ABOUT JLL PARTNERS JLL Partners, LLC is a middle market private equity firm with over three decades of experience transforming businesses in the healthcare, aerospace & defense, and business services sectors. JLL is dedicated to partnering with companies that it believes it can help build into market leaders through a combination of strategic mergers and acquisitions, organic growth initiatives, and operational enhancements. The JLL team is comprised of seasoned investment professionals and operating partners who are focused on driving long-term value creation across its portfolio. Since its founding in 1988, JLL has invested and committed approximately $8 billion of equity capital across nine private equity funds, with 60 platform investments and 183 add-on acquisitions. For more information, please visit
Forbes
14-06-2025
- Business
- Forbes
The 6 Best Vanguard Index Funds For A Buy-And-Hold Portfolio In 2025
A buy-and-hold portfolio built with Vanguard funds can be cost-efficient, diversified and ... More profitable. Trying to predict where the market's headed amid geopolitical unrest and ever-changing tariff policies can be exhausting. Fortunately, you don't have to predict the future to make money investing. A diversified buy-and-hold portfolio plus a good dose of patience can help you reach your wealth goals without timing the market. Vanguard funds are good candidates for buy-and-hold portfolios because they cover popular market segments, and many have low expense ratios. Whether you want a simple two-fund portfolio or something more complex, one or more of the six funds on this list can provide the diversified exposure you need. The table below introduces six Vanguard funds for the buy-and-hold investor. The first two funds, VTI and VOO, provide overlapping exposure to domestic stocks. Most investors will choose one of them as a core, anchor position. The other four funds provide complementary exposure for a well-diversified portfolio. Some of these funds are also available as Vanguard mutual funds, which you may have access to in your 401(k). The Vanguard Total Stock Market ETF represents the entire U.S. stock market, from small to large companies. The fund uses a sampling approach to replicate market returns. This helps keep costs lower versus owning every stock available. Even so, VTI holds more than 3,500 stocks and provides exposure to all economic sectors. VTI is an efficient pick for whole market exposure with its low expense ratio and low tracking error. Tracking error is the performance difference between the fund and its underlying index. VTI's tracking error on a NAV basis has historically been one or two basis points. As a core stock holding, you could weight VTI as high as 90%—assuming you can handle risk and you're not investing in other stock funds. More conservative investors would allocate 40% to 80% to VTI, depending on what else is in the portfolio. VTI's average annual return over the past 10 years is 12.14%. The fund does pay quarterly dividends with a 30-day SEC yield of 1.24%. The Vanguard S&P 500 ETF invests in the S&P 500, which includes the largest and most successful U.S. public companies. This fund is a popular choice for novice and experienced investors. According to ETF Database, VOO is the largest U.S. ETF as measured by assets under management. Compared to VTI, VOO is more heavily concentrated on big tech stocks. You'd choose VOO as your core holding if you believe those mega-cap companies will continue their historic growth trajectories. In June 2024, a Morgan Stanley report noted that the Magnificent Seven stocks drove more than half of the S&P 500's 26.3% gain in 2023. Those stocks—Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla—have been less dominant in 2025, but it's hard to count them out. VOO allocation guidelines are the same as VTI's. Your exposure can range from 40% to 90%, depending on the rest of your portfolio and your risk tolerance. VOO has returned 12.81% annually on average over the past decade. The fund pays quarterly dividends, with a 30-day SEC yield of 1.24%. Vanguard Small-Cap Value ETF invests in more than 800 domestic small-cap companies. Industrials and financials are the top sectors in the portfolio, followed by consumer discretionary and real estate. Small caps suit a buy-and-hold portfolio because they have good growth potential and some volatility. Longer holding periods smooth out the rough edges and average to positive returns. Small-cap returns have outperformed large caps in multi-year cycles, but not since 2011. Analysts from investment firm Wellington Management and Chartered Financial Analyst Daniel Fang believe small caps will take the lead again soon. An 8% to 10% small-cap allocation is an appropriate starting point for buy-and-hold investors. Remember to consider the small-cap exposure you already have in a total market fund like VTI. VBR has delivered an average annual return of 7.84% since May 2015. The fund pays quarterly dividends with a 30-day SEC yield of 2.1%. The Vanguard Total International Stock ETF invests in more than 8,000 foreign large-cap companies. The fund tracks the FTSE Global Call Cap ex US Index, which includes stocks from emerging and developed markets. Investing outside the U.S. can provide access to lower valuations and potentially higher growth potential. There can be more volatility, too, which underscores the importance of diversification and long holding periods. Buying and holding a broad international fund like VXUS checks both boxes. Charles Schwab recommends an international stock allocation of 5% to 40%, but many investors will opt for 10% to 20%. The David Swensen Portfolio uses a 15% allocation. Swensen formerly managed Yale University's endowment fund, famously growing it from $1 billion to $31 billion. VXUS has produced an average annual return of 5.6% since May of 2015. The Vanguard Real Estate Fund offers growth and income potential through its real estate investment trusts (REIT) holdings. The fund tracks the MSCI US Investable Market Real Estate 25/50 index. The index includes about 150 small, mid and large-cap REITs, and the top holding comprises less than 7% of the portfolio. REITs often pay high dividend yields because they distribute 90% of their income to shareholders. A related perk is that REITs do not pay corporate taxes on the distributed income. So REIT investors sidestep the double taxation that occurs with non-REIT companies—when profits are taxed at the corporate level and again with shareholder dividends. A REIT fund also provides access to the real estate market, which typically doesn't move in lockstep with stocks. This provides a nice diversification benefit, alongside good returns. The FTSE Nareit All REIT index produced a pretax average annual return of 11.1% between 1972 and 2024, according to data provided by the National Association of Real Estate Investment Trusts (Nareit). A Morningstar analysis concludes that a portfolio with 51% stocks, 34% bonds and 15% REITs outperformed a 60-40 split between stocks and bonds more than half the time between 1976 and 2022. A typical REIT allocation would be 5% to 15%. VNQ pays quarterly distributions. The total distributions over the past 12 months were $3.63, which equates to a yield of about 4%. The Vanguard Total Bond Market ETF invests in investment-grade, intermediate-term U.S. bonds. Tax-exempt bonds and TIPS are excluded. Treasury bonds comprise nearly half of the portfolio, with government mortgage-backed securities and corporate bonds making up another 44%. Bonds provide income and relative price stability, two traits that complement stocks. Your allocation to this fund should depend on your risk tolerance. If you don't like risk, opt for higher bond exposure—say, 50% of your portfolio. If you are comfortable with the volatile nature of stocks, your bond exposure could be as low as 10%. BND pays monthly distributions with a 30-day SEC yield of 4.47%. Bottom Line A buy-and-hold portfolio built with Vanguard funds can be cost-efficient, diversified and profitable. Start by setting target allocations for different asset types—from large caps to REITs and bonds—based on your risk tolerance. Then plug matching funds into your allocation formula and wait for your returns to build over time.
