Vanguard S&P 500 Index Fund – ETF (NYSE: VOO), established in September 7, 2010, is one of the most popular S&P 500 funds. The Vanguard S&P ETF is the safest way to bet on continued stock market gains, while limiting downside risk. It is a popular and reputable fund based on a major market index. It invests in stocks in the S&P 500 index, which represents 500 of the largest U.S. companies. Its goal is to track the returns of the S&P 500 index. The fund has solid performance of 18.3% in 2020. Listed below are the reasons why Vanguard S&P 500 index fund is considered the best ETF to buy and hold.

finviz dynamic chart for VOO

  • This fund is the best S&P 500 ETF for long-term holders because it offers the lowest fees, expense ratio of just 0.03%.
  • This fund is a highly liquid fund with high daily trading volumes.
  • This fund offers a 1.64% annual dividend yield.
  • This fund offers a low risk tolerance, shorter time horizon, or preference for income investments.
  • This fund has outperformed other funds, such as SPY and IVV, on total return over the last five years.

Since the Vanguard S&P 500 Index Fund (ETF) has ultra-low fees and high trading volume, it becomes on of the most popular S&P 500 ETF. Every year, many investors have pour money into this fund to finance their retirements, using “dollar cost averaging” to accumulate positions over time. Therefore, Vanguard S&P 500 Index Fund is the best ETF to buy and hold for long term by investors.


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