All articles tagged with #expense ratio
While low fees are attractive, investors should consider other factors like fund structure, provider consistency, and liquidity when choosing ETFs, as these can impact long-term returns and risk exposure.
The Vanguard Utilities ETF (VPU) is highlighted as a top choice for investors seeking stability and long-term gains, especially during economic downturns. This ETF focuses on utility companies, which tend to have stable demand and regulated pricing, minimizing portfolio volatility. Despite its strong performance, with a nearly 40% increase this year and a long-term average return of 9.7%, it has a low expense ratio of 0.1%. However, its long-term returns may lag behind broader market indices like the S&P 500, making it more suitable for those prioritizing reduced volatility.