ETF Portfolio That Can Save Your Investment Account
One of the fastest-growing investments is represented by the exchange-traded fund (ETF). ETFs are groups of individual investments, lumped together, and traded as one unit. Unlike mutual funds, which are not traded as stocks, ETFs act just like stocks – they’re even traded on the stock exchange. And, depending on the ETFs you choose, it is possible to enjoy reasonable returns and low costs.
Build an all-ETF portfolio
You can build an all-ETF portfolio that helps you save your investment account. CNN Money suggests these 13 ETFs for a simple portfolio that is also diversified:
- Vanguard Total Stock Market (VTI)
- Vanguard FTSE All-World ex-US (VEY)
- Vanguard REIT (VNQ)
- Vanguard Total Bond Market (BND)
- iShares Barclays TIPS Bond (TIP)
- iShares S&P SmallCap 600 (IJS)
- WisdomTree Intl. Small Cap Dividend (DLS)
- WisdomTree Emerging Markets Small Cap Dividend (DGS)
- iShares Russell Microcap
- SPDR Dow Jones Intl. Real Estate (RWX)
- iShares S&P North American Technology Software (IGV)
- iShares S&P Global Technology (IXN)
- Energy Select Sector SPDR (XLE)
Some of these have lost quite a bit this year (but that means you can get more bang for your buck). Additionally, you can tell by looking at the list that there is a great deal of diversification across asset classes, as well as including international as well as domestic investments. If you have a little more risk tolerance, you could weight your investment portfolio toward the riskier ETFs (small caps and real estate). If you are more concerned, the all market ETF, as well as bond ETFs are good choices for the risk averse. And, if you are feeling really daring, you could toss in a commodity ETF or a currency ETF. But these are volatile and highly risky.
Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions and any loss that may result from your decisions.
