Ranking The Best S&P 500 Index Funds (To Own For LIFE)
This video provides a detailed breakdown of the Best S&P 500 Index Funds To Own For Life. The video covers both S&P 500 ETFs such as SPY, SPLG, IVV, and VOO. After that, I then cover the Best S&P 500 Mutual Funds such as VFIAX, FXAIX, FNILX, and SWPPX. Stay tuned to see how these S&P 500 Index Funds differ and which may be best for you. - Enjoy! 🔎 Free Index Fund Cheatsheet: https://dannysully.link/IndexFunds Top Bonus Offers: 💎 Webull Invest: Get FREE Stocks with Any Deposit! 👉 https://dannysully.link/Webull 💸 SoFi Checking & Savings: Get up to a $325 Bonus! 👉 https://dannysully.link/SoFi 🛒 Rakuten Cash-Back Shopping: Get a $30 Bonus! 👉 https://dannysully.link/Rakuten Top Financial Products: 🏦 High Yield Savings Accounts: https://dannysully.link/Savings 📈 Investing Platforms: https://dannysully.link/Investing 🔒 Certificate Of Deposits (CDs): https://dannysully.link/CDs Resources: 📚 Free Learning Guides: https://dannysully.link/FreeGuides 🗞️ Newsletter: https://dannysully.link/Newsletter 🔑 Patreon (My Portfolio & Exclusive Content) - / dannysully 🎥 Relevant YouTube Videos 🎥 • Which Is The Best Growth ETF? (SCHG v... • Fidelity ZERO Index Funds Review | Ar... • Roth IRA Investing For Beginners | Th... • How To Build Wealth Investing In ETFs... • The 7 BEST Vanguard Index Funds For L... • Vanguard ETFs For Beginners | The Ult... • The Ultimate Strategy To Using A Roth... • Stock Market Investing ⏰ Timestamps ⏰ 00:00 Intro 01:09 Best ETFs 08:20 Best Mutual Funds What is the S&P 500? The S&P 500 is referred to as the benchmark index for the US stock market where it tracks the performance of 500 of the largest publicly traded companies in the U.S. The S&P 500 has historically delivered strong returns averaging around 11.93% per year since 1980 (excluding inflation), making it a core investment for tracking the growth of the U.S. economy. What’s the difference between SPY and SPLG for S&P 500? Both SPY and SPLG track the S&P 500, but SPY is better suited for active traders needing high liquidity. Because of this, SPY has a higher expense with a 0.0945% expense ratio. Meanwhile, SPLG is better suited for long-term investors as it has a lower 0.02% expense ratio. Over time, SPLG's lower fees can result in better returns for buy-and-hold strategies. Besides SPY, all other S&P 500 index funds are extremely similar and either one you choose, i'd recommend sticking with. How do expense ratios affect long-term returns on S&P 500 ETFs? Lower expense ratios directly impact long-term returns. For example, with a $500 monthly investment over 30 years, assuming a 10% average return, an ETF with a 0.02% expense ratio would result in a $1 million portfolio, while SPY with its 0.0945% expense ratio would leave you with around $985k due to the higher fees. The difference between the two for this example is $15k. Should I choose an S&P 500 ETF or a mutual fund for my taxable account? For taxable accounts, S&P 500 ETFs like VOO, IVV, or SPLG are preferred due to their tax efficiency and lower costs. Mutual funds, like VFIAX, suit well for tax-advantaged accounts like Roth IRAs, where tax efficiency is less of a concern. All in all, it comes down to the best option you prefer as you can trade ETFs through retirement accounts as well. Index Mutual Funds like FXAIX in my Fidelity Roth IRA has always seemed a solid option to just buy and hold. Less temptation to sell positions. Why are Vanguard's ETF so popular? Although they have many solid options like VTI (Total Stock Market), VOO (S&P 500), VO (Mid Cap), VB (Small Cap), VUG (Large Cap Growth), and VXUS (Total International). Vanguard is a strong brokerage that has been around for awhile now and has become a strong name for index funds as the founder jack bogle is known for starting the first S&P 500 index fund in 1976, revolutionizing the industry. 🔔 Don't forget to subscribe with notifications on and hit that like button! Disclaimer: Certain links on this website lead to products or services that may earn Danny Sully an affiliate commission or referral bonus. As a member of an affiliate sales network, Danny Sully is compensated for directing traffic to partner websites, which may affect the placement or visibility of some products on this site. The information provided in this video is accurate as of its posting date, though some of the offers mentioned may no longer be active. This content is for entertainment only and does not constitute legal, tax, or financial advice. It is for general informational purposes. The presenter is not a licensed professional. Viewers should consult their attorney, accountant, or financial advisor for advice on specific legal, tax, or financial issues.
