The BEST 10 Index Funds To Own For LIFE

Here is my list of the top 10 Index Funds to Buy & Hold Forever! This is an update on my other video from a couple of years ago for 2023.

Please note Number 7 FXAIX is typo'ed in the video as FXIAX. Apologies.

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Timestamps:
0:00 - Start Here
0:30 - 10. VFIAX
2:30 - 9. FTIHX
3:43 - My Thoughts on Fidelity's Zero Fee Funds
4:41 - 8. SNXFX
6:18 - 7. FXAIX
7:40 - 6. VGSLX
9:00 - 5. VQNPX
10:22 - 4. VVIAX
11:20 - 3. FXNAX
12:42 - 2. SCHD (ETF)
13:57 - 1. VTSAX

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10. VFIAX (ETF: VOO)
This is a vanguard index fund that tracks the S&P 500 which is the top 500 companies here in the United States. This lets you get access to all the largest companies on the stock market including companies like Apple, Amazon, Tesla, Google, McDonalds and so on.

9. FTIHX
This particular index fund would give you exposure to 5058 international stocks that looks to get you results that correspond to teh total return of all foreign and emerging markets. Some of its largest holdings include Nestle, Taiwan Semiconductor, Samsung and Shell.

8. SNXFX (ETF: SCHK)
This is Schwab’s 1000 Index Fund which tracks the total return of the top 1000 largest US Companies based on market capitalization. This gives you more exposure to more companies than just a S&P 500 fund, you’re getting exposure to some mid-cap companies as well

7. FXAIX
This is Fidelity’s version of VFIAX, so the top 500 companies in the US. This one in my opinion is slightly better than VFIAX only because the expense ratio is much lower at 0.015%.

6. VGSLX (ETF: VNQ)
This is Vanguard’s real estate index fund. It invests in a lot of REITs which are real estate entities that buy commercial properties like office buildings, hotels, and other real estate.

5. VQNPX
Vanguard Growth and Income Fund Investor Shares: Known as the growth and income fund, its a fund that seeks to outperform the S&P 500 index. It comes with a little more risk than your traditional S&P 500 index fund. It includes 1536 different companies, and this means it holds a bunch of smaller companies as well - which means that it's going to provide more risk

4. VVIAX (ETF: VTV)
VVIAX is a Vanguard Value Index Fund which invests in the stocks of large US companies in market sectors that tend to grow at a slower pace than the broad market. It typically invests in large, safer companies. In short, it's less about growth and more about stability.

3. FXNAX - Bond Fund
This bond index fund tracks the results corresponding to the Bloomberg US Aggregate Bond Index, which includes US bonds, corporate bonds, asset backed bonds and mortgage backed securities with maturities of at least one year. As you age, most people like to include more fixed income into their portfolio - so if that is something you are looking for you can consider adding this to your portfolio.

2. SCHD (ETF) - So GOOD
This ETF tracks the Dow Jones U.S. Dividend 100 Index, which is composed of stocks from the Dow Jones U.S. Total Stock Market Index that have high dividend yields, but it has such great criteria for picking high quality dividend stocks. Listen to their criteria from their prospectus:

The stock must have a $500 million market cap, with at least 10 years of consecutive dividend payments. They need to meet strict financial criteria based on fundamentals such as cash flow to total debt, return on equity, and the 5 year dividend growth rate.

No single stock can represent more than 4% of the index, and no sector can represent more than 25% of the total index, so it’s well balanced.

1. VTSAX (ETF: VTI)
This is one of my favorite index funds because it covers the ENTIRE stock market in the US.

It holds over 4026 stocks, so whether thats a large cap, mid cap, or small cap stock - you can get a piece of every stock in the US by just buying this one fund. If you want to bet on US Companies and stocks - this is the fund for you.

PS: I am not a Financial Advisor, any investment commentary are my opinions only. Some of the links in this description are affiliate links that I do receive a commission for & they help support the channel

[Hannahbenowitz]

Many people are considering bitcoin as the "ETF of the year." However, I'm curious about which etfs could potentially outperform in terms of growth over the next decade. I've allocated $200k for investment, looking for companies to make additions to boost performance

[Blitcliffe]

Given the current economic difficulties that the country is experiencing in 2023, how can we enhance our earnings during this period of adjustment? I cannot let my $680k savings vanish after putting in so much effort to accumulate them.

[akin]

Based on 5 year performance:

Total USA: VTSAX or VTI
S&P 500: FXAIX
Large & Mid cap: SNXFX or SCHK
Mid cap blend: VO
Small cap blend: IJR
Dividend growth: SCHD

[charliehunnam]

The media is currently barraged with a lot of economic data right now. It takes a lot to see beyond the whole ocean of news on focus on what is important, which is that no matter how low stocks go, they always bounce back. I really ignore all the news and keep investing. I recently allocated about $121k to put in the market as we anticipate a crash. Any recommendations?

[sonyablack]

This looks like the worst investing period. I just started investing last week when the market prices were a bit high, today I am more than 60% down! I feel very unlucky I should have waited. Hopefully, the markets will go back up right?

[anneharry]

"I can't believe how much our lives have changed since meeting Marcia Ann Bice .
She’s helped us become debt-free and save for retirement." | made over 220K during this dip, which made it clear there's more to the market than we average joes know. Having an investment adviser is currently the best course of action, especially for those who are close to retirement

[prabhakarit]

Hey Humphrey, appreciation from India. I am a new investor into US stocks. Thought its a good time. I have been following your videos past few weeks and they are quite helpful. These index funds, most of them seem very worthy for long term holdings. Thanks again ! :)

[keishaofthe]

Biggest lesson i learnt in 2022 in the stock market is that nobody knows what is going to happen next, so practice some humility and follow a strategy with a long term edge.

[BiesingerFIREJourney]

We love investing in index funds!!! Thanks for sharing, I loved your #2 and #3 picks too! 😊

[CliveBirse]

Buying a stock is easy, but buying the right stock without a time-tested strategy is incredibly hard. Hence what are the best stocks to buy now or put on a watchlist? I’ve been trying to grow my portfolio of $260K for sometime now, my major challenge is not knowing the best entry and exit strategies... I would greatly appreciate any suggestions.

[calebwert]

Berkshire Hathaway is the most underrated “index fund”. Buying it gives you the exposure to 65 wholly owned companies plus a lot of public companies that $BRK.B has a stake in. Also you get the best CEO in the world managing your savings. Also has 100 billion dollars in cash.

[aadeorukhkar]

@humphrey: Hours worth of research put together for your viewers in under 20 min! The value you provided with this video alone is mammoth! Thanks man!

[HealingHans]

Question! I have Fidelity and have been investing in FXIAX. I have a few other index funds I have invested in but I just wanted to know if its necessary to also open up a vanguard and a Schwab account to get the others? Is it necessary or is sticking to just Fidelity okay? Thank you! Still learning.. Happy New Year!

[jackreign]

Hi Humphreys . I am 28 years and i been investing in vti / schd for the most part ever since I started investing. I just set up auto investment from my bank to those two etfs on weekly basis. Is that good enough? Don’t really want to bother with single stocks

[MireSeVini]

A big one you missed in my opinion is XSD. Tracks the semiconductor index with a 25% rate of return over the past decade.

[Harperrr.]

I started stacking to SAVE wealth. I've always been the type of person to spend my entire paycheck. I hate having money just sit in the bank. I am under pressure to grow my reserve of $950k. before I turn 60, I would appreciate any advice on potential investments.

[ericdemilo]

I don’t know anything about investments but your videos are helping me to relax and start understanding little by little the concept and for that I want to say thank you. I am feeling more confident and this video truly helped me. Thank you again and keep your great work. You are the best. 😃😃😃

[coreypetitt]

@Humphrey - If I have my money in Fidelity, does it just make sense to buy Fidelity’s index funds instead of Vanguard’s? For example, if I want to buy VOO should I just buy FXAIX and pay less expense ratio? That is what I am having trouble with. Convenience is telling me Fidelity but I want to make sure I’m not missing out on something Vanguard provides in VOO that Fidelity doesn’t in FXAIX. Thanks!

[ClementRusso]

I've sold a property in Michigan and I’m considering investing the proceeds in stocks. With the current market optimism, I'm unsure if it's the right time to buy stocks and how long it will take for a full market recovery. I'm also puzzled by how some are making substantial gains of over $320k within months in the same market.

[mananbhatt]

What about SPY ?

Which of the following options - SPY, SCHD, VFV, or VTI - would be better to hold for 20-25 years? I am a 29-year-old Canadian citizen seeking advice on long-term investments.