These 3 ETFs Could Help You Retire a Millionaire

"As of 2022, the median retirement savings balance among Americans ages 65 to 74 was only $200,000, according to the most recent data from the Federal Reserve. If you want to retire with a lot more money than that, then it's important to choose the right investments. You could put together a portfolio of individual stocks to meet your retirement savings goals. But that could mean having to research many different companies and keep track of their performance over time."

"The Vanguard Total Stock Market ETF (VTI) tracks the total stock market, as the name implies. This means you get the stability of larger, established businesses as well as the potential upside of smaller-cap companies. You'll often hear about the importance of diversification in the context of investing. VTI makes that really easy, since, you're basically putting your money into the stock market as a whole."

"The Vanguard S&P 500 ETF (VOO) tracks the S&P 500 index, which consists of the roughly 500 largest publicly traded companies by market capitalization. As is the case with VTI, you get nice diversification with VOO. However, you should know that with VOO, you'll miss out on smaller company growth, since you're only putting money into S&P 500 companies. That said, if you don't want to deal with the volatility that comes with investing in small-cap companies, VOO may be a suitable investment for you."

As of 2022, the median retirement savings balance among Americans ages 65 to 74 was only $200,000 according to Federal Reserve data. Choosing the right investments is important to grow retirement wealth beyond that level. Building a portfolio of individual stocks requires researching many companies and tracking performance over time, while ETFs provide a simpler, diversified approach. The Vanguard Total Stock Market ETF (VTI) covers the entire market including small caps. The Vanguard S&P 500 ETF (VOO) targets roughly 500 large-cap companies and reduces small-cap volatility exposure. The Schwab US Large-Cap ETF (SCHX) tracks the largest 750 U.S. companies by market capitalization.

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