In an increasingly volatile market, Exchange-Traded Funds (ETFs) continue to be one of the most effective tools for building a diversified portfolio. Whether you’re a seasoned investor or just getting started, ETFs offer a convenient and low-cost way to gain exposure to a broad range of sectors, regions, or investment strategies.
Here are five ETFs every investor should consider in 2025:
1. Vanguard Total Stock Market ETF (VTI)
Why Consider It:
VTI gives investors exposure to the entire U.S. equity market, including large-, mid-, small-, and micro-cap stocks. It’s an excellent core holding for long-term growth. With a low expense ratio of 0.03%, it’s ideal for cost-conscious investors.
Key Features:
Broad U.S. stock market exposure
High liquidity and low cost
Suitable for both beginners and long-term investors
2. iShares MSCI ACWI ex U.S. ETF (ACWX)
Why Consider It:
Diversification beyond U.S. borders is crucial. ACWX gives you exposure to global markets excluding the United States, including developed and emerging economies. It helps balance your portfolio against U.S. market downturns.
Key Features:
International diversification
Exposure to both developed and emerging markets
Useful for global allocation strategies
3. Invesco QQQ Trust (QQQ)
Why Consider It:
QQQ tracks the Nasdaq-100 Index, making it heavily weighted in tech giants like Apple, Microsoft, and NVIDIA. For growth-oriented investors seeking exposure to innovation and high-performing companies, QQQ is a must-watch ETF.
Key Features:
Exposure to top technology and growth stocks
Strong historical performance
Great for investors with a higher risk appetite
