Vanguard Total Bond Market

BND

Market cap $152B

The best ETFs are diversified, ultra-cheap, and built for long-term wealth creation. Even if you have little money to start, you can kickstart your portfolio with any of these high-quality core ETFs.

It's easier than ever to construct a well-diversified, ultra-low-cost portfolio with just a few good ETFs. A simple mix of the total U.S. stock market, dividend stocks, and investment-grade bonds give you pretty much everything you need.

History shows that midterm election years aren't always great years for the S&P 500.

Bonds remain an important part of long-term portfolio asset allocations. After years of poor performance, stable interest rates and improved credit quality have made them more attractive today.

The exit velocity from 2025 is continuing into 2026. Exchange-traded funds (ETFs) have already gathered over $250 billion in inflows in the first six weeks of the new year, proving that demand for the investment vehicle remains robust despite a volatile start.

After three straight years of double-digit gains, the S&P 500 is looking vulnerable to a prolonged market correction. You don't need to move to cash for protection.

Vanguard research says high-quality U.S. bonds could be a better investment than U.S. stocks for the next five to 10 years. The Vanguard Total Bond Market ETF has outperformed the Nasdaq-100 index year to date.

After a three-year bull market in U.S. stocks, it's worthwhile to consider different ways to protect some of those gains. Investing in bonds and low-volatility stocks are two common ways to reduce broader portfolio risk.

The Vanguard Total Bond Market ETF is substantially cheaper and far larger in AUM than the Fidelity Investment Grade Bond ETF. Both funds hold bonds ranging from the corporate sector to the federal government.

The Vanguard Total Bond Market ETF carries a lower expense ratio and a slightly dividend yield than the iShares 3-7 Year Treasury Bond ETF. BND holds a much broader range of bonds, while IEI focuses solely on U.S. treasuries.