Five Low-Cost ETFs Offer Long-Term Diversification for $500 Investors
Updated
Updated · Fox Business · Jun 17
Five Low-Cost ETFs Offer Long-Term Diversification for $500 Investors
3 articles · Updated · Fox Business · Jun 17
Summary
$500 is enough to start building a long-term portfolio, the report says, arguing investors can buy single ETF shares through no-minimum brokerage accounts rather than wait to accumulate thousands.
Five funds were highlighted as core holdings: Vanguard Total Stock Market ETF, Schwab U.S. Dividend Equity ETF, Invesco Nasdaq-100 ETF, Vanguard Mid-Cap ETF and Vanguard Small-Cap ETF.
Vanguard's total-market fund was pitched as the broadest U.S. core exposure, covering roughly 3,500 stocks, while Schwab's dividend ETF was favored for quality screens and a 3.3% yield—about triple the S&P 500.
The Nasdaq-100 fund was included for tech and AI exposure, and the mid- and small-cap Vanguard ETFs for broader participation beyond mega-cap winners, with mid-caps already beating the Vanguard S&P 500 ETF by more than 1% this year.
The picks were framed against a strong market backdrop, with the Dow hitting 52,000 for the first time, but the broader message was that low-cost diversification matters more than trying to time headline-driven rallies.