Key Points
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The Vanguard Total Stock Market ETF will have you quickly and easily invested in just about every American stock — nearly 3,500 of them.
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Invested in it, you’ll profit along with the overall U.S. economy.
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Just remember that past performance doesn’t guarantee future results.
If you’re thinking of investing in the Vanguard Total Stock Market ETF(NYSEMKT: VTI), keep thinking — and researching it — because it’s a solid contender for a berth in your portfolio.
Here’s a look at the fund and what it might be worth in the future.
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Meet the Vanguard Total Stock Market ETF
Most investors are at least somewhat familiar with the S&P 500 index, and the index funds that track it. Those funds will invest in 500 of America’s biggest companies, including plenty of market darlings such as Nvidia and Micron Technology. They won’t have you invested in gobs of small and medium-sized companies, though, and that can be a shame, since plenty of such companies have great growth prospects.
The Vanguard Total Stock Market ETF, though, is a broader index fund, and it encompasses just about all investable companies on U.S. stock exchanges — nearly 3,500 of them, as of the end of May.
Here’s how the fund has performed, below. I’m including the Vanguard S&P 500 ETF, too, for comparison:
|
3-Year Average Annual Return |
5-Year Avg. Annual Return |
10-Year Avg. Annual Return |
|
|---|---|---|---|
|
Vanguard Total Stock Market ETF |
21.01% |
12.02% |
14.90% |
|
Vanguard S&P 500 ETF |
21.26% |
13.11% |
15.36% |
Source: Morningstar.com, as of July 9, 2026.
As you can see, the broader index fund has returns nearly as strong.
How will the fund do over time?
One can’t know what the stock market will do from year to year, but despite all tumbles in the past, it has always recovered and gone on to new highs. The long-term average annual gain for the S&P 500 is close to 10%, so the past decade has been well above average.
Let’s assume that the total stock market fund grows at 10% going forward, for the next 20 years. (Though, of course, it might average less!) If so, a $1,000 investment this year could be worth $6,728 in the future. Pretty good, right? That total could be much bigger if you make additional investments over time.
Should you buy stock in Vanguard Total Stock Market ETF right now?
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Selena Maranjian has positions in Micron Technology and Nvidia. The Motley Fool has positions in and recommends Micron Technology, Nvidia, and Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy.
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