Vanguard Total World Stock Index ETF (ARCA: VT)

Últimas noticias sobre Vanguard Total World Stock Index ETF (ARCA:VT)

Vanguard Total World Stock Index ETF

Technology

Financial Services

Consumer Cyclical

Industrials

Healthcare

Consumer Defensive

Basic Materials

Energy

Communication Services

Real Estate

Utilities

Other

The fund employs an indexing investment approach designed to track the performance of the FTSE Global All Cap Index. The advisor attempts to sample the target index by investing all, or substantially all, of its assets in common stocks in the index and by holding a representative sample of securities that resembles the full index in terms of key risk factors and other characteristics.

Microsoft Corp

Apple Inc

Nvidia Corp.

Amazon.Com Inc

Alphabet Inc

Meta Platforms, Inc.

Alphabet, Inc.- Cl C

Eli Lilly & Co.

Berkshire Hathaway Inc

Taiwan Semiconductor Manufacturing Co. Ltd.

Tesla, Inc.

Broadcom Inc

Advanced Petrochemical Co

Berkshire Hathaway, Inc.

News

Tech

Media

AAPL

AMZN

GOOG

GOOGL

JEPQ

NVDA

Nvidia apuesta fuerte por la robótica humanoide, buscando liderar un mercado en auge con tecnología avanzada para 2025.

Nvidia (NVDA) lidera la revolución robótica con tecnología avanzada para robots humanoides en 2025

VANTAGE TOWERS AG U/ADR by VANTAGE TOWERS AG

Vantage Towers AG

Catheter Precision Inc

Vanguard Total Corporate Bond ETF

Vertcoin

VerticalScope Holdings Inc

VANTAGE DRILLING INTL LTD by Vantage Drilling International Ltd

Vantage Drilling International Ltd

Vanguard Tax-Exempt Bond ETF

Vanguard California Tax-Exempt Bond ETF

Vortex Energy Corp Ordinary Shares

VORTEX ENERGY CORP by Vortex Energy Corp.

Vortex Energy Corp

Vanguard Tax-Managed Funds Vanguard Intermediate-Term Tax-Exempt Bond ETF

Vanguard Tax-Managed Funds Vanguard Long-Term Tax-Exempt Bond ETF

Videndum PLC

Vanguard Wellington Fund Vanguard Short-Term Tax Exempt Bond ETF

TEST SEC V by Test Comp

Vtex

DEVELOP GLOBAL LTD by DEVELOP GLOBAL LTD.

Develop Global Ltd

Vanguard Malvern Funds Vanguard Total Treasury ETF

VANTAGE DRILLING CO ORD by Vantage Drilling Co.

Vantage Drilling Co

Vita Group Ltd

Vistagen Therapeutics, Inc. - Common Stock

Vistagen Therapeutics Inc

VeThor Token - United States dollar

VITAL HEALTHCARE PPTY TR by Vital Healthcare Property Trust

Vital Healthcare Property Trust

Vanguard Russell 3000 ETF

Vanguard Total Stock Market ETF

VITA 34 AG NAMEN-AKT by Vita 34 International AG

FamiCord AG

Vanguard Short-Term Inflation-Protected Securities Index Fund ETF Shares

VTECH HOLDINGS ORD by VTech Holdings, Ltd.

VTech Holdings Ltd

VTECH HOLDINGS UNSP/ADR by VTech Holdings, Ltd.

Vital Energy, Inc. Common Stock, par value $0.01 per share

Vital Energy

Vitamin Blue Inc

VALENTINE MARK CORP by Valentine Mark Corporation

Valentine Mark Corp

VIETNAM ENTERPRS INV RED by Vietnam Enterprise Investments Ltd.

Critica Ltd

VERTU MOTORS PLC ORD by Vertu Motors PLC, Newcastle Upon Tyne

Vertu Motors PLC

Corporacion Inmobiliaria Vesta, S.A.B de C.V. American Depositary Shares, each representing ten (10) Common Shares

Corporacion Inmobiliaria Vesta SAB de CV

VITAL METALS LTD NEW by Vital Metals Ltd.

Vital Metals Ltd

Invesco Trust for Investment Grade New York Municipals Common Stock

Invesco Trust For Investment Grade New York Municipals

VetaNova Inc

VERTEX ENERGY INC COM

Vertex Energy Inc

Bristow Group Inc

VAST SOLUTIONS INC B 1 by Vast Solutions, Inc.

Vast Solutions Inc

Vanguard Malvern Funds Vanguard Total Inflation-Protected Securities ETF

Ventas Inc

VETROPACK HLDF ST PRX A by Vetropack Holding SA

Vitrolife AB

VECTRON SYSTEMS AG NEW by Vectron Systems AG New

Viatris Inc

VECTOR INC TOKYO by Vector Inc.

Vitru Ltd

Vitesse Energy Inc

Vitesco Technologies Group AG

Vitesco Technologies Group AG ADR

VirTra Inc

VITASOY INTL H PAR by Vitasoy International Holdings Ltd.

Vitasoy International Holdings Ltd

VITASOY INTL H UBSP/ADR by Vitasoy International Holdings Ltd.

VAT Group AG

VAST SOLUTIONS INC B 3 by Vast Solutions, Inc.

Vanguard Value ETF

vTv Therapeutics Inc. - Class A Common Stock

vTv Therapeutics Inc

Vanguard Russell 2000 Growth ETF

Vanguard Russell 2000 ETF

Vanguard Russell 2000 Value ETF

Vortex Brands Co

VERTEX RESOURCE GROUP LTD by VERTEX RESOURCE GROUP LTD.

Vertex Resource Group Ltd

Victrex PLC

VERTEX MINERALS LTD by Vertex Minerals Ltd.

Vertex Minerals Ltd

VICTORY BANCORP INC by Victory Bancorp Inc.

Victory Bancorp Inc

VICTORY METALS LTD by VICTORY METALS LTD.

Ventyx Biosciences Inc

An investor on Reddit&#8217;s <a href="https://www.reddit.com/r/stocks/comments/1lsjmb4/is_holding_individual_stocks_worth_the_stress/">r/stocks</a> recently asked a question that hit home for many people: &#8220;Is holding individual stocks worth the stress anymore?&#8221;
&#8220;I used to think I could beat the market by picking my own stocks,&#8221; the person wrote. &#8220;But between earnings roulette, random macro shocks, and hype cycles, I&#8217;m starting to feel like just holding VTI/VT is the move.&#8221;&nbsp;
VTI refers to the Vanguard Total Stock Market Index Fund ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VTI#NYSE">VTI</a>), and VT (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VT#NYSE">VT</a>) refers to the Vanguard Total World Stock Index Fund ETF. These are total market index funds that aim to mirror the performance of the entire U.S. or global stock markets, offering <a href="https://www.benzinga.com/money/what-is-a-broad-based-index-fund">broad diversification with minimal effort</a>.
Don't Miss:
<ul class="wp-block-list">
<li>Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die."<a href="https://www.benzinga.com/money/warren-buffet-make-money-when-you-sleep"> Here&#8217;s how you can earn passive income with just $10.</a></li>
<li>$100k+ in investable assets? <a href="https://www.benzinga.com/money/wiseradvisor-retirement-planning">Match with a fiduciary advisor for free to learn how you can maximize your retirement and save on taxes</a> – no cost, no obligation.</li>
</ul>
<h2 class="wp-block-heading">A Growing Preference For Passive Investing</h2>
Many Redditors agreed, saying they had already switched to passive index funds because picking individual stocks was just too stressful and time-consuming. One user replied, &#8220;If it is stressful, don&#8217;t. VTI is pretty stable by comparison.&#8221;
Another added, &#8220;I feel like I have a second job babysitting my portfolio. I wish there were another way. Maybe this is it.&#8221;
The r/Bogleheads approach was heavily referenced throughout the thread. Named after Vanguard founder John Bogle, this <a href="https://www.benzinga.com/markets/equities/25/02/43730981/the-man-who-founded-vanguard-and-his-7-investing-principles">investing philosophy</a> emphasizes long-term, low-cost, passive investing—typically through broad-market index funds—and encourages <a href="https://www.benzinga.com/trading-ideas/long-ideas/25/04/44773665/time-in-the-market-do-investors-actually-adhere">avoiding market timing</a> or frequent trading.&nbsp;
&#8220;Just become a Boglehead and call it good. No guesswork, just long-term gains,&#8221; one comment said. Several investors pointed out that most <a href="https://www.benzinga.com/personal-finance/25/02/44016490/21-year-old-pro-investor-challenges-dave-ramsey-show-hosts-on-index-funds-vs-mutual-funds-80-of-mutual-funds-dont-beat-the-market">professional stock pickers</a> don&#8217;t outperform the market consistently, so regular investors have an even steeper hill to climb.
Trending: The secret weapon in billionaire investor portfolios that you almost certainly don't own yet. <a href="https://www.benzinga.com/money/masterworks">See which asset class has outpaced the S&amp;P 500 (1995-2024) – and with near-zero correlation.</a>
<h2 class="wp-block-heading">Still, Many Can&#8217;t Let Go Of Stock Picking</h2>
Even with all the warnings, some people still think picking individual stocks is worth it if you&#8217;re willing to put in the time and have the right mindset. &#8220;I pick individual stocks for fun,&#8221; one person said. &#8220;As long as you&#8217;re not buying risky/sh&#x2A;tty stocks, you&#8217;ll make money.&#8221;
Some shared massive gains from choosing the right names at the right time. One investor said their investments in Palantir Technologies (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PLTR#NYSE">PLTR</a>) and Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) had more than quadrupled in value over the past three years. Another claimed they&#8217;re &#8220;up 700%&#8221; on AST SpaceMobile (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ASTS#NASDAQ">ASTS</a>) and have more than tripled their net worth in the last two years.
But not everyone trusts that these results are repeatable. &#8220;The best analysts can&#8217;t do it consistently on a long timeframe,&#8221; one person wrote. &#8220;But you&#8217;re probably better than them because you made one good pick?&#8221;
See Also: <a href="https://www.benzinga.com/money/gbr-savings-by-age">If You're Age 35, 50, or 60: Here&#8217;s How Much You Should Have Saved Vs. Invested By Now</a>
<h2 class="wp-block-heading">A Hybrid Strategy Gets Traction</h2>
Many investors in the thread advocated for a middle-ground approach. One described their approach as 90% passive investing, 5% allocated to unconventional assets such as gold, GameStop (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GME#NYSE">GME</a>), and bitcoin, and the remaining 5% in actively managed stocks. &#8220;I find having a small basket of stocks allows me to learn quite a bit about the companies.&#8221;
Another added, &#8220;The passive allocation does the heavy lifting, and the other 10% scratches the itch to be active.&#8221;
There&#8217;s also a psychological angle. One investor admitted, &#8220;If you&#8217;re stressed holding stocks at all-time highs, I wouldn&#8217;t be in the market.&#8221;
Some described stock picking as a rewarding hobby. &#8220;I like knowing and believing in the names I hold. Even in periods of underperformance, I don&#8217;t sweat it.&#8221;
Whether to <a href="https://www.benzinga.com/money/active-vs-passive-investing">invest passively or actively</a> depends on each investor&#8217;s goals, temperament and willingness to put in the time. There's no one-size-fits-all approach, but knowing your limits may be just as important as knowing the market.
Read Next: Over the last five years, the price of gold has increased by approximately 83% — Investors like Bill O&#8217;Reilly and Rudy Giuliani are using this platform to <a href="https://www.benzinga.com/money/american-hartford-gold">create customized gold IRAs to help shield their savings from inflation and economic turbulence.&nbsp;</a>
Image: Shutterstock

Personal Finance

ASTS

PLTR

Investor Used To Believe They Could Beat The Market By Picking Stocks. Now They Ask 'Is Holding Individual Stocks Worth The Stress Anymore?'

Macro Economic Events

Market Summary

Economics

General

SNAP

Benzinga Market Summary: GDP Contracts In Q1, Snap Falls After Not Providing Q2 Guidance, US Dollar Index Rises, Gold Falls

Investing might look easy for some, but that isn&#8217;t always the case. For a young <a href="https://www.benzinga.com/personal-finance/25/04/44658629/23-year-old-investor-with-75k-portfolio-1-8k-dividend-income-reveals-top-assets-asks-what-i-should-look-at-or-add-to-reddit-debates">investor</a> with a long time horizon, the decision to hold onto individual stocks or shift into broad-market <a href="https://www.benzinga.com/25/03/44255172/marjorie-taylor-greene-buys-more-bitcoin-etf-shares-ahead-of-trumps-strategic-reserve-executive-order">ETFs</a> can be pivotal.
While concentrated bets on high-growth companies can yield amazing returns, they also come with heightened volatility and sector risk. On the other hand, index funds provide stability and market-matching returns but may lack the explosive upside of single-stock picks.
Don't Miss:
<ul>
<li>Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing —<a href="https://www.benzinga.com/money/boxabl"> this is your last chance to become an investor for $0.80 per share.</a></li>
<li>Deloitte's fastest-growing software company partners with Amazon, Walmart &amp; Target – <a href="https://www.benzinga.com/money/mode-mobile-2">Many are rushing to grab 4,000 of its pre-IPO shares for just $0.26/share!</a></li>
</ul>
The debate becomes even more pressing when an investor is sitting on unrealized losses. Should they cut their losses and reallocate, or hold firm, trusting their long-term goal will come to be? The answer often depends on risk tolerance, time horizon, and the strength of their investment motivation.
One Reddit user, a 23-year-old investment banker, has shared his concerns regarding his portfolio on the online discussion board. The poster has a $58,000 portfolio but is currently down around $4,000 on his holdings.
His portfolio is heavily concentrated in tech giants, including Alphabet (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>, GOOG)), Amazon (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>)​, Microsoft (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>), Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), and Meta (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>), alongside Vanguard S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VOO#NYSE">VOO</a>) and Berkshire Hathaway (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BRK#NYSE">BRK</a>, BRK.B)).
The poster shared that he can save $6,000 per month from his salary, allowing consistent investments, and he&#8217;s in for the long run. He&#8217;s also acknowledged that his portfolio is tech-heavy but says he plans to dilute exposure by dollar cost averaging into VOO monthly. Although he&#8217;s down on his Magnificent 7 stocks, he is unfazed, saying it is a great discount opportunity.
&#8220;I see this as a perfect opportunity to pick up more shares of great companies at discounted prices. I'm down close to $4,000 so far from my Mag7 holdings. Do you suggest I sell at a loss and reallocate into VOO or hold on to it and ride it out?&#8221; he asked.
Trending: It&#8217;s no wonder Jeff Bezos holds over $250 million in art — <a href="https://www.benzinga.com/money/masterworks">this alternative asset has outpaced the S&amp;P 500 since 1995, delivering an average annual return of 11.4%. Here&#8217;s how everyday investors are getting started.</a>
The comment section exploded with mixed opinions, so let&#8217;s dive into those.
<h2 class="wp-block-heading">Reallocate Mag7 Stocks Into VOO Or Hold On It And Ride It Out?</h2>
Sell Individual Stocks and Go All-In on VOO or Diversified ETFs
Many commenters argued that the investor's portfolio lacks diversification and overlaps with VOO's top holdings, making it redundant.
&#8220;Buy VOO and you'll have all of those under one position,&#8221; a comment reads.
&#8220;Terribly un-diversified. Just buy an index fund. It has all those,&#8221; another Redditor suggested.
This user recommended selling individual stocks and adding global diversification to the portfolio.
&#8220;I will suggest more ETFs. VOO is already overweight in the individual stocks you have, for the most part, so your diversity is lacking. Personally, I would sell all except for VOO and BRK.B and get some international in there,&#8221; he said.
&#8220;I would recommend diversifying with some sort of index fund or ETF. I wouldn&#8217;t sell at a loss unless you are cashing anything out and tax loss harvesting later in the year,&#8221; a comment reads.
See Also: Hasbro, MGM, and Skechers trust this AI marketing firm — <a href="https://www.benzinga.com/money/rad-intel">invest pre-IPO from $0.55 per share now</a>.
Hold High-Conviction Stocks but Increase VOO Allocation Over Time
Other Redditors argued that the poster&#8217;s long time horizon and high conviction justify keeping his Mag7 stocks while gradually increasing VOO exposure.
&#8220;I&#8217;d heavily caution against selling anything here. If you sell anything, immediately reinvest back into your VOO ETF or your high-conviction Mag7 stocks. The Mag7 will likely outperform the broad market for a long time. Study past &#8220;monopolies&#8221; and how long they outperformed before being disrupted (the answer is decades),&#8221; a Redditor suggested.
A commenter recommended keeping a middle-ground approach, namely keeping tech exposure but adding diversification.
&#8220;Good job, young rich homie. I&#8217;d suggest a Mag7 ETF and a diversified ETF investing in international markets, too. Diversification is the only free lunch in investing. Good luck!&#8221;
While supporting holding strong companies, this Redditor suggested making VOO the portfolio&#8217;s foundation: &#8220;A little concentration on tech. However, you own great companies and you are 23, so keep them and buy more at a discount! VOO is great as a core holding and should be the biggest slice of the pie as your portfolio grows.&#8221;
As a compromise between stock picking and diversification, a Redditor suggested a tech-heavy ETF.
&#8220;Instead of investing in the Mag7 by themselves, why not add [Invesco NASDAQ 100 ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/qqqm#NASDAQ">QQQM</a>)]? It has a lower expense ratio than [Invesco QQQ Trust (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/qqq#NASDAQ">QQQ</a>)] and it holds large tech companies, which seems to fit your philosophy at the moment. If you want growth, it's also best to diversify. How about some international exposure? [Vanguard Total International Stock ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/vxus#NASDAQ">VXUS</a>)] is a great ETF, and [Vanguard Total World Stock ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/vt#NYSE">VT</a>)] also has some international exposure,&#8221; he said.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/money/are-you-rich">Are you rich?</a> Here&#8217;s what Americans think you need to be considered wealthy.</li>
<li>Inspired by Uber and Airbnb &#8211; Deloitte's fastest-growing software company is transforming 7 billion smartphones into income-generating assets &#8211; <a href="https://www.benzinga.com/money/mode-mobile-2">with $1,000 you can invest at just $0.26/share!</a></li>
</ul>

MSFT

QQQM

VXUS

Young Banker Holding $58K Portfolio Sees Red – 'Reallocate Into VOO Or Hold On To It And Ride It Out?' – Reddit Explodes

The Hang Seng Index briefly crossed into bear market territory at one point on Wednesday, losing over 20% from its recent high following the U.S.&#8217;s escalation of tariffs on Chinese imports. 
Although the index pared some of the losses on Thursday with 2.1% gains after President Donald Trump decided on a 90-day pause, the shockwaves are being felt across a variety of <a href="https://www.benzinga.com/etfs">U.S.-listed ETFs</a>, focusing investor attention on trade-sensitive assets.
Also Read: <a href="https://www.benzinga.com/25/04/44730527/bill-ackman-feels-the-sting-pershing-square-portfolio-down-14-ytd-amid-tariff-volatility">Bill Ackman Feels The Sting: Pershing Square Portfolio Down 14% Year-To-Date Amid Tariff Volatility</a>
<h1 class="wp-block-heading">ETFs Under Pressure</h1>
Direct exposure to Hong Kong has taken a tangible dent. The iShares MSCI Hong Kong ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EWH#NYSE">EWH</a>), which tends to follow closely the performance of the Hang Seng, has tracked the index&#8217;s sharp depreciation over recent weeks. The fund has declined 12.26% in the past month. The ETF&#8217;s decline is reflective of investor disappointment in the region&#8217;s prospects for growth, as well as general concern regarding the build-up of geopolitical tensions.
But the effect extends well beyond Hong Kong-centric funds. A number of ETF categories with indirect exposure to China or global trade patterns are exhibiting signs of strain:
Emerging Market ETFs (Ex-China) such as the iShares Core MSCI Emerging Markets ex China ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/EMXC#NASDAQ">EMXC</a>) have experienced renewed popularity as investors attempt to avoid direct Chinese equity risk. Yet these funds are still exposed to general macroeconomic weakness due to the trade war. The shares in the fund have collectively declined about 3.4% over the past month.
Global Equity ETFs like the Vanguard Total World Stock ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VT#NYSE">VT</a>) and iShares MSCI ACWI ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ACWI#NASDAQ">ACWI</a>) are not isolated either. They both have positions in Chinese and Hong Kong equities, and although their diversification helps take the sting, the Asian equities pullback is starting to take its toll on overall return.
Also Read: <a href="https://www.benzinga.com/25/04/44721421/exclusive-from-corn-to-crypto-teucrium-ceo-talks-strategy-risk-and-the-launch-of-xxrp">Exclusive: From Corn To Crypto &#8211; Teucrium CEO Talks Strategy, Risk And Launch Of XXRP</a>
U.S. Sector ETFs are also responding to the escalating tension.
Technology ETFs such as SPDR Select Sector Fund &#8211; Technology (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/XLK#NASDAQ">XLK</a>) are at risk from China&#8217;s revenue and supply chain disruptions. In the past four weeks, the fund has declined more than 6%.
Industrial ETFs such as the SPDR Select Sector Fund &#8211; Industrial (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLI#NYSE">XLI</a>) might be hit if Chinese tariffs bear on U.S. exports of manufacturing or essential imported parts.
Agricultural ETFs like the Invesco DB Agriculture Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DBA#NYSE">DBA</a>) might be hurt if China retaliates by restricting purchases of U.S. agricultural products.
<h1 class="wp-block-heading">Market Fallout </h1>
The Hang Seng&#8217;s brief plunge into bear market range — its most steep drop in more than a year — has increased worries about global economic stability. Washington&#8217;s <a href="https://www.benzinga.com/topic/tariffs">plan to add tariffs</a> on a wide range of Chinese merchandise ignited the decline in the index, which invited a retaliatory response from China — an 84% tariff on U.S. goods.
Although the initial impact has been on Chinese and Hong Kong markets, the wider implications are difficult to avoid. Investors can now expect greater market volatility as news surrounding trade talks continues to influence sentiment.
Possible further <a href="https://www.oecd.org/en/about/news/press-releases/2025/03/global-economic-outlook-uncertain-as-growth-slows-inflationary-pressures-persist-and-trade-policies-cloud-outlook.html">slowing </a>of global growth, particularly if extended trade barriers limit cross-border investment and disrupt supply chains, are also on the cards.
Inflationary pressures within the U.S., with tariffs elevating the price of imported merchandise, can also potentially make the policy course of the Federal Reserve more challenging.
As trade tensions intensify, the performance of region-specific and sectoral ETFs provides a window into how markets are pricing in risk. With the Hang Seng&#8217;s fall serving as a canary in the coal mine, investors might need to rethink their allocations and brace for extended turbulence in the coming months.
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/government/regulations/25/04/44730455/bearish-sentiment-hits-7-week-high-mimicking-35-year-old-record-which-marked-the-bottom-of-the-october-1990-bear-market">Bearish Sentiment Hits 7-Week High, Mimicking 35-Year Old Record Which Marked The Bottom Of The October 1990 Bear Market</a></li>
</ul>
Photo: Shutterstock

Asia

Global

ETFs

ACWI

EMXC

Hang Seng Skids Into Bear Zone As US-China Tariff War Rattles Global ETFs

In today&#8217;s fast-paced world, many want to build wealth and achieve long-term financial <a href="https://in.benzinga.com/personal-finance/25/03/44146342/charlie-munger-said-he-was-passionate-about-getting-rich-but-not-because-i-wanted-ferraris-i-wanted-the-independence">independence</a>. Countless people dream of financially securing their future, and for many, that path is through investments in the stock market.
Yet, the path to financial independence is rarely straightforward, especially for those starting to invest later in life and have little to no knowledge of the <a href="https://in.benzinga.com/personal-finance/25/03/44287485/peter-lynch-said-theres-always-something-to-worry-about-but-success-in-the-stock-market-depends-on-your-stomach-not-the-brain">stock market</a>, as is the case of one Reddit user.
The individual, a 38-year-old, shared his concerns in a Reddit community of investors. He said that he recently came across a substantial amount of money–$750,000 in cash–but has no other assets such as a house, no pension, and no investments.
Don't Miss:
<ul>
<li>It&#8217;s no wonder Jeff Bezos holds over $250 million in art — <a href="https://www.benzinga.com/money/masterworks">this alternative asset has outpaced the S&amp;P 500 since 1995, delivering an average annual return of 11.4%. Here&#8217;s how everyday investors are getting started.</a></li>
<li>Dogecoin millionaires are increasing –<a href="https://www.benzinga.com/money/dogecoin-millionaires"> investors with $1M+ in DOGE revealed!</a></li>
</ul>
The poster is focused on long-term growth and is seeking advice on how to invest his newly acquired money wisely. He is also cautious about the current market volatility and is wondering whether he should wait a few weeks before he starts investing, whether to go for a dollar-cost average approach and if other options beyond ETFs would suit his goals.
&#8220;I&#8217;m 38 years old with newly acquired $750,000 in cash. How should I invest? My goal is long-term growth. Should I wait a few more weeks? When [dollar-cost averaging]–what amounts and frequency should I shoot for? And advice for investments beyond ETFs given the volatility at the moment?&#8221; he asked.
Trending: Can you guess how many retire with a $5,000,000 nest egg? <a href="https://www.benzinga.com/money/5mil-nest-egg-adv">The percentage may shock you</a>.
The Reddit community has responded to the 38-year-old&#8217;s post with insights and advice, so let&#8217;s dive deeper into the comments to find out what the community has suggested.
<h2 class="wp-block-heading">How to Invest $750,000? Reddit Community Shares Insights</h2>
Use Dollar-Cost Averaging and Invest in ETFs
One of the most common suggestions was to use dollar-cost averaging to invest in ETFs, especially those tracking global and U.S. markets.
&#8220;Definitely [dollar-cost averaging] over a year or two. You should buy world ETFs, U.S. ETFs, and 20% bonds,&#8221; a comment says.
One Redditor suggested specific ETFs he thinks would grow the poster&#8217;s money in the long run.
&#8220;[Vanguard S&amp;P 500 ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/voo#NYSE">VOO</a>)] or [Vanguard S&amp;P 500 Growth ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/voog#NYSE">VOOG</a>)], [Vanguard Information Technology ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/vgt#NYSE">VGT</a>)] or [Technology Select Sector SPDR Fund (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xlk#NYSE">XLK</a>)], [Vanguard Total World Stock ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/vt#NYSE">VT</a>)] or [Vanguard Total International Stock ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/vxus#NASDAQ">VXUS</a>)],&#8221; he said.
A commenter pointed out he has a more structured approach to dollar-cost averaging with a focus on a few particular ETFs.
&#8220;Looking forward to the responses as I'm currently sitting in [iShares 0-3 Month Treasury Bond ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/sgov#NYSE">SGOV</a>)]. My plan is to ladder into [iShares Bitcoin Trust ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ibit#NYSE">IBIT</a>)], VT, and VOO. I will do bi-weekly buys starting in June,&#8221; he wrote.
A Reddit user suggested a mix of global equity exposure and bonds for a diversified portfolio.
&#8220;VT 70%, [Vanguard Total Bond Market ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/bnd#NASDAQ">BND</a>)] 30%. Increase BND 10% for each 10 years of your age from now on. Good luck to you,&#8221; the user said.
&#8220;VT, [Schwab US Dividend Equity ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/schd#NYSE">SCHD</a>)], [iShares Core Dividend Growth ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/dgro#NYSE">DGRO</a>)], [Invesco NASDAQ 100 ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/qqqm#NASDAQ">QQQM</a>)], [JPMorgan Nasdaq Equity Premium Income ETF (NASDAQ: JEPQ]. SGOV or [Vanguard Treasury Money Market Fund (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/vusxx#NASDAQ">VUSXX</a>)] for other opportunities,&#8221; a comment reads.
One user mentioned a global stock market ETF but agreed that VXUS is also a good choice.
&#8220;I like [SPDR Portfolio MSCI Global Stock Market ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/spgm#NYSE">SPGM</a>)], but VXUS is good as well,&#8221; a comment reads.
See Also: If there was a new fund backed by Jeff Bezos offering a <a href="https://www.benzinga.com/money/arrived-private-credit-fund">7-9% target yield with monthly dividends would you invest in it</a>?
Don&#8217;t Time the Market
Many Redditors cautioned against market timing, with some even predicting what they think the new investor will do after investing.
&#8220;Imagine hoarding $750,000 during a 15-year bull market, to only now considering investing it. The market is guaranteed to drop 20% starting the day after the OP invests it. And someone new to investing will get emotional about the 20% drop and sell at the bottom, where it will immediately go on a 5-year bull run again,&#8221; a commenter wrote.
&#8220;Man, you got $750,000 and you didn't put a cent of that into the S&amp;P 500 over the last 5 years. I can see the S&amp;P 500 being very choppy over the next four years with Trump. If I were honestly you, I would keep that money in a savings bank account. And invest new money from my wages into the S&amp;P 500, bonds ETF, and income ETFs,&#8221; another comment says.
Replying to the above user, a Redditor reminded him that the poster didn&#8217;t have the money for long.
&#8220;Sounds like he just came into the $750,000 recently,&#8221; he said.
Read Next:
<ul>
<li>Have $200K saved?<a href="https://www.benzinga.com/money/have-200k-saved-heres-how-to-turn-it-into-lasting-wealth"> Here's how to turn it into lasting wealth</a></li>
<li>BlackRock is calling 2025 the year of alternative assets. <a href="https://www.benzinga.com/money/masterworks">One firm from NYC has quietly built a group of 60,000+ investors who have all joined in on an alt asset class previously exclusive to billionaires like Bezos and Gates.</a></li>
</ul>

DGRO

IBIT

SCHD

SGOV

SPGM

VOOG

VUSXX

$750K In Cash But No Assets Or Pension – 38-Year-Old Asks: 'My Goal Is Long-Term Growth. How Should I Invest?' Reddit Is Divided

Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) is one stock that has skyrocketed from its beginning stages, leaving many wishing they got in on it from the start. One woman recently called "The Ramsey Show" for financial advice regarding her Tesla stock, which grew to an astonishing amount from her initial investment.&nbsp;
Her dilemma? Whether to cash out and pay off her mortgage or hold onto the stock because, in her words, "Nobody knows what Tesla&#8217;s capable of."
<h2 class="wp-block-heading">From $1,000 to $380,000 in Tesla Stock</h2>
The caller explained that she invested $1,000 in <a href="https://www.benzinga.com/25/02/43686887/teslas-stock-climbs-nearly-3-in-thursday-pre-market-as-analyst-predicts-growth-in-ev-ai-and-robotics">Tesla stock</a> in 2011, in the company's early stages. Over the years, without adding any additional money to her investment, the stock surged, reaching upwards of $380,000. She and her family now owe $288,000 on their home and are weighing the benefits of selling the stock to become mortgage-free.&nbsp;&nbsp;
Don't Miss:
<ul>
<li>Can you guess how many retire with a $5,000,000 nest egg? <a href="https://www.benzinga.com/money/5mil-nest-egg-adv">The percentage may shock you</a>.</li>
<li>‘Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. <a href="https://www.benzinga.com/money/mode-mobile-2">You can invest today for just $0.26/share with a $1000 minimum.</a></li>
</ul>
Financial expert <a href="https://www.benzinga.com/personal-finance/25/01/43276105/trumps-tax-plan-could-slash-social-security-benefits-33-by-2035-ramsey-show-host-george-kamel-weighs-in">George Kamel</a>, a host on "The Ramsey Show," was impressed by the caller's success. "What?" he reacted in shock, before confirming that she had truly turned just $1,000 into hundreds of thousands of dollars without adding more funds to the investment.
<h2 class="wp-block-heading">The Risks of Holding a Single Stock</h2>
While acknowledging the incredible return, Kamel advised the caller to be cautious. He emphasized the risks associated with keeping such a large portion of wealth in a single stock, even one as well-known as Tesla. "As soon as you can get that house paid off and get out of a single stock, the better," he said.
His advice aligns with common financial principles: diversifying investments can help protect against market downturns. Tesla's stock, like any other, is subject to volatility. Holding onto the stock means exposure to potential price swings that could reduce the value of her gains.
Trending: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing —<a href="https://www.benzinga.com/money/boxabl"> you can become an investor for $0.80 per share today.</a>
<h2 class="wp-block-heading">The Role of Taxes in the Decision</h2>
One of the biggest factors to consider in selling such a large stock position is the tax implication. Kamel advised the caller to consult a tax professional before making any moves. Since the stock's value has increased significantly since she bought it, selling would trigger <a href="https://www.benzinga.com/news/25/02/43669470/im-so-sorry-dave-ramsey-left-speechless-after-hearing-the-capital-gains-tax-a-canadian-restaurant-owner-would-owe-if-he-sold-his-business">capital gains taxes</a>. Depending on her income and how long she has held the stock, the tax bill could be substantial.
Instead of selling all at once, Kamel suggested an alternative approach: selling off portions of the stock gradually over a few years. This strategy could help reduce the overall tax burden by spreading the gains across multiple tax years, potentially keeping her in a lower tax bracket.
<h2 class="wp-block-heading">Can Her Income Cover the Mortgage Instead?</h2>
Another consideration is the caller's household income. She shared that her family is earning $275,000 annually, which is a strong financial position. Kamel's advice implies that, with such a high income, they may be able to aggressively pay down the mortgage without relying entirely on the Tesla stock sale.
See Also: If there was a new fund backed by Jeff Bezos offering a <a href="https://www.benzinga.com/money/arrived-private-credit-fund">7-9% target yield with monthly dividends would you invest in it</a>?
<h2 class="wp-block-heading">What Should She Do?</h2>
Ultimately, the decision rests on her financial goals and risk tolerance. Paying off the mortgage would provide security and eliminate monthly payments, but holding onto the stock could yield further gains—though with added risk. Consulting a financial and tax professional could help her determine the best course of action based on her specific situation.
For investors who find themselves in a similar position, the key takeaway is clear: while big gains in the stock market can be life-changing, careful planning is essential to ensure those gains translate into lasting <a href="https://www.benzinga.com/personal-finance/24/02/36957443/the-majority-of-americans-dont-feel-financially-secure-and-believe-they-need-to-earn-233-000-a-y">financial stability</a>.
Read Next:
<ul>
<li>Many are using retirement income calculators to check if they&#8217;re on pace —<a href="https://www.benzinga.com/money/how-do-i-calculate-my-retirement-income-adv"> here&#8217;s a breakdown on what&#8217;s behind this formula.</a></li>
<li>Deloitte's fastest-growing software company partners with Amazon, Walmart &amp; Target – <a href="https://www.benzinga.com/money/mode-mobile-2">Many are rushing to grab 4,000 of its pre-IPO shares for just $0.26/share!</a></li>
</ul>

Tidal Trust II YieldMax MSTR Option Income Strategy ETF

MSTY

NVDY

SMCI

TSLA

Should She Cash Out? Woman Who Turned $1,000 Into $380,000 In Tesla Stock Asks The Ramsey Show For Guidance

Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) is eying <a target="_blank" href="https://www.benzinga.com/topic/robotics" rel="noreferrer noopener">robotics</a> as its next growth catalyst as it battles intense rivalry in its artificial intelligence chipmaking business from Advanced Micro Devices, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>).
Also, core Big Tech giants, including Amazon.Com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), are competing in a space that aims to reduce their dependence on the chip designer by producing their own inbuilt chips.
Nvidia&#8217;s valuation breached the $3 trillion mark, rubbing shoulders with Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>), backed by the AI frenzy. It has become a &#8216;physical AI&#8217; investor by backing humanoid robotics companies like Figure AI.
Also Read: <a target="_blank" href="https://www.benzinga.com/tech/24/11/41834327/elon-musk-reveals-toughest-part-of-building-teslas-humanoid-robot-improving-the-design-of-optimus-for-ease-of-manufacturing" rel="noreferrer noopener">Elon Musk Reveals Toughest Part Of Building Tesla&#8217;s Humanoid Robot: &#8216;Improving The Design Of Optimus For Ease Of Manufacturing</a>
Robotics company Apptronik, a Nvidia client, also tapped Alphabet Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) Google DeepMind, underscoring the growing interest in robotics.
Nvidia will showcase its advanced technology compact computers for humanoid robots known as Jetson Thor in the <a target="_blank" href="https://www.benzinga.com/media/24/11/41984426/nvidia-powers-teslas-humanoid-robots-with-new-ai-tech-heres-what-to-expect-in-2025" rel="noreferrer noopener">first half of 2025</a>.
Nvidia&#8217;s vice president of robotics <a target="_blank" href="https://www.ft.com/content/7c3dafa8-ffb9-4ca8-b677-ab3cc2afbdcb" rel="noreferrer noopener">told</a> the Financial Times that &#8220;the ChatGPT moment for physical AI and robotics is around the corner,&#8221; adding that the market has reached a &#8220;tipping point.&#8221;
Talla told the FT that the outburst of generative AI models and the ability to train robots <a target="_blank" href="https://www.benzinga.com/news/24/10/41168777/whats-going-on-with-nvidia-stock-on-thursday" rel="noreferrer noopener">leveraging simulated environments</a> drove the robotics market shift.
During Nvidia&#8217;s <a target="_blank" href="https://www.benzinga.com/media/24/11/41984426/nvidia-powers-teslas-humanoid-robots-with-new-ai-tech-heres-what-to-expect-in-2025" rel="noreferrer noopener">annual conference in March</a>, CEO Jensen Huang voiced allegiance to the robotics sector, revealing robots powered by Nvidia&#8217;s chips. Unlike how Google supplies Android for smartphones, Nvidia intends to provide the underlying technology instead of building robots.
The global robotics market is worth $78 billion with the potential to reach $165 billion by 2029, FT cites the BCC.
Nvidia stock surged 185% year-to-date. Citi&#8217;s Atif Malik expects Nvidia&#8217;s <a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/24/11/42230493/nvidias-next-big-catalyst-analyst-sees-jensen-huang-led-companys-stock-jumping-27-by-early-2025" rel="noreferrer noopener">profit margin to</a> bottom out in the April 2025 quarter, with an upward trend expected thereafter as it addresses AI robotics demand in warehouses, manufacturing, and humanoid robot sectors.
Morgan Stanley&#8217;s&nbsp;Joseph Moore flagged AI PCs, autonomous vehicles, software,&nbsp;and robotics as <a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/24/11/41883803/nvidias-blackwell-chip-revenue-could-hit-6-billion-next-quarter-analyst" rel="noreferrer noopener">potential revenue drivers</a> for Nvidia.
Investors can gain exposure to Nvidia through JPMorgan Nasdaq Equity Premium Income ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/JEPQ#NASDAQ">JEPQ</a>) and Vanguard Total World Stock Index ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VT#NYSE">VT</a>).
Price Action:&nbsp;NVDA stock is down 1.01% at $135.63 premarket at the last check Monday.
Also Read:
<ul>
<li><a href="https://www.benzinga.com/24/09/41039987/tesla-robocops-chamath-palihapitiya-on-joe-rogans-podcast-envisions-ai-powered-law-enforcement" target="_blank" rel="noreferrer noopener">Chamath Palihapitiya On Joe Rogan&#8217;s Podcast Envisions AI-Powered Law Enforcement</a></li>
</ul>
Image via Shutterstock

Nvidia Targets Robotics as Next Big Opportunity Amid Rising AI Rivalry

Americans receiving <a href="https://www.benzinga.com/personal-finance/24/09/40800774/gen-xs-looming-retirement-crisis-is-worse-than-they-realize-expert-compares-it-to-being-handed-a">Social Security payments</a> may see less of an increase next year, according to a nonprofit group that represents senior citizens.
The Social Security Administration is poised to announce its yearly cost of living adjustment (COLA) for payments to 71 million Americans in the middle of next month, effective in January 2025. The government agency handed out a 3.2% increase for this year last October.
The Senior Citizens League expects a 2.5% increase for next year, based on inflation falling from 2.9% in July to <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/09/40815794/fed-is-all-clear-for-launch-on-cutting-rates-as-inflation-falls-to-lowest-point-in-">2.5% in August</a>.
By law, the annual inflation adjustment is based on the average inflation during July, August, and September&nbsp;as measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).
Read Also: <a href="https://www.benzinga.com/personal-finance/24/09/40817544/report-warns-of-16-500-annual-social-security-benefit-cut-for-dual-income-couples-by-2033">Report Warns of $16,500 Annual Social Security Benefit Cut for Dual-Income Couples by 2033</a>
The Bureau of Labor Statistics averages the CPI-W for these three months and then compares it with the same time frame from the previous year. The percentage difference between the two is the COLA, payable for checks received in January 2025. 
The league says the expected 2.5% increase will not be enough for seniors to meet the higher cost of living. 
Nearly 80% of senior households report that their monthly budget for essential items like food, housing, and prescription drugs had increased over the last 12 months, according to a 2024 survey taken by the organization. Almost two-thirds &#8212; 63% &#8212; say they&#8217;re worried that their income won&#8217;t be enough to cover these basic costs in the coming months.
&#8220;Ensuring that seniors have enough to feed and house themselves with dignity is a major reason why we advocate for a minimum COLA of 3%,&#8221; said Shannon Benton, the league&#8217;s executive&nbsp;director.&nbsp;
She said about two-thirds of seniors rely on Social Security for more than half of their monthly income, and 28% depend on it entirely.
Retirement Stocks
Dividend-yielding, retirement-oriented stocks, typically selected for their risk-averse nature, experienced mixed performance by midday trading on Monday.
<ul>
<li>Coca-Cola Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KO#NYSE">KO</a>) gained 0.92% to $72.06.</li>
<li>Anhueser Busch InBev (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BUD#NYSE">BUD</a>) slipped 0.41% to $64.63.</li>
<li>Dominion Energy, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/D#NYSE">D</a>) rose 1.07% to $58.78.</li>
<li>Microsoft Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NYSE">MSFT</a>) slipped 0.19% to $429.78.</li>
</ul>
Retirement ETFs
Exchange-traded funds that are well suited for retirement trended upward on Monday.
<ul>
<li>Vanguard High Dividend Yield ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VYM#NYSE">VYM</a>) rose 0.41%.</li>
<li>IShares MSCI EAFE ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EFA#NYSE">EFA</a>) gained 0.34%.</li>
<li>Vanguard Total World Stock ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VT#NYSE">VT</a>) edged up 0.53%.</li>
<li>IShares Cohen &amp; Steers REIT ETF ((BATS: <a class="ticker" href="https://www.benzinga.com/stock/icf#BATS">ICF</a>) went up 0.20%.</li>
<li>Vanguard Total Bond Market ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BND#NASDAQ">BND</a>) inched up 0.21%.</li>
</ul>
Retirement Plan Stocks
Financial service firms that offer retirement plans were also on the upswing on Monday.
<ul>
<li>The Charles Schwab Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SCHW#NYSE">SCHW</a>) picked up 2.5% to $63.67.</li>
<li>Wells Fargo &amp; Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WFC#NYSE">WFC</a>) gained 1.89% to $53.78.</li>
<li>JPMorgan Chase &amp; Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JPM#NYSE">JPM</a>) gained 1.47% to $201.33.</li>
</ul>
Read Now: 
<ul>
<li><a href="https://www.benzinga.com/personal-finance/24/09/40695081/we-should-not-just-be-dependent-upon-the-payroll-tax-to-fund-social-security-says-retirement-exp">&#8216;We Should Not Just Be Dependent Upon The Payroll Tax&#8217; To Fund Social Security, Says Retirement Expert Teresa Ghilarducci</a></li>
</ul>
Photo: Shutterstock

iShares Trusthen & Steers Realty Majors Index Fund

SCHW

Social Security Payments Set For 2.5% Increase Next Year; Retirement-Oriented Dividend Stocks Like Coca-Cola, Wells Fargo See Gains

The traditional 60/40 investment portfolio has recorded a remarkable year of growth in 2023, sharply rebounding from a disappointing year in 2022. As of Dec. 27, the year-to-date performance of the 60/40 portfolio, benchmarked by the iShares Core Growth Allocation ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AOR#NYSE">AOR</a>), <a href="https://www.benzinga.com/money/what-is-the-60-40-investment-strategy">stands at approximately 13%. </a>
This performance figure ranks as the third-best year for the strategy since its inception in 2008, trailing only behind the strong years of 2009 and 2019.
As we enter the new year, investors are pondering whether the favorable conditions that supported both equities and bonds in the second half of the year will endure.
<h2 class="wp-block-heading">60/40 Portfolio In 2022-2023: From Downturn to Upswing</h2>
The 60/40 portfolio is a time-tested investment strategy known for its simplicity and effectiveness. It involves allocating 60% of the portfolio to stocks and 40% to bonds, with the aim to strike a balance between risk and reward.
Stocks offer the potential for higher returns but come with higher risk, while bonds generally provide lower but more stable returns. By combining both asset classes, the portfolio naturally diversifies, potentially reducing the risk of significant losses since stocks and bonds often react differently to market conditions.
In 2022, the traditional 60/40 portfolio faced one of its most challenging years due to the Fed&#8217;s aggressive interest rate hikes, which created strong headwinds for both equities and fixed-income assets.
The gauge fell as much as 17%, wiping out a sizable portion of the pandemic rally. 
An initial $1,000 investment in a 60/40 portfolio at the beginning of 2022 dipped to less than $800 by November of that year, only to rebound to its current value of $928.
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="650" height="650" src="https://editorial-assets.benzinga.com/wp-content/uploads/2023/12/27172235/newplot-5-1.jpeg" alt="" class="wp-image-170022" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2023/12/27172235/newplot-5-1.jpeg 650w,https://editorial-assets.benzinga.com/wp-content/uploads/2023/12/27172235/newplot-5-1-300x300.jpeg 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2023/12/27172235/newplot-5-1-150x150.jpeg 150w" sizes="(max-width: 650px) 100vw, 650px" /></figure>
However, as inflation subsided in 2023, traders began to anticipate a normalization of elevated interest rates, betting on the Federal Reserve reducing borrowing costs in 2024. 
Money markets currently factor in six rate cuts by 25 basis points next year, a figure substantially higher than the indications given by Federal Reserve officials at the latest meeting, with the dot-plot showing a median preference for 75-basis-point cuts. 
Read also: <a href="https://www.benzinga.com/23/08/33967223/why-the-6040-portfolio-rule-is-not-for-everyone-the-statistics-might-surprise-you">Why The 60/40 Portfolio Rule Is NOT For Everyone – The Statistics Might Surprise You</a>
<h2 class="wp-block-heading">Will the 60/40 Portfolio Continue to Rally in 2024?</h2>
Looking ahead to 2024, it remains to be seen whether the numerous rate cuts currently priced in by the market will be delivered by the Federal Reserve. 
If these rate cuts materialize, bond yields are likely to continue heading lower, benefiting fixed-income assets and potentially rate-sensitive stocks such as those in the technology, real estate, and financial sectors.
On the other hand, if the decline in inflation stalls or fresh pressures emerge, the Federal Reserve may find it inappropriate to deliver as many rate cuts as currently expected by market participants. 
This could lead to disappointment in the markets and potentially weigh on both equities and bonds.
In summary, the 60/40 portfolio has made a strong comeback in 2023, but its performance in 2024 will depend on whether the anticipated rate cuts materialize and how economic factors evolve.
<h2 class="wp-block-heading">5 Strategies to Create a 60/40 Portfolio</h2>
Aside from the iShares Core Growth Allocation ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AOR#NYSE">AOR</a>), there are several other ways for investors to construct a 60/40 portfolio. 
Here are seven different approaches an investor can use to replicate a 60/40 portfolio, with each pairing a stock ETF with a bond ETF:
<ol>
<li>S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and iShares 20+ Year Treasury Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TLT#NYSE">TLT</a>): Combining SPY, which tracks the S&amp;P 500 Index, with TLT, focusing on long-term U.S. Treasury bonds, offers a balanced portfolio with exposure to the U.S. stock market and the stability of government bonds.</li>
<li>Vanguard Total World Stock ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VT#NYSE">VT</a>) and iShares Core U.S. Aggregate Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AGG#NYSE">AGG</a>): VT provides global stock market exposure, while AGG tracks the U.S. Aggregate Bond Index, diversifying bond exposure.</li>
<li>iShares MSCI ACWI ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ACWI#NYSE">ACWI</a>) and Vanguard Total International Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BNDX#NYSE">BNDX</a>): ACWI offers global equity exposure, and BNDX focuses on non-U.S. bonds, providing international diversification.</li>
<li>iShares Core S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IVV#NYSE">IVV</a>) and Vanguard Total Bond Market ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BND#NYSE">BND</a>): Similar to SPY, IVV tracks the S&amp;P 500, and BND provides diversified exposure to the U.S. bond market.</li>
<li>Vanguard Total Stock Market ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VTI#NYSE">VTI</a>) and Vanguard Total World Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BNDW#NYSE">BNDW</a>): VTI offers exposure to the entire U.S. stock market, and BNDW provides a globally diversified bond exposure.</li>
</ol>
Read now: <a href="https://www.benzinga.com/economics/macro-economic-events/23/12/36403950/treasury-etf-and-real-estate-sector-rise-together-as-30-year-yields-dip-below-4">Treasury ETF And Real Estate Sector Rise Together As 30-Year Yields Dip Below 4%</a>
Photo: Shutterstock

Equities

Large Cap

Bonds

Broad U.S. Equity ETFs

Treasuries

BNDW

BNDX

iShares Trust Barclays 20+ Year Treasury Bond Fund

60/40 Portfolio Bounces Back From 2022 Slump: Is It The Right Investment Strategy For 2024?

A structurally higher inflation is currently being &quot;locked in&quot; by central banks, which will force&nbsp;the stock market to re-adjust to a new inflation-interest rate regime over the coming years, said Michael Hartnett, chief investment strategist at <a href="https://www.benzinga.com/topic/bank-of-america" target="_blank">Bank of America Securities.&nbsp;</a>
In his latest &quot;The Flow Show,&quot;&nbsp;Hartnett highlighted core&nbsp;inflation in major economies remained&nbsp;stubbornly high around 5%-7%, and now has risen above 3% also in Japan.&nbsp;Structurally low unemployment rates are key factors keeping pricing pressures sticky, according to the strategist.
<img alt="" src="https://www.benzinga.com/files/u1363475/uscir_2023-04-21_19-10-00_1bffa.png" style="height:500px; width:100%" />
&quot;The world of zero inflation and&nbsp;zero interest rates is fading into distant past,&quot; Hartnett says,&nbsp;as a classic balanced equity-bond portfolio&nbsp;is no longer the only way to invest.
One hundred dollars&nbsp;invested in a classic 60/40&nbsp;equity-bond portfolio &mdash;&nbsp;which can be replicated with a 60% allocation in the <a href="https://www.benzinga.com/money/vanguard-review/">Vanguard</a> Total World Stock Index Fund&nbsp;ETF (ARCA: VT) and a 40% allocation in the Vanguard Total World Bond Market Index&nbsp;Fund ETF (ARCA: BND), would now be worth&nbsp;$121, versus&nbsp;$118 in a less risky &quot;permanent portfolio&quot; comprised of a 25% equal weight in&nbsp;cash, gold, equity and&nbsp;bonds.
No Central Bank Is Truly Looking To Whip Inflation:&nbsp;Hartnett was surprised by the recent posture taken by global central banks, which are either intending to hold rates, as with the Reserve Bank of Australia and the Bank of Canada, or are close to holding rates, such as the Federal Reserve and the Bank of England.
&quot;No central bank is truly looking to&nbsp;whip&nbsp;inflation despite protestations to contrary,&quot; he wrote.&nbsp; Secular core inflation is a reason why U.S. 10-year Treasury yields are struggling to break below 3.5%, the level of the 200-day moving average&nbsp;despite&nbsp;peak CPI, peak Fed rates and impending recession&nbsp;narrative, according to Harnett.&nbsp;
EPS To Collapse In 2023: BofA Global EPS Model predicts a 16% decline in global EPS growth by this fall.&nbsp;
Hartnett stated that it was inconsistent for the S&amp;P 500 index to trade at a price-to-earnings (P/E) ratio of 20, which was the average over the past 20 years, indicating that stock valuations will decline.
No&nbsp;&quot;buy signal&quot;&nbsp;was triggered in the BofA Bull &amp; Bear Indicator despite the recent U.S. regional bank run.&nbsp;
Read Next:&nbsp;<a href="https://www.benzinga.com/markets/bonds/23/04/31937840/high-yield-corporate-bonds-are-attractive-amid-low-default-risk-in-2023-oaktree-capital" target="_blank">High-Yield Corporate Bonds Are Attractive Amid Low Default Risk In 2023: Oaktree Capital</a>
Photo: Shutterstock
<ul>
</ul>
&nbsp;

Analyst Color

Markets

Analyst Ratings

BofA Strategist Says Central Banks Are Locked In High Inflation, Predicts Drop In Stock Earnings

Shares of Vanguard Total World Stock Index ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VT#NYSE">VT</a>) saw some unusual options activity on Monday. Following the unusual option alert, the stock price moved down to $101.07. 
<ul>
<li>Sentiment: BULLISH</li>
<li>Option Type: SWEEP</li>
<li>Trade Type: CALL</li>
<li>Expiration Date: 2022-02-18</li>
<li>Strike Price: $102.00</li>
<li>Volume: 218</li>
<li>Open Interest: 3</li>
</ul>
<h2>Three Ways Options Activity Is ‘Unusual'</h2>
One way options market activity can be considered unusual is when volume is exceptionally higher than its historical average. The volume of options activity refers to the number of contracts traded over a given time period. Open interest is the number of unsettled contracts that have been traded but not yet closed by either counterparty. In other words, open interest represents the quantity of contracts that individual parties have written but not yet found a counterparty for (i.e. a buyer finding a seller, or a seller finding a buyer).
Another indicator of unusual options activity is the trading of a contract with an expiration date in the distant future. Additional time until a contract expires generally increases the potential for it to grow its time value and reach its strike price. It is important to consider time value because it represents the difference between the strike price and the value of the underlying asset. 
"Out of the money" contracts are unusual because they are purchased with a strike price far from the underlying asset price. "Out of the money" occurs when the underlying price is under the strike price on a call option, or above the strike price on a put option. Buyers and sellers try to take advantage of a large profit margin in these instances because they are expecting the value of the underlying asset to change dramatically in the future. 
<h2>Bullish And Bearish Sentiments</h2>
Options are "bullish" when a call is purchased at/near ask price or a put is sold at/near bid price. Options are "bearish" when a call is sold at/near bid price or a put is bought at/near ask price. 
These observations are made without knowing the investor's true intent by purchasing these options contracts. The activity is suggestive of these strategies, but an observer cannot be sure if a bettor is playing the contract outright or if the options bettor is hedging a large underlying position in common stock. For the latter case, bullish options activity may be less meaningful than the exposure a large investor has on their short position in common stock.
<h2>Trading Options With These Strategies</h2>
Unusual options activity is an advantageous strategy that may greatly reward an investor if they are highly skilled, but for the less experienced trader, it should remain as another tool to make an educated investment decision while taking other observations into account.
For more information to understand options alerts, visit <a href="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts" title="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts">https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts</a>

Options

Unusual Options Activity Insight: Vanguard Total World Stock Index ETF

Saudi Arabian oil giant Saudi Aramco made its debut as a public company Wednesday on that country&#39;s Tadawul exchange in what was the world&#39;s largest initial public offering, one that also created the world&#39;s largest company by market value.
With a market capitalization of around $1.88 billion, the state-controlled oil company is worth more than either Apple Inc.&nbsp;(NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/aapl#NASDAQ">AAPL</a>) or Microsoft Corporation&nbsp;(NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/msft#NASDAQ">MSFT</a>), the two largest American companies.
That means index providers may move swiftly to add Aramco to their benchmarks, meaning the stock could soon appear in some well-known exchange traded funds.
<h3>Why It&#39;s Important</h3>
FTSE Russell is doing just that. on Wednesday, that index provider said newly public Aramaco will join the FTSE All-World Index, FTSE Global Large Cap Index and the FTSE Emerging Markets Index on Dec. 23.
Membership in the FTSE All-World Index could get Aramco into the $12.1 billion Vanguard Total World Stock ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/vt#NYSE">VT</a>), which tracks a similar FTSE index.
Inclusion in the FTSE Emerging Markets Index is even more meaningful Saudi Aramco because that&#39;s the underlying benchmark for the Vanguard FTSE Emerging Markets (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/vwo#NYSE">VWO</a>), the largest ETF dedicated to developing economies, and the Schwab Emerging Markets Equity ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/sche#NYSE">SCHE</a>).
Combined, SCHE and VWO have nearly $70 billion in assets under management.
<h3>What&#39;s Next</h3>
&ldquo;The investability weight of 0.47325% reflects the application of a tranching factor of 0.75 in accordance with Question 13 of the Reclassification of Saudi Arabia to Secondary Emerging Market Status,&rdquo; <a href="https://research.ftserussell.com/products/index-notices/home/getnotice?id=2594912">FTSE Russell said in a statement</a>. &ldquo;FTSE Russell notes that Saudi Aramco was subject to the 10% daily pricing limit on its first day of trading. If the pricing of Saudi Aramco is subject to the 10% daily price limit at 12pm local time on Wednesday 18 December 2019, FTSE Russell will postpone the fast entry inclusion of Saudi Aramco until after Monday 06 January 2020.&rdquo;
FTSE rival MSCI hasn&#39;t yet commented on its plans for Aramco plans, but that company is the index provider for the iShares MSCI Saudi Arabia ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ksa#NYSE">KSA</a>) and moved swiftly and effectively to add Saudi stocks to the MSCI Emerging Markets Index earlier this year.
Disclosure: The author owns shares of VWO.
Related Links:
<a href="https://www.benzinga.com/trading-ideas/long-ideas/19/12/14959394/why-investors-should-consider-mortgage-reits-instead-of-long-dated-treasuries">This mREIT Looks Good</a>
<a href="https://www.benzinga.com/trading-ideas/long-ideas/19/12/14959269/the-first-dedicated-5g-fund-is-one-of-the-most-successful-new-etfs-in-2019">A Formidable 5G ETF</a>
Photo credit: <a href="https://commons.wikimedia.org/wiki/File:Saudi_Aramco_oil_pipe_lines,Jubail_-_panoramio.jpg">Suresh Babunair</a>, Wikimedia

Comments

Vanguard Total World Stock Index ETF

Noticias

Últimas noticias sobre Vanguard Total World Stock Index ETF (ARCA:VT)

Noticias

SOCIO/CONTRIBUIDOR

BENZINGA GLOBAL