Over the past decade, 95% of active managers of large-cap core funds have underperformed the S&P 500 after fees. A recent study revealed that 79% of large-cap domestic equity funds lagged behind the index in 2025, prompting many investors to consider ultra-low-cost index funds like the Vanguard S&P 500 ETF as a more stable investment alternative.
Investing in a broad market ETF not only provides exposure to the entire U.S. economy, reducing individual stock risk, but also offers a remarkably low expense ratio of just 0.03%. As sectors within the S&P 500 evolve, ETF shareholders benefit from a diversified investment that adapts to market changes, making them a preferable choice for long-term wealth creation.
