Indexing

Index funds and ETFs: Start with the core

When you're constructing portfolios for your clients, using low-cost index funds and ETFs can serve as the foundation for any investment strategy. These offer an ideal way to achieve broad diversification and can be easily positioned to help meet your clients' risk and return requirements.

And since index funds seek to track market returns, client conversations about setting performance expectations are much simpler. That's just one of many client benefits. Index-based investment strategies typically are highly tax-efficient vehicles with minimal portfolio turnover, which can help reduce your clients' tax burden.

Why Vanguard?

Vanguard launched the first index fund for individual investors in 1976. And we've been perfecting our benchmark selection and tracking skills every day since. In fact, since we pioneered indexing, equity index funds across the industry now have more assets under management than actively managed funds, with fixed income index-based assets growing quickly.

Over the past four-plus decades, we've built a sustainable, scaled, and successful index franchise. We aim to be a partner you can count on, day in and day out, for tight tracking of the markets important to you and your clients. This unmatched expertise along with our commitment to advisors is why Vanguard remains the choice for sophisticated indexing.