Want to Buy the World? This ETF Lets You Own 10,000 Stocks

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Buying a diversified portfolio of galore antithetic stocks is often a bully prime for semipermanent investors. But what if you could (almost literally) bargain "all the stocks successful the world"? A fashionable Vanguard exchange-traded money (ETF) lets you bash conscionable that.

The Vanguard Total World Stock ETF (NYSEMKT: VT) is 1 of the simplest, lowest-cost ways to bargain thousands of stocks from the U.S. and different countries. This ETF holds much than 10,000 stocks. It could beryllium a bully prime for investors who privation planetary diversification portion inactive owning a ample percent of U.S. stocks.

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Let's look astatine this Vanguard ETF and spot if it could beryllium a bully prime for your portfolio.

World representation  overlaid connected  a quality  face.

Image source: Getty Images.

Vanguard Total World Stock ETF (VT): 10,048 stocks, 18 years of 8.87% annualized returns

The Vanguard Total World Stock ETF offers an awesome array of U.S. and planetary stocks. Its portfolio includes 10,048 stocks from 40 countries crossed developed and emerging markets. This ETF tracks the show of the FTSE Global All Cap index, truthful it includes large-, mid-, and small-cap stocks.

Simply put: This money mightiness not technically ain "all the stocks successful the world," but it's adjacent capable for astir investors. And it charges an ultra-low disbursal ratio of 0.06%.

The Vanguard Total World Stock ETF has an 18-year way grounds of coagulated performance. Since the fund's inception successful June 2008, it has delivered mean yearly returns of 8.87%. More recently, it's delivered a year-to-date instrumentality of 10.41%, and implicit the past 5 years, it's delivered mean yearly returns of astir 10.9%.

What stocks are successful this fund? The fund's apical 10 banal holdings are each tech names, mostly from the U.S. The apical 5 holdings are Nvidia (4.0% of the fund), Apple (3.6%), Alphabet (3.2% combining Class A and Class C shares), Microsoft (2.4%), and Amazon (2.0%).

The lone non-U.S. banal successful the ETF's apical 10 holdings is Taiwan Semiconductor Manufacturing, which ranks sixth with 1.6% of the fund. The apical regions represented successful this worldwide ETF are North America (64.9% of the fund), Europe (13.7%), and the Pacific (11.1%), with 10% of the money allocated to emerging markets.

Why bargain the Vanguard Total World Stock ETF -- oregon not

This is an awesome ETF. Many investors mightiness not cognize that you tin bargain much than 10,000 stocks each successful 1 fund. The Vanguard Total World Stock ETF offers a low-cost mode to conscionable "set it and hide it" with investing successful what mightiness beryllium the most-diversified banal portfolio possible. For internationally minded investors who privation to ain shares of companies successful different countries and the U.S. market, this could beryllium a bully choice.

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