Anyone with even a mild interest in passive investing should have heard about the Vanguard Group and their ETFs. 

With 115 funds and $4.36 trillion in assets under management, the Vanguard Group remains the second-largest ETF provider in the world after BlackRock. 

But why do people commit trillions of dollars to buying Vanguard ETFs? 

Their ETFs (and even mutual funds) are known for ultra-low expense ratios (84% lower than the industry average), broad diversification, and strong long-term performance. 

Also, Vanguard has a wide scope of ETFs that allow investors to diversify across sectors, geographies, market caps, asset classes, and investment strategies (growth, value, income). And they combine these with ETFs that track broad market indexes. 

With 115 ETFs to choose from, you might be confused about the best Vanguard ETFs to own. 

In this article, we will consider the best Vanguard ETFs across different categories relevant to all types of investors. 

Whether you are a growth investor, an income investor, or an ultra-passive investor who wants to stick to the S&P 500 ETF, you will find the best Vanguard fund that will meet your exact needs. 

 Excited? Let’s get started. 

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1. Vanguard S&P 500 ETF (VOO): Best Vanguard S&P 500 ETF

Summary 

VOO is an equity ETF that invests in the companies that constitute the S&P 500 index. 

The ETF tracks the performance of the S&P 500 Index, which comprises the 500 largest companies in the U.S. equity market. 

The fund’s goal is to provide high potential for investment growth, especially for long-term investors with long-term goals. 

Many personal finance and investment experts recommend that retail investors learn how to invest in the S&P 500 for long-term growth, rather than trying to beat the market. This makes VOO one of the best Vanguard ETFs for retirement planning.   

Holdings and diversification

VOO has 504 stocks, diversified by sector, and a total net assets of $817.5 billion, as of April 30, 2026. 

Approximately 32.9% of its holdings are in the technology sector, 12.6% in financials, 10.3% in communications services, 9.9% in consumer discretionary, 9.5% in healthcare, and 9% in industrials. 

There are also smaller holdings in consumer staples (5.30%), energy (4%), utilities (2.5%), materials (2.1%), and real estate (1.9%). 

Other information

• 10-year performance based on market price (as of April 30, 2026): 15.21%
• 5-year performance based on market price (as of April 30, 2026): 13.10%
• 30-day SEC yield (as of April 30, 2026): 1.05%
• Expense ratio (as of April 28, 2026): 0.03%

2. Vanguard Mega Cap Growth ETF (MGK): Best Vanguard ETF for growth investors

Summary 

MGK tracks the performance of the CRSP US Mega Cap Growth Index, which consists of the largest growth stocks in the U.S. market.

The fund’s goal is to generate high growth for investors by focusing on companies with strong growth potential, irrespective of their current price. 

Holdings and diversification

MGK has 59 stocks across different industries, and its total net assets stand at $27.9 billion, as of April 30, 2026. 

A large portion of its holdings is in the technology (68.3%) and consumer discretionary sectors (15.60%). At the asset level, NVIDIA (13.75%), Apple (12.60%), and Microsoft (9.02%) are its top three holdings. 

Other information

• 10-year performance based on market price (as of April 30, 2026): 18.61%
• 5-year performance based on market price (as of April 30, 2026): 14.17%
• 30-day SEC yield (as of April 30, 2026): 0.31%
• Expense ratio (as of February 2, 2026): 0.05%

3. Vanguard Dividend Appreciation ETF (VIG): Best Vanguard dividend ETF

Summary 

VIG is one of the best Vanguard dividend ETFs. Unlike other dividend ETFs that focus on high current dividend yield, VIG prioritises consistent dividend growth over the years, which makes it appropriate for long-term wealth building.  

It tracks the performance of the S&P U.S. Dividend Growers Index.

Holdings and diversification

VIG currently has 314 stocks across different sectors and a total net assets of $117.1 billion, as of April 30, 2026.

The top 5 sectors by holdings are information technology (23.30%), financials (21%), healthcare (17.50%), industrials (12.10%), and consumer staples (10.60%). 

Other information

• 10-year performance based on market price (as of April 30, 2026): 13.06%
• 5-year performance based on market price (as of April 30, 2026): 10.40%
• 30-day SEC yield (as of April 30, 2026): 1.56%
• Expense ratio (as of February 2, 2026): 0.04%

4. Vanguard Value ETF (VTV): Best Vanguard ETF for value investors

Summary 

VTV seeks to match the performance of the largest value stocks in the US. It combines steady growth with low costs and long-term value. 

It tracks the performance of the CRSP US Large Cap Value Index. 

Holdings and diversification

VTV has a total net asset of $225.5 billion invested across 311 stocks diversified by sectors, as of April 30, 2026. 

Its top three sectors are financials (21.4%), healthcare (16.40%), and industrials (14.2%). Also, its holdings include top value stocks like Johnson and Johnson, Exxon Mobil, Walmart, and Berkshire Hathaway. 

Other information

• 10-year performance based on market price (as of April 30, 2026): 12.27%
• 5-year performance based on market price (as of April 30, 2026): 11.39%
• 30-day SEC yield (as of April 30, 2026): 1.95%
• Expense ratio (as of April 28, 2026) 0.03%

5. Vanguard Total Bond Market ETF (BND): Best Vanguard bond ETF

Summary 

BND is a bond ETF that provides broad exposure to intermediate-term, taxable, and investment-grade USD-denominated bonds. 

This ETF excludes inflation-protected and tax-exempt bonds, and it tracks the performance of the Barclays U.S. Aggregate Float Adjusted Index.

The fund’s goal is to provide reliable low-risk investment income and diversify the risks of stocks in a portfolio. 

Holdings and diversification

This ETF holds 11,390 bonds with total net assets of over $387.4 billion, as of April 30, 2026.

Its top three holdings are Treasury bonds (49.38%), government mortgage-backed securities (19.35%), and industrial corporate bonds (14.59%). 

In terms of credit quality, 69.24% have a US government credit rating, 12.38% have a BBB rating, 11.98% have an A rating, 3.35% have an AA rating, and 3.02% have an AAA rating. 

Other information

• 10-year performance based on market price (as of April 30, 2026): 1.66%
• 5-year performance based on market price (as of April 30, 2026): 0.17%
• 30-day SEC yield (as of April 30, 2026): 4.36%
• Expense ratio (as of April 28, 2026): 0.03%

6. Vanguard Information Technology ETF (VGT): Best long-term performing Vanguard ETF

Summary 

VGT is one of the best-performing Vanguard ETFs in the past 10 years. 

The ETF invests in stocks in the information technology sector. Its growth over the past years reflects the strong performance of IT stocks like Apple, Microsoft, NVIDIA, and Broadcom.  

(Disclaimer: Past performance does not guarantee future results, and technology stocks can be very volatile.) 

Holdings and diversification

This ETF holds 317 stocks with total net assets of $121.3 billion, as of April 30, 2026.

NVIDIA (18.53%), Microsoft (15.85%), and Apple (10.21%) are its top three holdings. 

Within the IT sector, its largest concentrations are in semiconductors (34.20%), hardware, storage, and peripherals (18.90%), and systems software (14.90%).  

Other information

• 10-year performance based on market price (as of April 30, 2026): 24.09%
• 5-year performance based on market price (as of April 30, 2026): 17.78%
• 30-day SEC yield (as of April 30, 2026): 0.36%
• Expense ratio (as of December 19, 2025): 0.09%

7. Vanguard FTSE All-World ex-US ETF (VEU): Best Vanguard ETF for international equities

Summary 

VEU is a  broad international equities ETF that invests in non-US developed markets and emerging markets. 

Instead of buying both the Vanguard FTSE Emerging Markets ETF and the Vanguard FTSE Developed Markets ETF, you can gain access to both developed and emerging markets with VEU. 

It tracks the performance of the FTSE All-World ex US Index, and it is one of the best Vanguard ETFs for exposure to non-US markets.  

Holdings and diversification

VEU invests in 3,844 stocks across the globe with net assets of $83.9  billion, as of April 30, 2026. 

Its holdings are mostly concentrated in Europe (37.8%), the Pacific (27%), and emerging markets (26.4%).  

Other information

• 10-year performance based on market price (as of April 30, 2026): 9.52%
• 5-year performance based on (market price (as of April 30, 2026): 8.80%
• 30-day SEC yield: NA
• Expense ratio (as of February 27, 2026): 0.04%

8. Vanguard Total International Bond ETF (BNDX): Best Vanguard ETF for international bonds

Summary 

BNDX is a bond ETF that consists of non-U.S., dollar-denominated, investment-grade bonds. It is one of the best ETFs to invest in if you are seeking bond diversification outside of the US. 

The fund tracks the Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (U.S. Hedged). 

This ETF’s goal is to generate low-risk investment income and offer broad geographical diversification.

Holdings and diversification

There are 6,722 bonds in the fund with total net assets of over $116.9 billion, as of April 30, 2026. 

BNDX offers diversification by regional market with 58.1% of its holdings in Europe, 18.3% in the Pacific, 10.3% in North America, 7.3% in the Emerging Markets, 5.6% in other markets, and 0.4% in the Middle East. 

The holdings are also diversified by bond issuer, with 79.1% being sovereign debt issued by non-US governments. 

Other information

• 10-year performance based on market price (as of April 30, 2026): 1.78%
• 5-year performance based on market price (as of April 30, 2026): 0.28%
• 30-day SEC yield (as of May 21, 2026): 3.49%
• Expense ratio (as of February 27, 2026): 0.07%

9. Vanguard Small-cap ETF (VB): Best Vanguard ETF for small-cap exposure

Summary 

VB tracks the performance of the CRSP US Small Cap Index, which consists of all the small-cap stocks in the US. 

It seeks to explore the high growth potential of small-cap stocks while managing their volatility. 

Holdings and diversification

VB consists of 1,312 stocks across various industries and has net assets of $164.6 billion, as of April 30, 2026. 

Industrials (22.6%), consumer discretionary (13.1%), and financials (12.8%) are the top three sectors by holdings.  

Other information

• 10-year performance based on market price (as of April 30, 2026): 11.26%
• 5-year performance based on market price (as of April 30, 2026): 6.59%
• 30-day SEC yield (as of April 30, 2026): 1.30%
• Expense ratio (as of April 28, 2026): 0.03%

10. Vanguard Real Estate ETF (VNQ): Best Vanguard ETF for real estate

Summary 

VNQ is an equity ETF that holds Real Estate Investment Trusts – the stocks of real estate investment and mortgage companies. 

This ETF tracks the performance of the MSCI U.S. Investable Market Real Estate 25/50 Index, an index that consists of large, mid, and small-cap companies in the real estate sector.

The fund’s goal is to generate both growth and passive investment income through high dividends.

Holdings and diversification

With 145 stocks, VNQ has total net assets of $64.6 billion as of April 30, 2026. 

VNQ’s holdings are diversified across 12 types of real estate assets, with healthcare REITs (16.5%), retail REITs (14.5%), industrial REITs (11.5%), data center REITs (10.7%), and telecom tower REITs (9.1%) constituting the top 5.    

Other information

• 10-year performance based on market price (as of April 30, 2026): 5.75%
• 5-year performance based on market price (as of April 30, 2026): 3.29%
• Unadjusted effective yield (as of April 30, 2026): 3.35%
• Expense ratio (as of May 29, 2025): 0.13%

Other notable mentions: Vanguard Energy ETF (VDE) for exposure to the energy sector, Vanguard High Dividend Yield ETF (VYM) for maximising dividend yield, Vanguard ESG U.S. Stock ETF (ESVG) for ESG investing, Vanguard Mid-Cap ETF (VO) for exposure to mid-cap companies, and Vanguard Total Stock Market Index Fund ETF (VTI) for exposure to the entire US stock market. 

How to invest in Vanguard ETFs in the UAE

For some investors, buying the Vanguard S&P 500 ETF (VOO) is enough since you can always bank on the long-term potential of the US stock market. 

However, the S&P 500 index can experience significant downturns, causing investors to lose money over days, weeks, or even months. For example, the index was down by 19.44% in 2022. 

Consequently, instead of investing only in the S&P 500, you should create a diversified portfolio that includes other Vanguard ETFs. This will help reduce your risk exposure and give you stability during market downturns. 

If you are in the UAE, you can invest in US-listed ETFs through Sarwa.

For a passive approach, you can sign up for a diversified personalised portfolio on Sarwa Invest. Our wealth advisors will create a portfolio of Vanguard ETFs for you that matches your time horizon, risk tolerance, and investment goals. 

And if you prefer an active approach, you can purchase any of the best Vanguard ETFs on Sarwa Trade. With this, you can build an investment portfolio from scratch instead of relying on other wealth advisors to do it for you. 

Are you ready to build wealth in the UAE with the best Vanguard ETFs? Sign up now for a Sarwa account to select or build an investment portfolio that works for you.  

Takeaways

• Vanguard ETFs combine ultra-low fees with broad diversification, making them ideal for long-term investors.
• Different Vanguard ETFs suit diverse goals, from growth investing and dividend income to bonds and international exposure.
• Diversifying across ETFs instead of relying only on the S&P 500 can help reduce portfolio volatility during market downturns.
• UAE investors can access top Vanguard ETFs through platforms like Sarwa, using both passive and self-directed investing approaches.