Commission-Free ETFs for Every Investor

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Commission-free ETFs have revolutionized the way we invest, making it more accessible and affordable for everyone.

No matter your investment goals or risk tolerance, there's a commission-free ETF out there for you.

Some popular commission-free ETFs include Vanguard's Total Stock Market ETF, which offers broad diversification with over 3,000 holdings.

You can also consider Schwab's US Broad Market ETF, which tracks the Dow Jones US Broad Stock Market Index and has a low expense ratio of 0.03%.

With commission-free trading, you can buy and sell these ETFs without paying any extra fees, making it easier to manage your portfolio.

Type

Small-cap and mid-cap ETFs are a good choice if you're willing to take some risk and want your investment to pay off sooner rather than later, within five years. They have higher upside potential but are riskier.

Large-cap ETFs are a safer bet if you're looking to multiply your money over a longer horizon, five years or more. This type of investment is more stable but may not grow as quickly.

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If you want a steady trickle of cashback each month, fixed income ETFs are the way to go. They provide a regular income stream but may not offer the same level of growth as other types of ETFs.

International ETFs are a great option if you're interested in a foreign market and are willing to do some research or have a strong conviction about its economic performance.

If this caught your attention, see: Types of Investment Income

Fees and Costs

Commission-free ETFs have changed the game for young investors. They solve a big problem by eliminating high trade fees that could price out small investors.

ETFs often have heftier commissions than stocks because they're resource-intensive to create, requiring a lot of research and approval from the SEC.

Young investors, like those investing $50 to $100 per month, are disproportionately affected by these high fees, which can be as much as $20 per trade.

Some brokerages have realized this and eliminated commissions on trades of certain ETFs, making it more accessible to young investors.

Firms like Vanguard and Fidelity now offer commission-free trading on their most successful ETFs, which they don't really need the commission from.

State taxes, or stamp duties, may still be applied to commission-free ETFs, so it's essential to factor that in when investing.

On a similar theme: Investing in Etfs for Dummies

Investment Options

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With commission-free ETFs, you have access to a wide range of investment options. You can choose from 100+ commission-free ETFs, including equity, fixed income, and money market ETFs.

If you're looking for a safer investment, large-cap ETFs are a good fit, designed to multiply your money over a longer horizon of 5+ years. Small-cap and mid-cap ETFs, on the other hand, are riskier but offer higher upside potential, suitable for those who can tolerate some risk in their portfolio.

Fixed Income

Fixed income ETFs are a great way to diversify your portfolio and earn regular income. They track a specific index of bonds, providing a steady stream of returns.

The iShares Core U.S. Aggregate Bond ETF (AGG) is a popular choice, with an expense ratio of just 0.05%. This means you'll pay only a small fee for the fund's management.

BND is another well-known fixed income ETF, with a similar expense ratio of 0.035%. It aims to track the performance of a broad, market-weighted bond index.

If this caught your attention, see: Premium Income Etfs

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The Vanguard Intermediate-Term Corporate Bond ETF (VCIT) focuses on high-quality corporate bonds, seeking to provide a moderate level of current income. This fund also has an expense ratio of 0.05%.

If you're looking for a more targeted approach, the Schwab 1-5 Year Corporate Bond ETF (SCHJ) tracks the short-term U.S. corporate bond market. Its goal is to mirror the performance of this index before fees and expenses.

Here are some key facts about these fixed income ETFs:

Sustainable

If you're looking to invest in a way that's good for the planet, sustainable ETFs are definitely worth considering. They allow you to gain insights into your ETF portfolio, holdings, and assets under management.

Sustainable ETFs can be easily monitored on both desktop and mobile devices, giving you the flexibility to stay on top of your investments wherever you are.

Large-Cap Stock

Large-cap stock ETFs are a type of investment that bundles together blue-chip stocks or an entire index, providing steady, sizeable returns.

Credit: youtube.com, Top 5 Large Cap Funds for 2025 | Best Mutual Funds | Sanjay Kathuria

Warren Buffet once famously said, "I just think that the best thing to do is buy 90% in S&P 500 index fund." This suggests that large-cap stocks are a safe and reliable option for long-term investment.

The expense ratio for large-cap ETFs is relatively low, with some options as low as 0.03%. This means that investors can keep more of their returns, rather than paying high fees to manage their investments.

Here are a few examples of large-cap ETFs:

Large-cap stocks are comprised of companies with a market cap of $10 billion or higher, making them a safe and reliable option for long-term investment.

International Stock

International stock ETFs can be a great way to diversify your portfolio and tap into global markets.

The Vanguard Emerging Markets ETF, for example, invests in stocks of companies located in emerging markets around the world, such as China, Brazil, Taiwan, and South Africa.

You can also consider the Vanguard Total International Stock ETF, which seeks to track the performance of the FTSE Global All Cap ex US Index, measuring the investment return of stocks issued by companies located outside the United States.

A different take: Fidelity International Etfs

Credit: youtube.com, International Stocks--The Pros and Cons of Investing in Foreign Companies

Some international stock ETFs may have specific themes, like the SPDR MSCI EAFE Fossil Fuel Free ETF, which offers climate-conscious investors exposure to international equities while limiting exposure to companies owning fossil fuel reserves.

If you're looking for a more general international stock ETF, the Vanguard FTSE Developed Markets ETF is a good option, providing a convenient way to match the performance of a diversified group of stocks of large-, mid-, and small-cap companies located in Canada and the major markets of Europe and the Pacific region.

Here are some key characteristics of these ETFs:

Currency Options

When investing in foreign markets, you'll want to consider currency options. Nearly half our free ETFs are U.S.-listed, giving you many options for gaining exposure to the underlying asset class, and to U.S. currency as well. This is a great opportunity to diversify your portfolio.

See what others are reading: Usd Currency Etf

Vanguard

Vanguard is a pioneer in the world of index funds, bringing low-cost investing to the masses as early as 1975.

Credit: youtube.com, Vanguard Index Funds: A Complete Beginner's Guide to Investing

Their innovative approach has attracted over 50 million investors worldwide who trust Vanguard's uncomplicated funds and ETFs.

Vanguard's low-cost funds and ETFs are backed by the world's top providers, including BlackRock (iShares), State Street Global Advisors, and Horizons.

You can choose from a wide range of providers when investing with Vanguard, giving you flexibility and options to suit your needs.

Choose from 6

Choosing the right ETFs can be overwhelming, but it doesn't have to be. Nearly half of the free ETFs are U.S.-listed, giving you many options for gaining exposure to the underlying asset class, and to U.S. currency as well.

You can trade some of the most successful ETFs for free, which is great news for young investors. Firms like Vanguard and Fidelity will let you trade their top-performing ETFs without any commission.

Commission-free ETFs solve a big problem for young investors, who often can't afford the high trade fees associated with ETFs. A $20 per-trade fee can be a barrier to entry for those investing small amounts.

Many brokerages have realized this and eliminated commissions on trades of certain ETFs. This is a game-changer for young investors who want to start building their portfolios.

See what others are reading: How to Trade Etfs

100+

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You've got a lot of options when it comes to building a diversified portfolio, but one of the most attractive is using exchange-traded funds (ETFs). With 100+ commission-free ETFs to choose from, you can take specific positions in different markets without breaking the bank.

You can build a well-diversified portfolio with these ETFs, covering a vast array of asset classes, geographies, industry sectors, capitalization sizes, and currencies.

Frequently Asked Questions

What are commission-free ETFs?

Commission-free ETFs are exchange-traded funds that can be bought and sold without paying a brokerage commission. They offer investors a cost-effective way to trade securities, making them a popular choice in the investment market.

Are Vanguard ETFs commission-free?

Yes, Vanguard ETFs are commission-free when traded online. Enjoy hassle-free investing with no extra fees.

Aaron Osinski

Writer

Aaron Osinski is a versatile writer with a passion for crafting engaging content across various topics. With a keen eye for detail and a knack for storytelling, he has established himself as a reliable voice in the online publishing world. Aaron's areas of expertise include financial journalism, with a focus on personal finance and consumer advocacy.

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