Disclaimer: This is not financial advice, and I am not a licensed financial advisor. I’m only sharing some information on what has worked for me. This is not a suggestion for you to buy hold or sell any stock, ETF or index fund.
Opened your Account now what?
Once you open your account with a broker the next big hurdle is what to invest in. You will hear just invest in a good etf and set it and forget it. Or buy a share or shares in a Blue Chip company on a set schedule. That’s definitely not bad advice but when you’re new, you may not know exactly what an etf is let alone a good one and if it’s right for you and your investment plan. My first post, Beginner Investing Tips explains what an etf is. However, you still probably don’t know which one to start with, and there are many different types. VTI, VYM, DGRO, and SCHD, are some very good ones that all pay a dividend and perform well. The only one I don’t have is Voo. VTI is in my taxable account and DGRO, SCHD, and VYM is in my Roth IRA.
ETFs to Consider
Disclaimer: This is not financial advice, and I am not a licensed financial advisor. I’m only sharing some information on what has worked for me.
- VTI – Consists of the total stock market based on the Nasdaq so it’s growth and tech stock heavy. Currently in the $200 range.
- VOO – Similar to VTI but a higher price and based on the S&P 500. Currently in the $400 range.
- DGRO – Growth Index fund from Blackrock. Has a mixture of growth and some value stocks. Currently it’s in the $50 range.
- SCHD – Mainly Value stocks it pays a good dividend its currently in the $70 range.
- VYM – Dividend Growth etf. Currently in the $100 range. Similar to VTI but not nearly as many holdings.
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Stock Market Sectors
When choosing an etf to invest in the sector that’s largely represented in the etf is an important factor. If your portfolio is already tech heavy it’s not a good idea to invest in too many tech heavy etfs. It’s better to have a balance of sectors in your portfolio so when one sector is down the other sector may be up. This way you limit the times when your entire portfolio is in the red.
Sectors
Each sector contains companies in the related business area. There are many sub-sectors within the broad sectors which are listed here. There are some stocks such as Paypal and Sofi which span sectors. They are in both the Tech and Finance sectors.
- Technology
- Healthcare
- Finance
- Consumer Discretionary
- Energy
In Webull you can look at the top 10 stocks that an Etf consists of. This has been very helpful to me in figuring out which etf to purchase and which account to add it to. My current goal for this year is to get into an etf with international exposure. To accomplish this, I’m looking at VYMI, Vanguard International High Dividend Yield Index etf. It tracks High dividend yield non-US companies.
If you need to open an account you can get up to 75 FREE Fractional Shares by opening & funding a Webull brokerage account using my link.
To further your research, the ETF Comparison Tool on etf.com is a great place to do some ETF research and comparisons. The site also has tons of information and news on Etfs and stocks. You can search for free.
That’s it for this post hope this has been helpful to you.
