
3 [Big Mistakes] ETF Investors Make
One of the biggest mistakes ETF investors make is to try and compare two ETFs - like VTO and VTI - using basic past performance measures. The place to start is expense ratios, and both VTI ETF and VOO ETF have the same expenses - just 3 basis points. Where the difference between these two ETFs lies is in the size of the stocks they hold. This begs the question, does VTI outperform given it holds mid / small / micro stocks? The answer is more complex, and a look at past performance over 66 years shows that these two ETFs offer almost the same performance profiles. So which ETF would we hold?…
The skinny
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