Investing Cage Match: SPY vs. VTI - Who'll Win Your Portfolio's Heart?

Are you intending to invest in index funds but seeking the one that suits your needs the most?

Let’s get into two of the most popular index ETFs: SPY vs. VTI.

SPY: SPDR S&P 500 ETF Trust

The main focus of SPY is to track the 500 large-cap stocks of the United States, known as the S&P 500 index.

VTI: Vanguard Total Stock Market ETF

Like SPY, VTI has large-cap stocks, but it includes small and mid-cap companies, which makes the portfolio well-diversified.

VTI is the better option if you are a daily trader who likes to keep things moving and is not averse to taking bigger risks.

SPY is the way to go if you are a conservative investor who doesn’t like to take too many risks. If we look into the recent statistics, SPY is preferred by most investors because of its reliability.

VTI rates are quite low compared to SPY. According to Forbes, the difference in rates is now pulling investors from SPY, forcing them to shift  to VTI.

Many analysts consider VTI the best because of its low expense ratio compared to other ETFs.

Depending on your financial goals and personal preferences as an investor, investing in either SPY or VTI can be a good choice.