1 Tech Index Fund Could Turn $150 Per Month Into $700,000

• The S&P 500 has returned an mean annualized summation of much than 12% implicit the past 20 years.

• This ETF has the highest 10-year returns of immoderate Vanguard ETF.

• Over a longer clip period, the gains are lower, but they inactive bushed the S&P 500.

• 10 stocks we similar amended than Vanguard Information Technology ETF ›

Investing successful scale funds is an fantabulous mode to payment from semipermanent marketplace gains. Tapping into the powerfulness of the broader market, which has gained 75% implicit the past 3 years and astir 12% annualized implicit the past 20 years, helps you turn your wealth safely and protects your portfolio from short-term ups and downs.

But you tin instrumentality that up a notch by investing successful exchange-traded funds (ETFs) that way maturation and tech stocks. These are often safer alternatives to risky tech stocks, and they tin assistance you scope millionaire status. In fact, if you put conscionable $150 monthly successful the Vanguard Information Technology ETF (NYSEMKT: VGT), there's a important accidental you could person astir $700,000 successful 30 years.

The accusation exertion (IT) ETF has conscionable implicit 300 components and invests crossed a wide scope of technology. That's a ample organisation that offers steadfast diversification and protects your money. Because it's centered astir ample tech stocks, it's increasing faster than a modular S&P 500 ETF. In fact, it has the highest 10-year returns of immoderate Vanguard ETF, with an mean annualized instrumentality of much than 22% implicit the past decade.

However, looking further back, implicit aggregate marketplace cycles, the ETF has an mean annualized summation of conscionable implicit 14% since its inception successful 2004.

If you commencement with lone $150 and put the aforesaid magnitude monthly, and the IT ETF continues to make this mean summation -- a much realistic instrumentality complaint implicit longer timeframes -- you would person astir $700,000 aft 30 years, earlier accounting for taxes. There's nary warrant the money tin support this up, but it gives you a consciousness of the powerfulness of investing successful this tech ETF.

Before you bargain banal successful Vanguard Information Technology ETF, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Vanguard Information Technology ETF wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

Consider erstwhile Netflix made this database connected December 17, 2004... if you invested $1,000 astatine the clip of our recommendation, you’d person $474,578!* Or erstwhile Nvidia made this database connected April 15, 2005... if you invested $1,000 astatine the clip of our recommendation, you’d person $1,141,628!*