Three Rock-Solid Vanguard ETFs for Building Wealth in 2026

When it comes to achieving financial success, you don’t necessarily need to chase exotic investment strategies or spend countless hours analyzing individual stocks. As the legendary investor Warren Buffett famously noted, extraordinary wealth doesn’t require extraordinary complexity. In fact, a thoughtfully constructed portfolio of affordable, diversified index funds—particularly those from Vanguard—can create surprising results over time. This is exactly where many investors find the rock-solid foundation they need for long-term prosperity.

The Foundation of Passive Investing Excellence

Vanguard has long been recognized as a pioneer in the index fund space, pioneering low-fee investment solutions that work for ordinary investors. The beauty of index-tracking ETFs lies in their simplicity: they capture broad market returns without the hefty fees that drain wealth from portfolios. Whether you’re a beginner just starting your investment journey or someone looking to diversify existing holdings, Vanguard offers numerous options designed to build and preserve wealth systematically.

The company’s commitment to keeping costs minimal means more of your money stays invested and working for you. This philosophy of affordability combined with rock-solid diversification makes Vanguard ETFs an attractive option for the long-term wealth builder.

A Portfolio Built on Three Pillars

Among the dozens of excellent Vanguard products available, three stand out as particularly effective wealth-accumulation tools:

Vanguard Total Stock Market ETF (VTI) serves as a comprehensive exposure tool, tracking an index designed to mirror overall stock market performance. As the single largest Vanguard ETF by assets under management, it boasts an expense ratio of just 0.03%—remarkably affordable by any standard. The simplicity is its strength: as equity markets expand over time, so does your investment.

Vanguard Dividend Appreciation ETF (VIG) takes a different approach by focusing specifically on companies with demonstrated track records of growing their dividend payments. Sophisticated long-term investors understand that current yields matter less than future income potential. With a 0.05% expense ratio, VIG holds quality names like Microsoft and Broadcom—companies that have consistently rewarded shareholders.

Vanguard International High Dividend Yield ETF (VYMI) provides geographic diversification, exposing your portfolio to attractive valuations in developed international markets. Currently trading at meaningful discounts relative to their U.S. counterparts, international dividend payers offer both yield (approximately 3% currently) and potential capital appreciation. Holdings include recognizable blue-chip firms like Nestlé and Toyota, removing the uncertainty of unfamiliar securities.

Real-World Performance: What the Numbers Show

Understanding potential returns helps investors set realistic expectations. While year-to-year volatility is inevitable with equity investments, the long-term picture reveals compelling patterns:

• Vanguard Total Stock Market ETF (since inception in May 2001) has delivered approximately 9.21% annualized returns
• Vanguard Dividend Appreciation ETF (since April 2006) has provided roughly 9.99% annualized returns
• Vanguard International High Dividend Yield ETF (since February 2016) has generated approximately 10.61% annualized returns

These figures represent an overall average of nearly 10% annually. While historical performance provides no guarantee of future results, this context matters significantly for long-term planning.

From Theory to Practice: Your 30-Year Wealth Blueprint

Here’s where the numbers become personally relevant. Consider a practical scenario: investing just $500 monthly at these historical average returns would accumulate to approximately $1 million over three decades. This illustrates the powerful, compound-growth potential built into these rock-solid index funds.

The comparison with active stock picking is also instructive. While The Motley Fool’s research team occasionally identifies individual stocks that vastly outperform market averages—such as their past recommendations of Netflix and Nvidia, which generated extraordinary returns for early investors—such dramatic outperformance proves rare and difficult to predict. Most investors benefit more from the consistency and predictability of diversified index funds than from chasing home-run stocks.

Building Your Wealth Legacy

The core insight remains timeless: building substantial wealth doesn’t require constant trading, market timing expertise, or complex strategies. A foundation of affordable, diversified Vanguard ETFs provides the rock-solid framework most investors need. Combined with disciplined, consistent contributions over decades, these three funds represent accessible tools for transforming modest monthly deposits into meaningful wealth creation.

The journey toward financial independence is more marathon than sprint—and these vehicles are built precisely for that distance.