Where to invest $2,000 in Vanguard ETFs in March

These top funds offer exposure to some of the world's fastest-growing economies.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

A new month often gives investors a reason to revisit their portfolios and think about where to put fresh money to work.

For those who prefer a simple approach, exchange-traded funds (ETFs) can be a great way to build diversified exposure to global markets without needing to pick individual stocks.

If I had $2,000 to invest in Vanguard ETFs right now, these are two I would consider.

A casually dressed woman at home on her couch looks at index fund charts on her laptop.

Image source: Getty Images

Vanguard FTSE Asia Ex-Japan Shares Index ETF (ASX: VAE)

Asia is home to some of the world's fastest-growing economies, and I think many long-term investors remain underexposed to the region.

The Vanguard FTSE Asia Ex-Japan Shares Index ETF provides broad access to major markets across Asia, including China, Taiwan, India, South Korea, and Southeast Asia.

Through a single ETF, investors gain exposure to hundreds of stocks operating across industries such as technology, financials, manufacturing, and consumer goods.

Many of the world's most important semiconductor manufacturers, technology suppliers, and emerging consumer brands are based in this part of the world. As incomes rise and digital adoption continues to grow across the region, these businesses could benefit from powerful structural tailwinds over time.

For investors aiming to build a globally diversified portfolio, adding some exposure to Asia can help balance the heavy weighting that many portfolios already have toward the United States and Australia.

Vanguard US Total Market Shares Index AUD ETF (ASX: VTS)

While global diversification is important, it's also hard to ignore the scale and innovation coming from the United States.

The Vanguard US Total Market Shares Index ETF gives investors exposure to thousands of companies across the entire US share market. That includes the mega-cap technology giants most investors are familiar with, but also mid-sized and smaller companies that help drive the broader US economy.

The US market remains home to many of the world's most influential businesses across technology, healthcare, consumer brands, and financial services. It is also one of the most innovative economies globally, with companies consistently investing in new technologies and industries.

By investing in the Vanguard US Total Market Shares Index ETF, investors gain exposure to this enormous and dynamic market through a single ETF.

Foolish Takeaway

If I were allocating $2,000 today, I'd consider spreading the investment evenly across both of these Vanguard ETFs.

That approach would provide exposure to both developed and emerging markets, combining the strength of the US economy with the long-term growth potential of Asia.

Overall, for investors looking to build a diversified global portfolio, I think these two Vanguard ETFs could be a simple place to start.

Motley Fool contributor Grace Alvino has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ETFs

Man holding fifty Australian Dollar banknotes in his hands, symbolising dividends.
Dividend Investing

Own A200 or other Betashares ASX ETFs? Dividends just announced

Show us the money!

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Dividend Investing

Own ASX VAS or other Vanguard ETFs? Dividends just announced

Vanguard has just announced estimated dividends for a slew of its ASX ETFs.

Read more »

ETF spelt out.
ETFs

Why I'm planning to make this my biggest ASX ETF holding

This fund has a number of pleasing positives…

Read more »

A male investor sits at his desk looking at his laptop screen holding his hand to his chin pondering whether to buy Macquarie shares
ETFs

3 fantastic ASX ETFs to buy and hold after the selloff

These funds could be worth considering after recent weakness. Let's find out why.

Read more »

Robot hand and human hand touching the same space on a digital screen, symbolising artificial intelligence.
ETFs

Meet the newest humanoid robotics ASX ETF from Global X

This new fund targets global robotics.

Read more »

Five happy young friends on the coast, dabbing and raising their arms in the air.
Share Market News

5 of the best ASX ETFs to buy in April

These funds give you low-cost exposure to local and global growth leaders.

Read more »

Concept image of man holding up a falling arrow with a shield.
ETFs

This ASX ETF is perfect for an uncertain world

With uncertainty on the rise, I think investors should consider this ETF...

Read more »

A young man wearing glasses writes down his stock picks in his living room.
ETFs

3 brilliant ASX ETFs to buy after the market selloff

Market volatility has dragged some quality ETFs lower this year.

Read more »