5 low-cost index ETFs that crush the market have been my obsession lately, seriously. I’m sitting here in my cluttered apartment in suburban Chicago – it’s December 19, 2025, freezing rain tapping on the window, I’ve got this sad leftover pizza from last night staring at me, and yeah, I’m geeking out over my brokerage app again. Like, who am I anymore? Back in my 20s, I was blowing cash on dumb stuff like concert tickets and overpriced craft beer, convinced I’d “figure out money later.” Fast forward, and one embarrassing moment sticks out: I once YOLO’d into some meme stock in 2021 because Reddit said so, lost like 40% in a week, and had to eat ramen for a month. Total clown move. That pain flipped a switch – I dove into boring-but-brilliant index investing, and these low-cost index ETFs that crush the market saved my portfolio from my own stupidity. REIT ETFs https://mba.tuck.dartmouth.edu/pages/faculty/ken.french/data_library.html
Anyway, don’t get me wrong, the plain old S&P 500 is solid, but these picks? They’ve been straight-up outperforming in ways that make me grin like an idiot when I check returns. I tilt toward factors like small-cap value because history shows they can beat the broad market long-term, even if it’s bumpy. Here’s my chaotic list of 5 low-cost index ETFs that crush the market, based on what I’ve lived through this year.
Why Low-Cost Index ETFs That Crush the Market Are My Jam REIT ETFs
Man, fees used to eat me alive in those early active fund days – I didn’t even notice until I crunched numbers one hungover Sunday. Now? These low-cost index ETFs keep more money compounding for me. They’re passive, diverse, and yeah, some tilt to areas like small caps or value that historically crush broad indexes over decades. But full disclosure: past performance isn’t future, and 2025’s been wild with rate cuts and all. My portfolio dipped hard early this year when tech cooled, and I panicked a bit, refreshing charts every hour like a maniac. Lesson learned (again): stay the course. REIT ETFs https://investor.vanguard.com/etf/profile/VTI
My Top Pick for Broad Exposure: VTI (Vanguard Total Stock Market ETF)
VTI is basically the whole US market in one cheap wrapper – large, mid, small caps, everything. Expense ratio? A ridiculous 0.03%. It’s crushed for me because it captures those small-cap upsides without me picking stocks. This year, while mega-caps dominated again, VTI held its own and gave me that full diversification feel. I remember adding more during a dip last summer, hands shaking because the news was all doom – turned out fine, obviously. If you’re lazy like me, VTI is a set-it-and-forget-it beast among low-cost index ETFs that crush the market. Check it out on Vanguard’s site: https://investor.vanguard.com/etf/profile/VTI.
How VTI Fits My Flawed Strategy REIT ETFs
- Super low cost means more for compounding.
- Beats just S&P sometimes when small/mid shine.
- But yeah, it lags in mega-cap years – contradictions, amirite?
The Small-Cap Value Beast: AVUV (Avantis U.S. Small Cap Value ETF)
Okay, AVUV is my guilty pleasure tilt. Expense 0.25% – still dirt cheap – and it actively picks profitable small value stocks passively (kinda). Small-cap value has this premium that’s crushed markets long-term, per Fama-French research. In 2025, with rates dropping, small caps perked up, and AVUV smoked broader indexes for stretches. I loaded up after reading too many Bogleheads threads, feeling smug… until it lagged early. Embarrassing? Yep, I almost sold. Glad I didn’t. For anyone wanting low-cost index ETFs that crush the market via factors, AVUV’s gold. More at Avantis: https://www.avantisinvestors.com/content/avantis/en/investments/avantis-us-small-cap-value-etf.html.
Dividend Powerhouse That Holds Up: SCHD (Schwab U.S. Dividend Equity ETF)
SCHD’s my “sleep better” holding – focuses on quality dividend growers, expense 0.06%. It doesn’t always crush total returns, but in down markets? Beast mode, lower drawdowns. Yield around 3.5-4%, way above S&P. This year, when everything wobbled, SCHD barely flinched while I stress-ate chips on the couch. Personal story: Started with it after a job scare, needing that income vibe. It’s not pure “crush” like growth, but for total real-world wins? Yes. Schwab details: https://www.schwabassetmanagement.com/products/schd.
Quick Bullets on Why SCHD Feels Like Cheating
- Insane low volatility for equity.
- Dividends reinvest like magic.
- Crushed in bear phases I’ve survived.
Tech-Heavy Crusher: QQQM (Invesco NASDAQ-100 ETF)
QQQM’s the cheaper version of QQQ (0.15% expense), pure Nasdaq 100 tech/growth. It’s crushed everything lately – AI boom, you know. 2025? Still riding high on Nvidia and pals. I have a chunk because, honestly, FOMO from missing earlier runs. But it’s volatile – dropped hard in corrections, and I white-knuckled it, muttering curses at my screen. If you believe in innovation crushing markets, this low-cost index ETF version delivers. Invesco link: https://www.invesco.com/us/etf/product-detail?audienceType=Investor&ticker=QQQM.
The Ultimate Broad Crusher: VOO (Vanguard S&P 500 ETF)
Can’t ignore VOO – 0.03% expense, tracks S&P 500. It’s the benchmark, but mega-caps make it crush averages sometimes. Simple, effective, and in 2025’s environment, it’s been steady Eddie. I hold it as core, but tilt elsewhere for potential extra crush. Vanguard: https://investor.vanguard.com/etf/profile/VOO. https://www.schwabassetmanagement.com/products/schd
Wrapping This Ramble: Are These Low-Cost Index ETFs That Crush the Market Right for You? REIT ETFs
Whew, that was a lot – my brain’s fried, and this rain won’t stop. These 5 have crushed for me through mistakes, panics, and wins, but your mileage varies. I’m no pro, just a flawed American trying not to screw up retirement. Do your homework, maybe chat a fiduciary advisor.
Start small, pick one or two that vibe with you, DCA in consistently. What’s your fave low-cost crusher? Drop thoughts below – let’s chat like real people. Stay warm out there. https://investor.vanguard.com/etf/profile/VOO
