Want to Buy Vanguard Funds? Here’s Where to Get Them. (2024)

If you’re looking to buy mutual funds, you’ve likely heard about Vanguard, the world's largest mutual fund company. Vanguard offers an outstanding roster of high-quality, low-cost mutual funds and exchange-traded funds (ETFs) free of commissions or sales charges (or "loads").

You have two options for buying Vanguard funds—from third-party brokerage houses such as TD Ameritrade or Charles Schwab or through Vanguard’s website directly.

If you already have an account at a third-party brokerage firm that offers Vanguard funds, buying them through your brokerage is the simplest option. However, third-party brokerages may add fees or restrictions associated with these purchases. Here’s how to decide.

Key Takeaways

  • The lowest-cost way to buy Vanguard funds is through Vanguard.
  • Other large brokers offer limited Vanguard funds, usually with fees added.
  • If you already have a broker, it's convenient to add Vanguard funds to your portfolio through it.

Where You Can Buy Vanguard Funds (Besides Vanguard)

Due to the popularity of Vanguard’s mutual funds and ETFs, some large brokerage firms now sell their index funds and ETFs in addition to their own. However, since those firms are also direct competitors of Vanguard, the number of Vanguard funds they offer is often limited. It’s also more expensive. For example, you can buy Vanguard’s flagship index fund, Vanguard 500 Index (VFIAX), through Fidelity, but you’ll pay a transaction fee to get it that way. Fidelity charges a fee because Fidelity 500 Index (FXAIX) is a competing fund with identical holdings. It’s not in Fidelity’s best interest to allow investors to easily buy competitors’ funds at no added cost or fee.

The largest brokerage with the greatest number of Vanguard funds available to investors is TD Ameritrade, which has complex commissions and varying fees on Vanguard funds.

If you buy Vanguard funds from Vanguard directly, you won’t pay those additional costs.

Pros and Cons of Buying Vanguard Funds through Other Brokerages

Buying Vanguard funds at other mutual fund companies or brokerage firms is the same as buying any mutual funds or ETFs from a competing firm. Generally, the pros are about convenience, and the cons focus on fees.

Pros

  • Convenience: Buying from a single brokerage enables you to build your entire portfolio at one company.

  • Easier tracking: Minimizing the number of accounts you own makes it easier to track your holdings.

  • Diversification: Brokerage firms and fund companies have different strengths. For example, Vanguard is great at indexing but doesn't have many actively managed funds.

Cons

  • Cost: Paying a transaction fee every time you buy a mutual fund, or a commission every time you buy shares of an ETF, reduces your net return. It also defeats the primary purpose of buying Vanguard funds—low expenses!

  • Limited choice: While you may find Vanguard funds at other brokerage firms, it’s likely that they won’t offer all of Vanguard’s funds.

Bottom Line

If you want to build a portfolio consisting mainly of Vanguard mutual funds or ETFs, you’ll benefit from investing directly with Vanguard Investments. You’ll also have access to the full range of funds and ETFs that Vanguard offers, and you won’t have to pay additional fees.

Frequently Asked Questions (FAQs)

What are Vanguard's index funds?

Vanguard's index funds are a type of passive investment product that tracks an index. These indexes can be broad, such as the S&P 500 or the Nasdaq. They can also be targeted to capture a specific type of investment or region, or some other goal. By passively tracking an index rather than actively making decisions about the investments, Vanguard's index funds typically have lower fees than active fund alternatives.

How long does it take to buy or sell Vanguard funds?

Vanguard fund trades, like all mutual fund trades, execute once per day after the market closes. Any trades placed within the previous trading window will execute as the fund's new net asset value (NAV) is calculated. There isn't a set time when happens, but you can expect it to happen at some point in the afternoon or evening after the trading day. If someone places a sell order on Monday morning, for example, the sale should be complete by Tuesday morning.

Want to Buy Vanguard Funds? Here’s Where to Get Them. (2024)

FAQs

How do I buy a Vanguard fund? ›

From the Vanguard homepage, search "Buy funds" or go to the Buy funds page. After you log in, you'll see the page below. Scroll to find the account that you'd like to use for your purchase and then select that account.

Where to buy Vanguard mutual funds? ›

You can buy or sell our mutual funds through your Vanguard Brokerage Account or your Vanguard mutual fund-only account.

Where can I buy Vanguard stocks? ›

You must buy and sell Vanguard ETF Shares through Vanguard Brokerage Services (we offer them commission-free) or through another broker (which may charge commissions). See the Vanguard Brokerage Services commission and fee schedules for full details.

How much does Fidelity charge to buy Vanguard funds? ›

Vanguard and Fidelity charge $0 commissions for online equity, options, and ETF trades for U.S.-based customers. Fidelity has a $0.65 per contract option fee; it's $1 at Vanguard.
...
Costs.
FidelityVanguard
Cost per options contract$0.65$1.00
Cost per futures contractNAN/A
Broker-assisted trade fee$32.95$25.00
11 more rows

Can I invest in Vanguard without a broker? ›

You must buy and sell Vanguard ETF Shares through Vanguard Brokerage Services (we offer them commission-free) or through another broker (which may charge commissions).

How much money do I need to open a Vanguard account? ›

Vanguard's account minimum is $0, but keep in mind many mutual funds may require a minimum initial investment. Vanguard funds have minimums that start at $1,000.

Can I purchase Vanguard funds through Fidelity? ›

For example, you can buy Vanguard's flagship index fund, Vanguard 500 Index (VFIAX), through Fidelity, but you'll pay a transaction fee to get it that way.

Can you buy Vanguard funds through Charles Schwab? ›

The $49.95 purchase-only transaction fee remains in place for most non-NTF funds. But retail investors who buy Vanguard, Dodge & Cox, or investor-class Fidelity funds via Schwab will pay more: $74.95. That's 50% higher than what Schwab charges for online trades of other transaction-fee funds.

What is Vanguard's best performing fund? ›

The Best Vanguard Mutual Funds Of January 2023
  • The Best Vanguard Mutual Funds of January 2023.
  • Vanguard LifeStrategy Growth Fund (VASGX)
  • Vanguard FTSE Social Index Fund (VFTAX)
  • Vanguard Dividend Appreciation Index Fund (VDADX)
  • Vanguard Total Stock Market Index Fund (VTSAX)
Jan 3, 2023

How much does it cost to buy stock in Vanguard? ›

Initial purchase: For most funds, $500 for nonretirement accounts and $500 for IRAs. Additional purchases: $500 for any type of account. Dollar-cost-averaging purchases: $100 for any type of account (minimum 2 transactions).

How do I buy S&P 500 stock Vanguard? ›

You can purchase shares for the Vanguard S&P 500 ETF through your broker-dealer or an investing app such as Robinhood. It is also possible to own fractional shares of the ETF by specifying the purchase amount in dollars. The majority of broker-dealers and apps do not charge purchase commission fees.

How much is Vanguard stock? ›

$ 203.63
CloseChgChg %
$203.940.820.40%

Who is better Vanguard or Fidelity? ›

For hands-off, long-term investors, Vanguard stands out from the competition. Fidelity's learning center, real-time trade data and cryptocurrency options make Fidelity a better fit for more advanced traders. But its zero minimum balance requirements may also appeal to new investors just starting out.

Which is better Charles Schwab or Vanguard? ›

In our 2022 Best Online Brokers reviews, Charles Schwab ranked higher than Vanguard overall. However, 2022 also saw Vanguard's ranking take a large leap due to a recalibration that focuses areas of importance as ranked by average investors.

Is there a monthly fee for Vanguard? ›

$5 per month per Participant ($60 per year). The fee is charged for every participant in a plan. It's a flat fee that won't increase as your account assets grow. $20 for each Vanguard mutual fund in each account.

How do I invest in Vanguard for beginners? ›

How to open your account
  1. Decide which mutual funds to buy. Explore different types of mutual funds.
  2. Choose an account type based on your savings goal. Decide which type of account you need.
  3. Open your account online in about 10 minutes. Get started with as little as $1,000.*

Can I invest in Vanguard on my own? ›

Most Vanguard mutual funds have a $3,000 minimum, but you can invest in any Vanguard Target Retirement Fund or Vanguard STAR® Fund with as little as $1,000. (Some funds have minimums greater than $3,000 to protect the funds from short-term trading activity.) The minimum investment for Vanguard ETFs® is $1.

How much does Vanguard charge to withdraw money? ›

Vanguard charges $0 for withdrawal. The withdrawal process is usually executed within 2 days. Vanguard is a reliable broker, regulated by at least one top-tier regulator. You can only withdraw funds to accounts in your name.

Is Vanguard good for beginners? ›

Vanguard funds are some of the best mutual funds for beginners, because of their wide variety of no-load funds with low expense ratios. But even advanced investors and other professionals use Vanguard funds. Once you become more experienced, you may be able to combine several of these Vanguard funds into one portfolio.

Can I withdraw all my money from Vanguard? ›

Withdraw cash - Take all the money from your plan in one payment. Taxes may apply. Set up retirement plan paychecks - Take the money from your plan in periodic payments. Taxes may apply.

Is it worth buying Vanguard? ›

Concluding thoughts. In the areas where it hits, the game is a lot of fun. In certain aspects, Sledgehammer games have been able to reasonably keep the World War II setting feel alive despite many games having used the backdrop. The bugs need fixing, but Call of Duty Vanguard is worth playing in 2022.

Should I have both Vanguard and Fidelity? ›

There's no reason you can't have accounts with both Fidelity and Vanguard (among others). You'll have two (or more) sets of statements to review, multiple phone numbers to remember, several websites to navigate and hundreds of funds to understand and monitor.

Can I buy Vanguard funds through TD Ameritrade? ›

Vanguard maintains multiple agreements with firms such as TD Ameritrade, E-Trade, and Interactive Brokers. As a result, most major brokerages offer their retail clients the opportunity to trade Vanguard mutual funds and exchange-traded funds (ETFs).

Can I buy Vanguard on Robinhood? ›

With fractional shares, those with less to invest can own some of the biggest names. Like Vanguard and many other brokers, Robinhood allows users to trade options.
...
Both brokers offer stocks, ETFs, and options.
VanguardRobinhood
Stocks and ETFsYesYes
Fractional SharesNoYes
OptionsYesYes
Mutual FundsYesNo
5 more rows

Which index fund is better Schwab or Vanguard? ›

Is Charles Schwab better than Vanguard? After testing 17 of the best online brokers over three months, Charles Schwab (94.51%) is better than Vanguard (71.94%).

Does Schwab charge to buy Vanguard ETFs? ›

Online listed stock and ETF trades at Schwab are commission-free. Online options trades are $0.65 per contract. Service charges apply for automated phone trades ($5) and broker-assisted trades ($25) for stocks, ETFs, and Options.

Is Charles Schwab cheaper than Vanguard? ›

Trading costs and commissions

For mutual funds, Vanguard is significantly cheaper, while options traders would save money with Schwab. Mutual fund investors should keep in mind that these costs apply only to some funds. Both brokers offer a long list of mutual funds that can be traded with no transaction fee.

What Vanguard fund is best for retirees? ›

Here are the underlying funds as of January 2023 (all Investor Shares):
...
  • Vanguard International Growth Fund – 9.30%
  • Vanguard Windsor Fund – 8.00%
  • Vanguard PRIMECAP Fund – 6.40%
  • Vanguard Explorer Fund – 3.90%
Jan 12, 2023

What is a good Vanguard portfolio? ›

What are the best performing Vanguard funds? Based on 10-year average annual returns, the top-performing Vanguard fund is the actively managed U.S. large-cap growth fund (VWUSX) at 20.74%. The passively managed large-cap growth index fund (VIGAX) comes in second with 19.32%.

What Vanguard funds pay the highest dividends? ›

Vanguard Dividend ETFs Paying The Highest Dividends
  • High Dividend Yield ETF (VYM)
  • Dividend Appreciation ETF (VIG)
  • International High Dividend Yield ETF (VYMI)
  • Utilities ETF (VPU)
  • Real Estate ETF (VNQ)

What percentage does Vanguard take? ›

*Vanguard average expense ratio: 0.09%. Industry average expense ratio: 0.49%.

How do beginners buy stocks? ›

One of the best ways for beginners to learn how to invest in stocks is to put money in an online investment account, which can then be used to invest in shares of stock or stock mutual funds. With many brokerage accounts, you can start investing for the price of a single share.

How long does it take to buy stock Vanguard? ›

The standard two-day settlement process applies. For example, if your extended-hours order to buy is executed on Monday, the 23rd of the month, the settlement date is Wednesday the 25th, and payment is due at that time.

How much does it cost to buy Vanguard S&P 500? ›

Vanguard 500 Index Fund has an expense ratio of 0.04 percent.

What is the minimum investment for Vanguard S&P 500? ›

There is no dollar value minimum investment for Vanguard's ETFs, however, the minimum investment for any market participant is the cost of one share.

How much do I need to invest in Vanguard s& p 500? ›

Investors make an initial minimum investment — typically around $3,000 — and pay annual costs to maintain the fund, known as an expense ratio, based on a small percentage of your cash invested in the fund.

How many times a year does Vanguard pay dividends? ›

So Vanguard's massive portfolio of dividend payers is a big advantage here. On the ASX, it is the norm to pay out dividends bi-annually, or every six months. But this fund takes this a step further. Investors in this ETF typically enjoy a dividend distribution every three months.

Who holds the most shares of Vanguard? ›

Top 10 Owners of American Vanguard Corp
StockholderStakeShares owned
Congress Asset Management Co. LLP2.68%792,520
Cruiser Capital Advisors LLC2.64%779,954
Heartland Advisors, Inc.2.43%718,076
Geode Capital Management LLC1.68%496,944
6 more rows

Who owns the largest share of Vanguard? ›

Unlike other investment management companies, we don't have shareholders or a private ownership group. Vanguard is the only investment management company owned by its investors*—you and more than 30 million Vanguard investors worldwide. That keeps us consistently focused on investor needs first.

What company is bigger than Vanguard? ›

BlackRock Funds top the list in terms of assets held by a single fund family, followed by other familiar names such as Vanguard, Charles Schwab, State Street Global Advisors, and Fidelity Investments.

Who are vanguards biggest competitors? ›

The Vanguard Group competitors include Edward Jones, BlackRock, TIAA, AQR and Artisan Partners Asset Management.

What is the most trustworthy investment company? ›

25 Most Trusted Financial Companies By IBD Trust Index Rating
RankCompanyQuality
1USAA88.5
2Vanguard86.9
3Primerica86.5
4Fidelity Investments80.1
21 more rows
Aug 29, 2022

Can you trust Vanguard? ›

Yes. Vanguard is a trusted leader in low-cost investing due to low expense ratios on index and exchange-traded funds. Its founder, Jack Bogle, invented index funds. Its services are ideal for buy-and-hold and retirement investors looking to build wealth over the long term.

Is Vanguard good for long term investment? ›

As a broker, Vanguard is best suited for long-term or retirement savers, investors who prefer low-cost investment vehicles, and investors who are comfortable investing primarily through index funds and exchange-traded funds (ETFs).

How to buy Vanguard index funds? ›

You can buy or sell our mutual funds through your Vanguard Brokerage Account or your Vanguard mutual fund-only account. If you buy or sell via a bank transfer, your bank account should be debited or credited within 2 business days.

How do I buy S&P 500 Vanguard? ›

You can purchase shares for the Vanguard S&P 500 ETF through your broker-dealer or an investing app such as Robinhood. It is also possible to own fractional shares of the ETF by specifying the purchase amount in dollars. The majority of broker-dealers and apps do not charge purchase commission fees.

What is the cheapest way to buy Vanguard funds? ›

The lowest-cost way to buy Vanguard funds is through Vanguard. Other large brokers offer limited Vanguard funds, usually with fees added. If you already have a broker, it's convenient to add Vanguard funds to your portfolio through it.

Can I just invest in Vanguard? ›

Most Vanguard mutual funds have a $3,000 minimum, but you can invest in any Vanguard Target Retirement Fund or Vanguard STAR® Fund with as little as $1,000. (Some funds have minimums greater than $3,000 to protect the funds from short-term trading activity.) The minimum investment for Vanguard ETFs® is $1.

What is the most successful Vanguard fund? ›

1. Vanguard S&P 500 UCITS ETF (VUSA. L) Best for: Anyone who wants exposure to the largest companies on the US stock market.

Does Vanguard charge a monthly fee? ›

$5 per month per Participant ($60 per year). The fee is charged for every participant in a plan. It's a flat fee that won't increase as your account assets grow. $20 for each Vanguard mutual fund in each account.

What is the most profitable Vanguard fund? ›

The Best Vanguard Mutual Funds Of January 2023
  • The Best Vanguard Mutual Funds of January 2023.
  • Vanguard LifeStrategy Growth Fund (VASGX)
  • Vanguard FTSE Social Index Fund (VFTAX)
  • Vanguard Dividend Appreciation Index Fund (VDADX)
  • Vanguard Total Stock Market Index Fund (VTSAX)
Jan 3, 2023

What are the cons of Vanguard? ›

Vanguard offers free stock/ETF trading, and some bonds are also free to trade. Non-trading fees are also low. On the negative side, financing rates and some mutual fund fees are high.
...
Vanguard review. Fees.
ProsCons
• No inactivity fee• High margin rates
• Free stock and ETF trading• High fees for non-free mutual funds
1 more row

Can you make a lot of money from Vanguard? ›

If you're able to invest a little more each month or let your money grow for a few more years, you could earn even more than $2 million. Say, for example, you're investing $600 per month in the Vanguard S&P 500 ETF earning a 15% annual rate of return.

Which Vanguard equity fund is best? ›

7 best Vanguard funds to buy and hold:
  • Vanguard Balanced Index Fund Admiral Shares (VBIAX)
  • Vanguard Wellington Fund Investor Shares (VWELX)
  • Vanguard S&P 500 ETF (VOO)
  • Vanguard 500 Index Fund Admiral Shares (VFIAX)
  • Vanguard Total Stock Market ETF (VTI)
  • Vanguard Total International Stock ETF (VXUS)
Dec 8, 2022

How safe are Vanguard funds? ›

Investing with Vanguard is as safe as it gets with any online provider and being covered by the Financial Services Compensation Scheme you can get back up to £85,0000 should Vanguard cease trading for any reason. Vanguard UK is also authorised and regulated by the Financial Conduct Authority.

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