Vanguard
Low-cost index investing for long-term buy-and-hold investors
How it works
Vanguard is the pioneer of low-cost index investing and one of the world's largest investment management companies. Its brokerage offers commission-free trading on stocks and ETFs alongside Vanguard's renowned low-cost mutual funds with expense ratios far below industry averages. The platform is purpose-built for long-term, buy-and-hold investors who prioritize low fees and simple portfolio construction over active trading bells and whistles.
Is it right for you?
Consider if you
- You want the absolute lowest expense ratios in the investment industry
- You're a passive index investor with a long-term buy-and-hold philosophy
- You want access to Vanguard's legendary proprietary mutual funds and ETFs
Skip if you
- Active traders wanting a modern, feature-rich trading platform
- Investors who need fractional shares on all stocks, not just Vanguard ETFs
Your money and data
Vanguard Brokerage Services is a division of Vanguard Marketing Corporation, an SEC-registered broker-dealer and FINRA/SIPC member. Your invested assets are SIPC-protected up to $500,000. Vanguard carries excess SIPC coverage through Lloyd's of London syndicates with a $250 million aggregate limit, providing up to $49.5 million per customer for securities and $1.9 million for cash. Cash in Vanguard Cash Deposit is FDIC-insured through partner banks.
Pros & Cons
Pros
- Industry-leading low expense ratios — average 0.07% vs. 0.44% industry average
- 3,100+ no-transaction-fee mutual funds including 160+ Vanguard proprietary funds
- Commission-free stock and ETF trading with no account minimums
Cons
- Basic trading platform not designed for active traders
- High mutual fund minimums — $1,000 for target-date funds, $3,000 for most index funds
- $100 account transfer and closure fee
Pricing details
$0 stock/ETF trades · $1/options contract · $25 annual account fee waived with e-delivery · Mutual fund minimums $1,000 to $3,000
On vanguard.com · We may earn a commission
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