7 Low-Cost Index Funds and 7 Low-Cost Index ETFs

Low-cost index funds make high expense ratios a thing of the past.
Alana Benson
By Alana Benson 
Published
Edited by Pamela de la Fuente

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Looking to invest in a diversified fund without a steep price tag? Look no further than low-cost index funds. These funds offer a basket of securities for a very minimal fee.

Top-rated low-cost index funds

The lowest-cost index fund may not be the best performing index fund. Be sure to weigh other factors such as market capitalization and sector focus when evaluating index funds. It’s also important to remember that past performance does not indicate future performance.

Symbol

Fund name

Expense ratio

FXAIX

Fidelity 500 Index

0.01%

FSKAX

Fidelity Total Market Index

0.01%

SWPPX

Schwab S&P 500 Index

0.02%

WFSPX

iShares S&P 500 Index

0.03%

SWTSX

Schwab Total Stock Market Index

0.03%

VFIAX

Vanguard 500 Index

0.04%

VIGAX

Vanguard Growth Index Fund Admiral Shares

0.05%

Data current as of April 3, 2023. This data is for informational purposes only.

Top-rated low-cost index ETFs

Some of the cheapest index funds out there are actually exchange-traded funds, or ETFs. ETFs often track indexes just like index funds do, but they tend to have lower investment minimums (the amount of money you have to have in order to start investing in a fund). They also tend to have slightly lower expense ratios.

Learn more about index funds vs. ETFs

Symbol

Fund name

Expense ratio

VXF

Vanguard Extended Market ETF

0.02%

IVV

iShares Core S&P 500 ETF

0.03%

ITOT

iShares Core S&P Total U.S. Stock Market ETF

0.03%

SCHB

Schwab U.S. Broad Market ETF

0.03%

SCHX

Schwab U.S. Large-Cap ETF

0.03%

SPTM

SPDR Portfolio S&P 1500 Composite Stock Market ETF

0.03%

VOO

Vanguard S&P 500 ETF

0.03%

Data current as of April 3, 2023. This data is for informational purposes only.

Methodology

To find the lowest-cost index funds we analyzed the index funds that appear on Morningstar’s list of the best index funds, meaning funds that have earned their highest rating, and sorted them from lowest to highest expense ratios.

To find the lowest-cost index exchange-traded funds we analyzed the index funds that appear on Morningstar’s list of the best index funds, meaning funds that have earned their highest rating, and sorted them from lowest to highest expense ratios.

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