Top Investor Names the Best Vanguard ETFs to Buy for 2026 (and VOO Isn’t Included)

Desperate times call for desperate measures, and many investors are actively seeking calmer waters. The family of Vanguard ETFs, each of which combines numerous holdings into a single investment, can offer a healthy measure of protection against catastrophic losses triggered by the failure of an individual company.

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Not all Vanguard ETFs are created equal, however. The firm offers a wide range of funds – from those carrying minimal risk to others that aim to deliver market-beating alpha (though the potential for losses must also be acknowledged).

Risk-averse investors might want to laser in on those options clocking in on the lower side of the variance ledger.

But which ones make the most sense? Top investor Todd Shriber has you covered.

“Pinpointing exactly when a market crash could materialize is difficult, but finding portfolio protection is easy thanks to these Vanguard ETFs,” posits the 5-star investor, who is among the top 3% of stock pros covered by TipRanks.

The first option that Shriber spotlights is the** Vanguard Tax-Exempt Bond ETF **VTEB -0.26% ▼ , which is comprised solely of investment-grade municipal bonds. While noting that bonds are a smart way to protect oneself against “market calamity,” he argues that it still pays to be “selective.”

On that note, Shriber likes the municipal option, which he calls an “often boring corner of the bond market.” As an intermediate-term fund, VTEB checks that box. Its average duration of 7.2 years means that it is often less volatile than both short- and long-term bond vehicles.

Municipal bonds also tend to be exempt from federal taxes (and sometimes even state and local ones). Shriber also points out that VTEB enjoys other perks, as it is both “broad-based and cost-effective,” with close to 10,000 municipal bonds (its AUM is more than $41 billion) and an expense ratio of 0.03%.

“Boring is beautiful,” emphasizes Shriber when describing VTEB.

The next option that the investor highlights is the **Vanguard U.S. Minimum Volatility ETF **VFMV -0.83% ▼ . As the name implies, VFMV is made up of “minimum volatility” equities.

VFMV focuses on “defensive sectors,” including consumer staples, real estate, and utilities. Shriber cautions that VFMV doesn’t provide foolproof protection against losses, though he also notes that this ETF has the potential to outperform peers when the market tanks.

VFMV has almost $400 million in AUM, and its beta of 0.55 reflects the potential for some alpha as well. Though “low-vol” ETFs tend to be passively managed, that’s not the case with VFMV (which has an expense ratio of 0.13%).

“That’s potentially positive for investors because if volatility accelerates quickly, the fund’s managers can be more responsive than index-based rivals,” Shriber adds.

In short, VTEB and VFMV are great options for those investors looking to minimize their risks and “protect their portfolio,” sums up Shriber. (To watch Shriber’s track record, click here)

Disclaimer: The opinions expressed in this article are solely those of the featured investor. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

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