Suze Orman Says Retirement Investors Should Hold This ETF

"You might think that saving for retirement is a huge challenge. But it's not the only challenge you'll face. It's not enough to put money into a retirement account. You also need to figure out how to invest that money so it can grow into a larger sum over time. Remember, through the years, living costs tend to rise due to inflation. You need to invest your retirement savings in a way that's likely to outpace inflation."

"First, it simplifies things. If you're nervous about building your own portfolio of individual stocks, you could instead fall back on an asset like VOO that eliminates the stress and guesswork. Secondly, VOO gives you instant diversification. You're putting your money into the 500 largest public companies today, which means getting exposure to different industries. Finally, you won't be looking at costly fees with VOO. With an expense ratio of just 0.03%, you're paying very little for a solid investment that makes your life easier."

Saving for retirement requires not only contributions but also investing so savings can grow and outpace inflation. Many financial experts recommend stock-market exposure while accumulating retirement wealth, which can be challenging for inexperienced investors. The Vanguard S&P 500 ETF (VOO) tracks the S&P 500, offering exposure to the 500 largest public companies by market capitalization. VOO simplifies portfolio construction, provides instant diversification across industries, and charges a very low expense ratio of 0.03%. VOO can suit many investors seeking a low-cost, diversified core holding for retirement, though investors should still consider risks like market volatility and lack of income guarantees.

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