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CD's or Vanguard ETF's
January 22, 2026 at
09:21 AM
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Finance
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Last Edited by slicbrat January 22, 2026 at 11:38 AM
For recurring investments, I'm evaluating whether CDs or ETFs (Vanguard or similar) make more sense. I plan to invest on a weekly or monthly basis and prefer not to pick individual stocks. With CD rates currently around 4.5% and trending downward, I'm looking for tax-efficient, long-term, moderately aggressive investment options that carry some risk and have the potential to deliver approximately 6–7% annual returns. What are some options out there and how should I go about it?
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https://www.multpl.com/shiller-pe
Trends can take awhile to break, even when all logical sense says it shouldn't, so it could just keep going and going. That stuff aside, just putting money an ETF tracking the S&P 500 gives you a simple and diversified setup. SPY, IVV and VOO do this.
On SPY, IVV & VOO ETF's would I be taxed for gains when reinvesting occurs? I am not planning on doing any withdrawals for the foreseeable future, 5+ years or more!
https://www.multpl.com/shiller-pe
Trends can take awhile to break, even when all logical sense says it shouldn't, so it could just keep going and going. That stuff aside, just putting money an ETF tracking the S&P 500 gives you a simple and diversified setup. SPY, IVV and VOO do this.
On SPY, IVV & VOO ETF's would I be taxed for gains when reinvesting occurs? I am not planning on doing any withdrawals for the foreseeable future, 5+ years or more!
SPYM has the the lowest expense ratio.
**Open a Roth every year no matter what**
ALL investment gains are tax free.
On SPY, IVV & VOO ETF's would I be taxed for gains when reinvesting occurs? I am not planning on doing any withdrawals for the foreseeable future, 5+ years or more!
With regards to ETFs (and stocks), you only get taxed when you sell. Long term holds (at least one year) like what you want to do are taxed at a lower rate.