---
title: '3 ETFs to Buy Once You Open an Account: The 3-Fund Portfolio!'
source: 'https://youtube.com/watch?v=LQNDvC2qndw'
video_id: 'LQNDvC2qndw'
date: 2026-08-05
duration_sec: 91
---

# 3 ETFs to Buy Once You Open an Account: The 3-Fund Portfolio!

> Source: [3 ETFs to Buy Once You Open an Account: The 3-Fund Portfolio!](https://youtube.com/watch?v=LQNDvC2qndw)

## Summary

This video explains the three-fund portfolio strategy, a simple and effective investment approach suitable for investors of any age. It details the three recommended ETFs (VTI, VXUS, and BND), how to allocate them based on age, and emphasizes that consistent contributions are more important than the initial fund selection.

### Key Points

- **Three-Fund Portfolio Strategy** [00:02] — The three-fund portfolio works for investors in their 20s through 50s. The funds remain the same, but the percentage allocation changes with age.
- **ETF #1: VTI** [00:15] — VTI is the total US stock market ETF, weighted by market cap. It includes every publicly traded US company, with the largest companies like Apple, Nvidia, Amazon, and Google receiving the most weight.
- **ETF #2: VXUS** [00:27] — VXUS is Vanguard's total international ETF, covering about 8,000 companies outside the US. It provides diversification and helps when US stocks underperform.
- **ETF #3: BND** [00:39] — BND is the total US bond market fund. Bonds are not meant to make you rich but to provide stability when stocks drop 30%, as they tend not to fall as much.
- **Age-Based Allocations** [00:52] — In your 20s and 30s, target 70% VTI, 25% VXUS, and 5% bonds (or 0% bonds). In your 40s, increase bonds to 10-15%. In your 50s, 20-25% bonds, and approaching 60, increase further. The same three funds are used for life; only the allocation changes.
- **Only 10% of the Game** [01:21] — The fund selection is only 10% of the game. The remaining 90% is about consistently contributing money to your investment account each month.

### Conclusion

The three-fund portfolio is a simple, low-cost, and diversified investment strategy. The key to success is not just choosing the right ETFs, but consistently investing over time, with the allocation adjusted as you age.

## Transcript

investment account and this strategy will work whether you're in your 20s or in your 50s. I'm talking about the three fund portfolio and while the funds don't change, the percentage of each fund will change as you age. So, I will share the
fund allocations by the end of this video. ETF number one is VTI. This is the total US stock market. So, with this single fund you'll own basically every publicly traded US company and it's weighted by market cap. So, the biggest
companies like Apple, Nvidia, Amazon, Google, etc. will get most of the weighting in the fund. ETF number two is VXUS. This is Vanguard's total international ETF. So, this includes 8,000 companies outside of the United
diversification and can really help your portfolio when US stocks aren't performing well. And number three is BND. This is the total US bond market fund and these aren't really there to make you rich, but bonds are in your
portfolio so that when stocks drop 30% you have something in your portfolio that doesn't. The younger you are, the less bonds you usually need. So, in your 20s and 30s you can target a 70% VTI, 25% VXUS, and 5% bond allocation or
maybe even 0% in bonds. In your 40s you can move that to 10 to 15% in bonds. In your 50s, maybe 20 to 25% and then approaching 60 you can even increase it same three funds you're going to have for your entire life. The only thing
that changes is your allocation. Now, remember that's only 10% of the game. month. So, make sure to do that and also follow me if you want to get better at follow me if you want to get better at investing.