When it comes to investing, wisdom from the late Jack Bogle remains relevant years after his death. The founder of Vanguard, now one of the world’s largest money managers, focused on developing index funds with ultra-low costs. He advised investors not to time the market, meaning sell during a crash and buy when it’s rising. With that guidance in mind, we asked Wall Street experts to name the five investment funds you really need. 1. U.S. stocksFor U.S. stocks that provide steady high returns, Richard M. Rosso, director of financial planning at RIA Advisors, suggests the Vanguard Equity-Income Fund Admiral Shares (VEIRX). “You’re getting large-cap companies and focus on undervalued stocks with hefty dividends,” he says. This approach to U.S. stocks also avoids “roller-coaster” returns, meaning huge up-and-down swings in returns, which could stress out many people in retirement.The fund posted double-digit returns over six years between 2016 and 2025. It only lost money in one year, 2018. Even better, the annual expense for holding the fund was a mere 0.17%.2. U.S. bonds “In the long term, bonds are a ballast to a portfolio,” says Sam Stovall, chief investment strategist at CFRA. In other words, having fixed income as part of your holdings will help stabilize the fund’s performance. “Things that work in the past end up working in the future.”Stovall recommends the iShares Core U.S. Aggregate Bond ETF (AGG). The ETF’s holdings are overwhelmingly (99.99%) investment grade, which generally means the fund’s components are not high-risk investments. However, recent returns through mid-September have been weak, with a loss of almost 1%. That loss likely reflects the current inflation surge and drop in government bond prices. The cost of holding the fund is a tiny 0.03%.3. Emerging market stocksForeign stocks are worth a look, says Todd Rosenbluth, head of research at VettaFi. He points to the Vanguard FTSE Emerging Markets Index ETF (VWO). The holdings include strong companies such as Taiwan Semiconductor Manufacturing (TSM), Alibaba Group Holding (BABA) and Tencent Holdings (TCEHY). “Here you get broad diversification, and market cap weighting in the holdings,” Rosenbluth says. Recent returns have also been strong. Over the last three years through mid-September, the fund has returned an annualized 17.4%. The fund expenses are low at 0.06%.4. Commodities (Image credit: Getty Images)Alternative investments also matter because they tend to move in different cycles than stocks. Notably, commodities are a useful addition to a portfolio in relatively small portions. Rosenbluth suggests the ABRDN Bloomberg All Commodity Longer Dated Strategy K-1 Free ETF (BCD). “Here you get diversification in energy, precious metals, and agricultural products,” he says. It’s also relatively cheap, with an annual expense ratio of 0.3%.One benefit of commodities is the tax on profits known as K1, which Rosenbluth says is “a better tax experience.” It tends to mean lower payments to the Treasury. Commodity returns can be volatile. Over the last 12 months, especially after oil prices skyrocketed, the fund was up 34% through to mid-September. 5. Real estateStovall suggests another alternative investment: Real estate. As many of us know, the price cycle for this asset tends to move up and down over the years. He suggests including a small portion of a portfolio in this asset. He suggests picking the Vanguard Real Estate Index Fund ETF (VNQ). From 2018 through 2025, it lost money in only two years. This year through mid-September, the fund gained 8.9%. The expenses are also low at 0.13%.Choosing the right mix of stocks, bonds and alternative investments depends on your financial goals, risk tolerance and time horizon. A financial adviser can help you build a diversified portfolio that balances growth opportunities with long-term stability.Use the tool below to connect with a vetted financial professional:Note: This item first appeared in Kiplinger Retirement Report, our popular monthly periodical that covers key concerns of affluent older Americans who are retired or preparing for retirement. Subscribe for retirement advice that’s right on the money.Related Content5 Core Stocks Every Investor Should Own in 2026 and BeyondBest Stocks to Buy NowHow to Invest in Stocks as a Beginner: A Guide
The Only 5 Investment Funds You Really Need, According to Wall Street Experts
