Vanguard exchange-traded funds (ETFs) offer a range of options for investors to build their portfolios. They make investing in a range of assets at once easy. But what are the top Vanguard ETFs?
Here, we’ll run through the top Vanguard ETFs on InvestEngine’s platform, from investing in the US with the S&P 500 to funds that span the globe.
What is a Vanguard ETF?
A Vanguard ETF is a low-cost investment fund you can buy and sell on the stock market. Each fund holds a mix of assets (usually shares or bonds) and tracks an index like the FTSE 100 or S&P 500.
Vanguard is known for offering simple, low-fee funds that help investors spread their money across many companies or countries in one go.
You can invest in Vanguard ETFs through InvestEngine with no commission.
Why Vanguard ETFs remain popular with UK investors in 2025
Vanguard ETFs continue to be a top choice in 2025 for five key reasons:
- Low fees: Most charge under 0.25%, helping more of your money stay invested.
- Built-in diversification: A single ETF can give you access to hundreds of global stocks.
- Tax efficiency: Ideal for ISAs and SIPPs, with no capital gains tax on growth inside the wrapper.
- Trusted brand: Vanguard has a long track record and investor-first approach.
- Easy to access: With InvestEngine, you can invest from just £1 using AutoInvest or Savings Plans.
Remember that investments can go up and down in value, so you could get back less than you put in.
Top Vanguard ETFs for 2025 (Quick List)
Here are the top 5 Vanguard ETFs on InvestEngine*.
- Vanguard S&P 500 (VUAG) – One of the most popular ETFs on InvestEngine. Designed to track the US market, S&P 500 ETFs can be an important part of a global portfolio.
- Vanguard FTSE All-World (VWRP) – A broad ETF, offering exposure to a diverse range of companies across both developed and emerging markets worldwide.
- Vanguard FTSE Developed World (VHVG) – A broad selection of companies from developed markets around the world, including a diverse range of industries and regions.
- Vanguard FTSE Emerging Markets (VFEG) – Similar to VHVG, but this time a broad range of large and mid-size companies from emerging markets around the world.
- Vanguard FTSE 100 (VUKG) – A UK focused ETF. This ETF seeks to track the performance of the FTSE 100 Index and is comprised of large‑sized company stocks in the UK.
*Top ETFs calculated by most bought (by number of clients) between July 2024 and July 2025.
Global Equity: Top Vanguard ETFs for Broad Market Exposure
For those looking for truly diversified investing, global equity ETFs can provide broad market exposure.
These are the top Vanguard ETFs with a global approach on InvestEngine:
- Vanguard FTSE All-World (VWRP) – This broad ETF is the most popular global Vanguard ETF on the InvestEngine platform.
- Vanguard FTSE All-World High Dividend Yield (VHYL) – Similar to VWRP, but this ETF looks to track an index that includes a wide range of global companies known for paying above‑average dividends.
- Vanguard FTSE All-World (VWRL) – Also similar to VWRP, but this ETF pays out income quarterly, rather than reinvesting any gains.
All-world ETFs tend to be popular among those looking for global diversification. They are spread across geographies and industries, not relying too heavily on any one instance of either.
Dividend & Income: Top Vanguard ETFs for Yield Seekers
For some investors, dividends and income are the most important factor when building a portfolio.
Vanguard income ETFs offer access to dividend-paying companies. There are two standout Vanguard dividend ETFs on InvestEngine’s platform. They are:
- Vanguard FTSE All-World High Dividend Yield (VHYL) – This ETF seeks to track the performance of an index that includes a range of companies known for paying above‑average dividends.
- Vanguard FTSE All-World High Dividend Yield (VHYG) – Similar to the above, but this ETF accumulates, rather than paying an income.
Of these two dividend ETFs, the choice ultimately comes down to when you expect to need access to any returns you make.
ESG: Top Sustainable Vanguard ETFs for 2025
Environmental, social and governance (ESG) considerations have become a fixture in investing over the last 20 years.
Here are the top Vanguard ESG ETFs on the InvestEngine platform:
- Vanguard ESG Global All Cap (V3AB) – This ETF invests in global companies that meet specific environmental, social, and governance criteria.
- Vanguard ESG Global All Cap (V3AM) – Same as above, but this ETF pays out an income, rather than accumulating.
- Vanguard ESG Global Corporate Bond (V3GS) – Corporate bonds issued by companies from around the world that meet environmental, social, and governance (ESG) criteria.
How ESG investing works
ESG screening in ETFs is the process of including or excluding companies from funds based on certain environmental, social and governance criteria.
There tends to be two main types of ESG screening:
- Exclusionary screening – this method aims to exclude companies, geographies, industries or assets based on specific ESG criteria. An example would be fossil fuel companies.
- Inclusionary screening – this method proactively invests in companies with particularly strong ESG records, or those working hard to improve their rating.
Here’s Vanguard’s breakdown of how it works in their ESG funds.
Defensive Picks: Bonds & Low-Volatility Vanguard ETFs
Bonds are, generally, seen as lower risk investments when compared to equities (shares). As a result, investors often use bond ETFs as defensive picks, to solidify a portfolio and lower volatility.
Here are the top Vanguard bond ETFs on InvestEngine’s platform:
- Vanguard Global Aggregate Bond (VAGS) – This ETF invests in a diversified portfolio of global bonds, including government and corporate bonds.
- Vanguard Global Aggregate Bonds (VAGP) – Similar to VAGS but this ETF pays an income, rather than accumulating.
- Vanguard UK GILT (VGOV) – This ETF is designed to track the performance of UK government bonds, also known as gilts. By investing in this ETF, you are essentially lending money to the UK government in return for interest payments.
The appeal of bonds is often that they behave differently to equities. So, in times of market turbulence, the bond market is seen as something of a safe haven.
As with any investment, there is risk involved in investing in bonds, but they tend to be lower volatility than their equity counterparts.
Example Vanguard ETF Portfolios by Risk Level
Different investors will have different goals. So, as a result, everyone’s portfolio is likely to be a little different.
Here are three different risk profiles and the ETFs an investor might use to create that risk profile:
Higher risk – chasing returns
For those chasing high returns, a higher degree of risk will be necessary. So, investors looking for growth above all else will want to focus on equity markets, like the S&P 500 and perhaps invest in themes like AI or blockchain.
Medium risk – balanced approach
For investors seeking a balanced approach, the portfolio they choose tends to feature both bonds and equities. So, they might want to take an ETF that covers an equity market, like the S&P 500, along with some bonds to help lower the overall risk level of the portfolio.
Lower risk – targeting steady growth
In this example, we’re imagining an investor that’s targeted a lower-risk approach to their portfolio. So, an investor may want to include ETFs from the Defensive Picks, with perhaps one global ETF in play to diversify their exposure.
These examples are presented purely for illustrative purposes only. This communication is provided for general information and should not be construed as advice. If in doubt you may wish to consult a professional adviser for guidance.
How to buy Vanguard ETFs easily with InvestEngine
Looking to invest in Vanguard ETFs? InvestEngine makes it simple, low-cost, and flexible — perfect whether you’re just starting or building a larger portfolio.
Why use InvestEngine?
✅ No trading fees or platform fees
Buy and sell Vanguard ETFs commission-free, so more of your money stays invested.
✅ Powerful tools
With InvestEngine, you have the tools to see exactly what you’re invested in and make changes with ease.
✅ Automate everything
Set up a Savings Plan to invest regularly with ease. Just choose how often and how much you want to invest.
✅ Your choice of account
Invest through an ISA, SIPP, GIA or Business Account — with no platform fees on DIY portfolios.
Start investing in Vanguard ETFs the easy way
Capital at risk. T&Cs apply.
In summary
It’s never been easier to invest in Vanguard ETFs with InvestEngine. You can get started easily, paying absolutely no commission or platform fees for DIY portfolios.
Whether you want to be more aggressive and chase returns, or more defensive with lower-risk picks like bonds, there’s a Vanguard ETF to suit the needs of most investors.
Important information
Capital at risk. The value of your portfolio with InvestEngine can go down as well as up. You may get back less than you invest. Past performance is not a reliable indicator of future results.
ETF costs apply. This communication is for general information only and does not constitute personal advice.
Tax treatment depends on your personal circumstances and may change in future.