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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};ge("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat($n)),notifLabel:document.querySelector(".".concat(Xn))};t.notifDropdown&&so(e,t)}))}()}};]]>Reuben Gregg Brewer, The Motley FoolSat, January 10, 2026 at 4:40 PM GMT+1 6 min readWarren Buffett has long recommended that investors simply buy the S&P 500 index.Vanguard S&P 500 ETF is one of the lowest-cost choices for tracking the S&P 500 index.Invesco S&P 500 Equal Weight ETF offers a slightly different approach to tracking the S&P for those concerned about this potential index flaw.10 stocks we like better than S&P 500 Index ›Warren Buffett earned the nickname the Oracle of Omaha because of his investment track record. He has recently stepped down as the CEO of his investment vehicle, Berkshire Hathaway, but that doesn't change the value of the remarkably successful investor's advice.Buffett's advice? Most investors should just buy the S&P 500 index (SNPINDEX: ^GSPC) and hold forever. Two options for achieving this are Vanguard S&P 500 ETF (NYSEMKT: VOO) and Invesco S&P 500 Equal Weight ETF (NYSEMKT: RSP). Here's what you need to know.The key fact to understand about the S&P 500 index is that it isn't actually meant to track the stock market. The actual purpose of the index is to track the U.S. economy. The hand-selected list of approximately 500 stocks comprises large and economically significant U.S. businesses spanning all major industries. The reason Buffett likes the S&P 500 index so much is that it grows along with the U.S. economy, which has a long history of steady expansion behind it.Image source: The Motley Fool.There are some nuances to understand. For starters, the stocks are selected by a committee. So there is material human influence on and oversight of the index. The companies are not selected because they are performing well, per se, but because they are large and economically important. That fact, combined with the purposeful inclusion of various business sectors, means there will always be a mix of strongly performing and underperforming stocks in the index.The most important nuance, however, is that the index is market-cap weighted. That means the largest companies will have the greatest impact on the S&P 500's performance. This is both a positive and a negative. On the positive side, a small number of strongly performing stocks can lead the index higher. On the negative side, a small number of poorly performing stocks can cause the index to decline. Which is why you should consider two S&P 500 index alternatives before making a final decision.Any investment that fully tracks the S&P 500 index is doing the same exact job. Because of this, investors should focus on the costs and benefits of the specific investment asset. Exchange-traded funds have very low costs and can be traded throughout the day, which gives them an edge over mutual funds that can only be traded at the end of the day. As for the costs, Vanguard S&P 500 ETF's 0.03% expense ratio is as close to free as you are likely to find on Wall Street.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P Futures6,970.50 -34.50 (-0.49%)Dow Futures49,511.00 -215.00 (-0.43%)Nasdaq Futures25,741.00 -197.25 (-0.76%)Russell 2000 Futures2,623.80 -13.10 (-0.50%)VIX14.49 -0.41 (-2.75%)Gold4,580.00 +79.10 (+1.76%)Trending tickersBTC-USD Bitcoin USD 91,637.08 +1,102.55 (+1.22%)SI=F Silver Mar 26 82.72 +3.38 (+4.26%)GC=F Gold Feb 26 4,580.00 +79.10 (+1.76%)IREN IREN Limited 46.03 +0.35 (+0.77%)NQ=F Nasdaq 100 Mar 26 25,741.00 -197.25 (-0.76%)PortfolioSign in to access your portfolioSign inTop gainersNBY NovaBay Pharmaceuticals, Inc. 19.16 +12.41 (+183.85%)CGON CG Oncology, Inc. 54.20 +12.27 (+29.26%)BE Bloom Energy Corporation 134.07 +30.20 (+29.07%)KRMN Karman Holdings Inc. 106.22 +22.23 (+26.47%)WRBY Warby Parker Inc. 28.30 +5.05 (+21.72%)Top losersAYI Acuity Inc. 325.55 -51.14 (-13.58%)SGHC Super Group (SGHC) Limited 10.50 -1.41 (-11.84%)HPP Hudson Pacific Properties, Inc. 9.72 -1.26 (-11.48%)CVI CVR Energy, Inc. 22.97 -2.82 (-10.93%)MOD Modine Manufacturing Company 125.14 -15.30 (-10.89%)Most activeINTC Intel Corporation 45.55 +4.44 (+10.80%)OPEN Opendoor Technologies Inc. 7.28 +0.83 (+12.88%)NVDA NVIDIA Corporation 184.83 -0.21 (-0.11%)ONDS Ondas Holdings Inc. 13.69 -0.32 (-2.28%)PLUG Plug Power Inc. 2.1900 -0.1300 (-5.60%)Top economic eventsEarnings eventsMy earnings eventsEarnings events