Zachary Evens: More than 1,000 ETFs will launch in the United States this year. Many are expensive and have questionable long-term merit, though. Excellent long-term-oriented ETFs are increasingly hard to find among the rapidly expanding crop of new ETFs.
Some new ETFs still stand out. Those that charge competitive fees, are run by reputable firms and managers, and follow a sound process are easy additions to the core of most investors’ portfolios. The ETFs highlighted here check each of those boxes and go a step further by following an investment process well proven elsewhere. Let’s jump into it.
3 Great New ETFs From 2025
- Vanguard Total Inflation-Protected Securities ETF VTP
- Capital Group High Yield Bond ETF CGHY
- RACWI US ETF RAUS
First up is Vanguard Total Inflation-Protected Securities ETF, which trades under the ticker VTP. It charges just 5 basis points annually and earns a Silver Morningstar Medalist Rating.
This is a straightforward passive ETF that captures nearly all of the TIPS market. The index it tracks holds TIPS with at least one year remaining to maturity and at least $300 million in outstanding face value. The index weights selected bonds by their market value, excluding amounts held by the Federal Reserve to reflect the amount available to the public.
This ETF’s strategy has been around for a long time in other forms. Its index has history dating back nearly two decades, and iShares TIPS Bond ETF, ticker TIP, tracks the same index. What makes Vanguard’s version great is that it charges only 5 basis points, 13 basis points cheaper than the iShares ETF. That’s a small difference, but it matters in this low-risk, low-return segment.
Next up is Capital Group High Yield Bond ETF, ticker CGHY. This actively managed ETF charges 39 basis points annually and also earns a Silver Morningstar Medalist Rating.
While the ETF is just a few months old, its sibling mutual fund has been around for decades. The American High-Income Trust AHITX follows a very similar strategy and has earned excellent returns in recent years following a strategy shift in late 2020 to focus on the midquality portion of the high-yield bond universe. The ETF focuses on the same section of the high-yield bond market and is run by some of the same managers, so investors in each vehicle should experience similar outcomes.
Capital Group has carefully waded into the ETF marketplace, launching several successful ETFs that follow similar strategies to proven mutual funds under their American Funds branding. This ETF stands a good chance at being the firm’s next success story.
Last but not least is RACWI US ETF, which trades under the ticker RAUS and sits in the large-blend Morningstar Category. It is the newest ETF showcased here, having launched in September, and it will likely cost 15 basis points once its fee waiver expires. But for now, it’s free!
Like the other two, this ETF follows an investment process similar to those found elsewhere. While Research Affiliates is a relative newcomer to ETFs, its strategies have been well-used by a variety of investors for decades. This ETF is the firm’s latest iteration and just the second ETF bearing the Research Affiliates name.
The ETF is not a carbon copy of the Research Affiliates Fundamental Indexes that came before it. This one still highly values a stock’s fundamentals, but it weights holdings by market capitalization. Silver-rated Schwab Fundamental U.S. Large Company ETF, ticker FNDX, tracks a RAFI fundamentally weighted index, for example. That fund is designed to lean further into the small-size and value risk factors than this one. RAUS should deliver returns that hew closer to the market, perhaps with a slight quality tilt in the portfolio.
Shown here, new does not have to mean unproven. Each of these ETFs come from firms with decades of experience running successful investment strategies. They might be a new take on prior concepts, but each stands out for their own long-term investment merits. And in a sea of new ETFs with questionable long-term merit, investors could do worse than these three great new ETFs.
Read Next: Be Careful When Buying New ETFs
Editor’s Note: Morningstar Medalist Ratings and fund expense ratios are as of Sept. 30, 2025.
