What Should I Invest in After a Total Market ETF?

So you’ve started investing — maybe you’ve followed the advice to put your first $100 into a Total Stock Market ETF like VTI or SCHB. That’s a great first move. But now you’re wondering…

“What’s next?”

Do you just keep adding more to that ETF forever? Should you diversify further? Is there a “next level” of investing once the basics are covered?

Here’s how I thought about what to invest in after the total market — and how you can build out your portfolio from a strong, simple foundation.

✅ First: Make Sure the Foundation Is Solid

Before you start branching out, ask yourself:

  • Do I have an emergency fund?
  • Am I contributing to a retirement account (401k, Roth IRA)?
  • Have I automated regular contributions to my Total Market ETF?
  • Am I comfortable leaving that money invested for the long term?

If yes, then congrats — you’ve got the hard part down. You’re ahead of most people.

Now let’s talk about what comes next.

🧱 Step 1: Sector or Thematic ETFs (Add a Growth Edge)

If you want to take a little more control of your portfolio, you can layer on exposure to areas you believe in — without picking individual stocks.

Some examples:

  • Technology: QQQ, XLK, or specialized funds like SOXX (semiconductors)
  • Healthcare or Biotech: XLV, ARKG
  • AI and Innovation: ARKQ, AIQ
  • Green energy: ICLN, TAN

I personally added a small allocation to SOXX and ARKG once I had my total market base fully funded.

These carry more risk and volatility, so I only put in 5–10% of my portfolio.

🧱 Step 2: International Exposure (Diversify Globally)

Total U.S. stock market ETFs give you wide coverage, but they’re still focused on one country. If you want global diversification, consider:

  • VXUS – Vanguard Total International Stock ETF
  • VEA / VWO – Developed vs. Emerging markets
  • ACWI – One-fund global exposure (U.S. + international)

U.S. companies are strong, but the global economy matters — and sometimes other regions outperform. I added a bit of VXUS as a long-term hedge.

🧱 Step 3: Bonds or Money Market Funds (Stability & Yield)

Once your equity exposure is solid, you might want to add something more conservative:

  • BND – Vanguard Total Bond Market ETF
  • AGG – iShares Core U.S. Aggregate Bond ETF
  • Money Market Funds – especially useful if you’re saving for a near-term goal

These don’t have the explosive returns of stocks, but they can protect your portfolio during market dips and provide steady income.

🧱 Step 4: Real Assets or Real Estate

If you’re ready to diversify beyond stocks and bonds:

  • REITs like VNQ offer real estate exposure without owning property
  • Commodities (less common, more advanced)
  • Actual real estate — which is what I chose after getting my portfolio automated

I’ve bought three income-producing properties that now generate monthly cash flow — something ETFs don’t provide directly.

🧠 My Portfolio After the Total Market Fund

Once I had my emergency fund + total stock market ETF covered, here’s how I started to layer my investments:

  • 70% – VTI + SCHB (core portfolio)
  • 10% – Tech and innovation ETFs (SOXX, ARKG)
  • 10% – Real estate (REIT + actual rentals)
  • 10% – Bonds and cash

It’s not fancy. It’s not complicated. But it’s working — and it lets me sleep at night.

✅ The Bottom Line

You don’t need to graduate from total market ETFs. You can just build around them.

If you want to expand your portfolio:

  • Start small
  • Stick with index funds
  • Only add complexity when your foundation is strong

Still building your core? No problem. The best move may still be putting more into the fund you already own.

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