What's Warren Buffett's favorite fund manager? It's almost certainly Vanguard. He has bought only two exchange-traded funds (ETFs) for Berkshire Hathaway's portfolio. Vanguard runs the fund with more of Berkshire's money invested. Buffett also revealed years ago that he recommended that much of the cash his family inherits be invested in a Vanguard S 500 index fund.

Income investors have several great options within Vanguard's lineup of funds. Three of them especially stand out, in my opinion. Investing $10,000 in each of these three Vanguard ETFs could generate $1,164 per year in passive income.

The Vanguard High Dividend Yield ETF's (NYSEMKT: VYM) name tells you what you need to know about the fund's goal. It attempts to track the performance of the FTSE High Dividend Yield index, which includes stocks with high dividend yields.

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Source Fool.com