4 ETFs Are All You Need for a Well-Rounded Retirement Portfolio

Investing for retirement doesn't have to be, and shouldn't be, hard. You don't have to spend lots of time researching and investing in individual companies; you can just rely on exchange-traded funds (ETFs). ETFs can provide instant diversification and the returns investors need to help accomplish financial security in retirement. Here are the only four types of ETFs you need for a well-rounded retirement portfolio.

The S&P 500 tracks the largest 500 U.S. public companies and is one of the most popular indexes in the stock market. Considering the number of companies, their sizes, and their diversity, the S&P 500 is often considered a reflection of the market as a whole. Rarely are people's sentiments of the market opposite of how the S&P 500 is doing.

Large-cap funds like the S&P 500 should be a core part of anyone's retirement portfolio. Due to the size of large-cap companies, they generally have more resources and money to weather down periods in the market, so they're more stable than smaller companies. With this stability comes less chance for hypergrowth, but you don't want the bulk of your portfolio in riskier investments.

Source Fool.com