Warren Buffett, who recently stepped down as CEO of Berkshire Hathaway, is now passing the company leadership to Greg Abel. Even though he’s retired, the lessons he’s imparted over the years will continue to influence investors. There’s a wealth of information about his investment preferences from his past statements that can guide us today.
Berkshire Hathaway’s largest holdings currently include major names such as Apple, American Express, Bank of America, Coca-Cola, and Chevron. Buffett tends to focus on companies with solid cash flows, strong balance sheets, competitive advantages, and intrinsic value.
Interestingly, if he were to invest in ETFs, what might that look like?
To answer that, we’d need to dive into his history and public statements to spot potential ETF choices. Some comments he made in the past lead me to think that there’s a particular Vanguard ETF he might opt for.
Buffett has always emphasized a straightforward approach to investing, highlighting the importance of low fees and long-term horizons. He reinforced this philosophy in a letter to shareholders back in 2013.
In discussing the future of his estate, which will be inherited by his wife, he suggested a classic method:
“My advice to trustees could not be simpler. Put 10% of your cash in short-term Treasuries and invest 90% in a very low-cost S&P 500 index fund. (Vanguard is recommended.)”
My previous writings noted how this effectively endorses the Vanguard S&P 500 ETF (NYSEMKT: VOO), which represents the 90% in the 90/10 strategy. Now, let’s examine the ETF that aligns with the 10% slice of that portfolio.
The ETF likely to catch Buffett’s eye would be the Vanguard 0-3 Month Treasury Bill ETF (NASDAQ:VBIL). It follows the Bloomberg U.S. Treasury Bill 0-3 Month Index, focusing on U.S. Treasury bills with short maturities. As of early January 2026, it offers a dividend yield of 3.67% and has a low expense ratio of 0.07%.
While it may not be the most thrilling fund, it aligns with Buffett’s investing philosophy quite well. True to Vanguard’s reputation, this is among the most affordable ETFs available. Buffett often advises looking for such options while they’re still accessible.
From Berkshire’s overall strategy, it’s clear that Buffett values maintaining liquidity to seize opportunities when they present themselves or to stand back when investments don’t feel attractive. Pairing a Treasury ETF with an S&P 500 ETF allows investors to keep some cash on hand for when stock prices drop to enticing levels.
Don’t overlook the returns on Treasury bills. While yields have dipped from the 5% they saw a couple of years ago, a current yield of around 3.7% still represents a solid, risk-free option. In the post-COVID-19 landscape, holding these bills has become a sensible strategic move for diversifying portfolios, enabling reasonable returns above inflation even while not directly investing in stocks.
To wrap things up, Buffett’s recent insights suggest he would likely opt for two types of ETFs: the undervalued S&P 500 ETF and the Treasury Bill ETF. The Vanguard S&P 500 ETF stands out as a leading choice for this particular market segment. When combined with the Vanguard 0-3 Month Treasury Bill ETF, which he has indicated he might set up for his wife, it presents a solid investment strategy.
If you’re thinking about buying shares in the Vanguard Institutional Index Fund – 0-3 Month Treasury Bill ETF, keep the following in mind:
Our analysts at Motley Fool have pinpointed what they consider to be the top stocks to invest in right now, and interestingly, the Vanguard Institutional Index Fund – 0-3 Month Treasury Bill ETF isn’t included. There are other stocks that seem poised for strong returns in the coming years.
For context, think about major names like Netflix or Nvidia from past recommendations. Investing in those could have yielded remarkable returns had you put in as little as $1,000 back then.
It’s essential to note that Stock Advisor’s average return has significantly outperformed the S&P 500. So, if you’re looking to invest, it might be worth joining a community built for retail investors.
*Stock Advisor will return on January 17, 2026.
Bank of America is an advertising partner of Motley Fool Money. American Express is an advertising partner of Motley Fool Money. I have a position at Apple. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway, Chevron, and Vanguard S&P 500 ETFs. The Motley Fool has Disclosure policy.
One Vanguard ETF that Warren Buffett’s recent comments suggest you should buy now
The One Vanguard ETF That Warren Buffett’s Recent Comments Indicate He Would Purchase Immediately
Warren Buffett, who recently stepped down as CEO of Berkshire Hathaway, is now passing the company leadership to Greg Abel. Even though he’s retired, the lessons he’s imparted over the years will continue to influence investors. There’s a wealth of information about his investment preferences from his past statements that can guide us today.
Berkshire Hathaway’s largest holdings currently include major names such as Apple, American Express, Bank of America, Coca-Cola, and Chevron. Buffett tends to focus on companies with solid cash flows, strong balance sheets, competitive advantages, and intrinsic value.
Interestingly, if he were to invest in ETFs, what might that look like?
To answer that, we’d need to dive into his history and public statements to spot potential ETF choices. Some comments he made in the past lead me to think that there’s a particular Vanguard ETF he might opt for.
Buffett has always emphasized a straightforward approach to investing, highlighting the importance of low fees and long-term horizons. He reinforced this philosophy in a letter to shareholders back in 2013.
In discussing the future of his estate, which will be inherited by his wife, he suggested a classic method:
My previous writings noted how this effectively endorses the Vanguard S&P 500 ETF (NYSEMKT: VOO), which represents the 90% in the 90/10 strategy. Now, let’s examine the ETF that aligns with the 10% slice of that portfolio.
The ETF likely to catch Buffett’s eye would be the Vanguard 0-3 Month Treasury Bill ETF (NASDAQ:VBIL). It follows the Bloomberg U.S. Treasury Bill 0-3 Month Index, focusing on U.S. Treasury bills with short maturities. As of early January 2026, it offers a dividend yield of 3.67% and has a low expense ratio of 0.07%.
While it may not be the most thrilling fund, it aligns with Buffett’s investing philosophy quite well. True to Vanguard’s reputation, this is among the most affordable ETFs available. Buffett often advises looking for such options while they’re still accessible.
From Berkshire’s overall strategy, it’s clear that Buffett values maintaining liquidity to seize opportunities when they present themselves or to stand back when investments don’t feel attractive. Pairing a Treasury ETF with an S&P 500 ETF allows investors to keep some cash on hand for when stock prices drop to enticing levels.
Don’t overlook the returns on Treasury bills. While yields have dipped from the 5% they saw a couple of years ago, a current yield of around 3.7% still represents a solid, risk-free option. In the post-COVID-19 landscape, holding these bills has become a sensible strategic move for diversifying portfolios, enabling reasonable returns above inflation even while not directly investing in stocks.
To wrap things up, Buffett’s recent insights suggest he would likely opt for two types of ETFs: the undervalued S&P 500 ETF and the Treasury Bill ETF. The Vanguard S&P 500 ETF stands out as a leading choice for this particular market segment. When combined with the Vanguard 0-3 Month Treasury Bill ETF, which he has indicated he might set up for his wife, it presents a solid investment strategy.
If you’re thinking about buying shares in the Vanguard Institutional Index Fund – 0-3 Month Treasury Bill ETF, keep the following in mind:
Our analysts at Motley Fool have pinpointed what they consider to be the top stocks to invest in right now, and interestingly, the Vanguard Institutional Index Fund – 0-3 Month Treasury Bill ETF isn’t included. There are other stocks that seem poised for strong returns in the coming years.
For context, think about major names like Netflix or Nvidia from past recommendations. Investing in those could have yielded remarkable returns had you put in as little as $1,000 back then.
It’s essential to note that Stock Advisor’s average return has significantly outperformed the S&P 500. So, if you’re looking to invest, it might be worth joining a community built for retail investors.
*Stock Advisor will return on January 17, 2026.
Bank of America is an advertising partner of Motley Fool Money. American Express is an advertising partner of Motley Fool Money. I have a position at Apple. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway, Chevron, and Vanguard S&P 500 ETFs. The Motley Fool has Disclosure policy.
One Vanguard ETF that Warren Buffett’s recent comments suggest you should buy now
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