Treasury Approves VTI, VOO and BND for New Child Investment Accounts
VTI•The Treasury Department confirmed that child investment accounts created under new legislation can hold specific ETFs, including Vanguard Total Stock Market ETF (VTI), S&P 500 ETF (VOO) and Vanguard Total Bond Market ETF (BND). This guidance clarifies permitted fund allocations for the inaugural child account program.
1. Treasury Clarifies ETF Options for New Child Accounts
The Treasury Department has released a list of approved exchange-traded funds for the newly established child investment accounts under recent legislation. Permitted investments include broad-market vehicles such as Vanguard Total Stock Market ETF (VTI) and S&P 500 ETF (VOO), alongside fixed-income exposure via Vanguard Total Bond Market ETF (BND). Account holders will be able to allocate tax credit payments across these options, providing diversified equity and bond market access from the program’s launch.
