Five Popular ETFs That Robinhood Traders Hold in Multiples of Different Exposures

Retail investors have become increasingly influential in shaping market dynamics. According to BlackRock, retail traders now account for nearly one-fifth of average daily U.S. stock trading activity—a dramatic shift from the low single-digit percentages seen before the COVID-19 pandemic. The rise of commission-free trading platforms like Robinhood has been instrumental in democratizing market access, and analyzing what these investors are buying provides valuable insights into market sentiment.

Robinhood publishes regular data on its 100 most-owned stocks and exchange-traded funds (ETFs). By tracking which investments Robinhood investors consistently accumulate, we can identify the ETFs that resonate most with this demographic. These five standout ETFs, which rank prominently on the platform, reveal how retail investors are building their portfolios in multiples of strategic asset classes.

The Foundation Strategy: S&P 500 Exposure Through VOO and SPY

The most heavily owned ETFs on Robinhood are the Vanguard S&P 500 ETF (VOO) and State Street’s SPDR S&P 500 ETF Trust (SPY). While managed by different institutions, both provide identical market exposure: access to approximately 500 large-cap U.S. stocks spanning all major sectors through the S&P 500 benchmark.

Most investors seeking broad market participation do so via the S&P 500. When traders mention building an “overweight U.S. stocks” position, they’re typically executing this strategy through one of these two ETFs. ETFs have become the preferred vehicle for market exposure because they bundle dozens or hundreds of stocks into a single, low-cost, easily tradable instrument.

However, the index has undergone meaningful structural changes. The “Magnificent Seven” artificial intelligence stocks now comprise an outsized portion of the index, leading many analysts to question whether the S&P 500 remains as diversified as historically claimed. Some investors worry that if these mega-cap tech names struggle, the entire index suffers. Others anticipate capital rotation into previously undervalued segments of the market. Early 2026 has shown signs of this rotation, though questions remain about whether the broader market can sustain growth independent of AI dominance.

This concentration means S&P 500 investors should adopt a long-term perspective and practice systematic investing through dollar-cost averaging—adding consistent amounts at regular intervals regardless of market conditions.

International Diversification: Expanding Beyond U.S. Borders

Many Robinhood traders recognize that concentrating exclusively in U.S. equities creates unnecessary risk. Two Vanguard ETFs address this through international exposure: the FTSE Developed Markets ETF (VEA) and FTSE Emerging Markets ETF (VWO).

The Developed Markets ETF (VEA) grants investors access to large-, mid-, and small-cap stocks across established markets in Canada, Europe, and the Pacific region. With a passively managed structure and minimal expense ratios, nearly 52% of holdings are European-based companies, while approximately 35% focuses on Pacific-region stocks. Top holdings include ASML Holding, Samsung Electric, and Roche Holding. These developed economies typically offer more stable, mature growth profiles compared to emerging markets.

The Emerging Markets ETF (VWO) takes on higher risk in exchange for greater long-term growth potential. It holds baskets of stocks from China, Brazil, Taiwan, South Africa, and similar developing economies. However, emerging markets remain vulnerable to government intervention, political shifts, and sudden policy changes that can dramatically alter economic conditions. Taiwan Semiconductor Manufacturing represents the largest holding at nearly 11% of the fund, while Tencent Holdings and Alibaba Group round out the top positions.

With U.S. equities trading at premium valuations, allocating a meaningful but not excessive portion of one’s portfolio to international equities—particularly VEA—can provide exposure to markets trading at more reasonable multiples with stronger growth potential ahead.

Income Generation: Vanguard’s Total Bond Market ETF

For investors seeking regular income rather than capital appreciation, the Vanguard Total Bond Market ETF (BND) offers exposure to investment-grade U.S. dollar bonds. These are high-quality, stable instruments that generate semi-annual interest payments, making them ideal for those with medium- to long-term time horizons seeking dependable cash flow.

The 60-40 portfolio model—60% stocks and 40% bonds—has long represented a balanced allocation between growth and stability. The BND ETF would serve as the fixed-income anchor for this strategy. The fund maintains substantial government bond holdings while diversifying across investment-grade corporate bonds rated from AAA to BBB. With an average coupon of 3.8% and a 5.7-year average duration, BND provides meaningful yield without excessive volatility.

Rethinking Portfolio Multiples: How to Allocate Across These Five ETFs

The popularity of these five ETFs on Robinhood reflects a thoughtful approach to portfolio construction in multiples of diversified holdings. Rather than concentrating capital in a single strategy, sophisticated retail investors are building positions across multiple asset classes and geographies.

The optimal allocation depends on individual risk tolerance and investment timeline. Younger investors with decades before retirement might emphasize VOO/SPY and emerging markets exposure through VWO, accepting higher volatility in exchange for growth. Conservative investors approaching retirement might increase BND allocations and favor developed markets through VEA over emerging markets.

The key insight is that these five ETFs, when held in complementary multiples, create a comprehensive portfolio architecture. The lesson for Robinhood investors is clear: building wealth requires thinking in multiples of different exposures rather than placing all bets on a single investment vehicle.