<prompt> Human: Im a constant lurker here, but am looking for the right diversification for long term investing. I am 27. Looking for low expense ratios and higher risk. Would you recommend ETFs or Index Funds? Which funds and percentages would make for the best portfolio? FYI: Vanguard since its easier to open and manage with my 401K being through them for work. These are investments in addition to my 401K. Edit: I would like it to be hands off.Assistant: Vanguard total stock market index fund. Diversified, very low ER, and simple. If you invest over 10k, you qualify for admiral shares VTSAX, .04 ER. I would recommend one of their target retirement funds, which would automatically reallocate the stocksbonds split to match your desired risk profile as you age. Human: Thank you! Ive heard of the total stock market index, Ill look into it. Would you considered 100 of this diversified enough? I have a target date fund for my 401K that is performing well, so I would rather be invested in something else for this.  <response>: Yeah, VTSAX is diversified enough, it owns like 3600 different stocks. It is 100 stocks though, which means it will do poorly when the market does poorly because, well, it is the market. 