Exchange-traded funds (ETFs) make investing easy. While you may be able to make more money by investing in individual stocks, having a good ETF in your portfolio creates a great deal of both diversification and consistency. Over the long term, the broader market, represented by the S&P 500, has produced steady gains over the decades, with gains of more than 100% in the last five years.

Is this the most exciting investment prospect? Well, not when you compare it to directly investing in a flashy stock like Tesla. But finding investments that track the S&P 500 index helps to minimize risk. Let's talk about one ETF in particular.

Simplicity with strength

The basic investment thesis behind the iShares Core S&P 500 ETF (IVV -0.04%) is straightforward: Over the long term, the U.S. stock market grows. By owning shares in IVV, you gain exposure to all 500 companies in the S&P 500, including industry leaders like Apple, Microsoft, Amazon, and Johnson & Johnson. This broad exposure helps spread out risk. If one sector underperforms, gains in another can help balance it out.

If you're a new investor, or looking to build a strong core for your portfolio, the iShares Core S&P 500 ETF is a solid foundation. You're not betting on any single company to outperform. Instead, you're investing in the idea that the American economy will continue to expand over time, and that the largest companies within it will generally do well. This is a concept that superinvestor Warren Buffett has spoken about for a long time.

A newspaper with a headline on where to invest your money, and a circled subhead reading ETFs.

Image source: Getty Images.

Low cost and reliability

Another reason IVV is so attractive is its cost. With an expense ratio of just 0.03%, it's one of the most affordable ways to gain exposure to the S&P 500. That low fee means more of your money stays invested and working for you, instead of being chipped away by fund management costs.

Over time, small differences in fees can have a significant impact on your total returns. IVV's low cost makes it an efficient way to invest, especially if you're focused on maximizing long-term gains without sacrificing too much to a fund's expenses.

It isn't flashy, but it works

Admittedly, investing in an ETF that tracks the S&P 500 might not be the most exciting strategy. It's not going to provide the kind of dramatic, short-term returns that a hot tech stock like Tesla might offer. But it also doesn't expose you to the same level of risk.

The beauty of IVV lies in its reliability and simplicity. You're not chasing fads or trying to time the market. You're just investing in a broad slice of the U.S. economy and letting time do the work.

A smart building block

All in all, the iShares Core S&P 500 ETF is an ideal investment for those who value simplicity, cost-effectiveness, and long-term performance. IVV has delivered gains of 103% over the last five years; whether you're just starting your investing journey or looking to strengthen your existing portfolio, it offers a proven way to participate in the growth of the U.S. stock market without overcomplicating things. It might not be flashy, but it's smart -- and in investing, smart tends to win over time.