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Is Vanguard Industrials Index Admiral (VINAX) a Strong Mutual Fund Pick Right Now?
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Looking for a Mutual Fund Equity Report fund? You may want to consider Vanguard Industrials Index Admiral (VINAX - Free Report) as a possible option. The fund does not have a Zacks Mutual Fund Rank, though we have been able to explore other metrics like performance, volatility, and cost.
History of Fund/Manager
Vanguard Group is based in Malvern, PA, and is the manager of VINAX. Vanguard Industrials Index Admiral made its debut in September of 2004, and since then, VINAX has accumulated about $233.61 million in assets, per the most up-to-date date available. The fund is currently managed by Walter Nejman who has been in charge of the fund since December of 2015.
Performance
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 8.55%, and is in the middle third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3-year annualized total return of 17.69%, which places it in the middle third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. The standard deviation of VINAX over the past three years is 20.53% compared to the category average of 23.04%. Over the past 5 years, the standard deviation of the fund is 22.62% compared to the category average of 23.98%. This makes the fund less volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. VINAX has a 5-year beta of 1.13, which means it is likely to be more volatile than the market average. Because alpha represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. With a negative alpha of -3.18, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Investigating the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is primarily on equities that are traded in the United States.
Currently, this mutual fund is holding 82.01% stock in stocks, which have an average market capitalization of $61.40 billion. The fund has the heaviest exposure to the following market sectors:
Industrial Cyclical
Technology
Turnover is 4%, which means this fund makes fewer trades than the average comparable fund.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, VINAX is a no load fund. It has an expense ratio of 0.10% compared to the category average of 0.91%. From a cost perspective, VINAX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $100,000 and that each subsequent investment needs to be at $1.
Bottom Line
This could just be the start of your research on VINAXin the Mutual Fund Equity Report category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.
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Is Vanguard Industrials Index Admiral (VINAX) a Strong Mutual Fund Pick Right Now?
Looking for a Mutual Fund Equity Report fund? You may want to consider Vanguard Industrials Index Admiral (VINAX - Free Report) as a possible option. The fund does not have a Zacks Mutual Fund Rank, though we have been able to explore other metrics like performance, volatility, and cost.
History of Fund/Manager
Vanguard Group is based in Malvern, PA, and is the manager of VINAX. Vanguard Industrials Index Admiral made its debut in September of 2004, and since then, VINAX has accumulated about $233.61 million in assets, per the most up-to-date date available. The fund is currently managed by Walter Nejman who has been in charge of the fund since December of 2015.
Performance
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 8.55%, and is in the middle third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3-year annualized total return of 17.69%, which places it in the middle third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. The standard deviation of VINAX over the past three years is 20.53% compared to the category average of 23.04%. Over the past 5 years, the standard deviation of the fund is 22.62% compared to the category average of 23.98%. This makes the fund less volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. VINAX has a 5-year beta of 1.13, which means it is likely to be more volatile than the market average. Because alpha represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. With a negative alpha of -3.18, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Investigating the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is primarily on equities that are traded in the United States.
Currently, this mutual fund is holding 82.01% stock in stocks, which have an average market capitalization of $61.40 billion. The fund has the heaviest exposure to the following market sectors:
- Industrial Cyclical
- Technology
Turnover is 4%, which means this fund makes fewer trades than the average comparable fund.Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, VINAX is a no load fund. It has an expense ratio of 0.10% compared to the category average of 0.91%. From a cost perspective, VINAX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $100,000 and that each subsequent investment needs to be at $1.
Bottom Line
This could just be the start of your research on VINAXin the Mutual Fund Equity Report category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.