Looking for a Mutual Fund Equity Report fund? You may want to consider Vanguard Small-Cap Index Admiral (VSMAX Quick QuoteVSMAX - 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 VSMAX. Since Vanguard Small-Cap Index Admiral made its debut in November of 2000, VSMAX has garnered more than $50.84 billion in assets. The fund is currently managed by William Coleman who has been in charge of the fund since April of 2016.

Performance

Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 7.23%, and it sits in the top third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 12.69%, which places it in the bottom third during this time-frame.

It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.

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. Compared to the category average of 16.03%, the standard deviation of VSMAX over the past three years is 20.59%. The fund's standard deviation over the past 5 years is 23.35% compared to the category average of 17.44%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

The fund has a 5-year beta of 1.15, so investors should note that it is hypothetically more volatile than the market at large. Alpha is an additional metric to take into consideration, since it represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. VSMAX's 5-year performance has produced a negative alpha of -5.17, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.

Holdings

Examining 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.

The mutual fund currently has 96.83% of its holdings in stocks and it has a negligible amount of assets in foreign securities. The fund has the heaviest exposure to the following market sectors:

• Finance
• Industrial Cyclical
• Technology

Expenses

For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, VSMAX is a no load fund. It has an expense ratio of 0.05% compared to the category average of 0.80%. From a cost perspective, VSMAX is actually cheaper than its peers.

While the minimum initial investment for the product is $3,000, investors should also note that each subsequent investment needs to be at least $1.

Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.

Bottom Line

For additional information on this product, or to compare it to other mutual funds in the Mutual Fund Equity Report, make sure to go to www.zacks.com/funds/mutual-funds 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.