Any investors who are searching for Sector - Health funds should take a look at Vanguard Health Care Index Admiral (VHCIX Quick QuoteVHCIX - Free Report) . VHCIX has no Zacks Mutual Fund Rank, but we have been able to look into other metrics like performance, volatility, and cost.

Objective

Zacks categorizes VHCIX as Sector - Health, a segment packed with options. Sector - Health mutual funds offer investors a focus on the healthcare industry, one of the largest sectors in the American economy. These funds can include everything from pharmaceutical companies to medical device manufacturers and for-profit hospitals.

History of Fund/Manager

Vanguard Group is based in Malvern, PA, and is the manager of VHCIX. The Vanguard Health Care Index Admiral made its debut in January of 2004 and VHCIX has managed to accumulate roughly $2.35 billion in assets, as of the most recently available information. Walter Nejman is the fund's current manager and has held that role since December of 2015.

Performance

Of course, investors look for strong performance in funds. VHCIX has a 5-year annualized total return of 15.13% and is in the top 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 14.34%, which places it in the top 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 VHCIX over the past three years is 16.64% compared to the category average of 16.77%. The fund's standard deviation over the past 5 years is 14.59% compared to the category average of 14.11%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

With a 5-year beta of 0.8, the fund is likely to be less 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. VHCIX has generated a positive alpha over the past five years of 1.65, demonstrating that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.

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, VHCIX is a no load fund. It has an expense ratio of 0.10% compared to the category average of 1.34%. So, VHCIX is actually cheaper than its peers from a cost perspective.

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

Don't stop here for your research on Sector - Health funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare VHCIX to its peers as well for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.