Investors in search of a Mutual Fund Equity Report fund might want to consider looking at Vanguard Target Retirement 2015 Fund (
VTXVX Quick Quote VTXVX - Free Report) . While this fund is not tracked by the Zacks Mutual Fund Rank, we were able to examine other factors like performance, volatility, and cost. History of Fund/Manager
Vanguard Group is based in Malvern, PA, and is the manager of VTXVX. Vanguard Target Retirement 2015 Fund debuted in October of 2003. Since then, VTXVX has accumulated assets of about $12.65 billion, according to the most recently available information. The fund is currently managed by William Coleman who has been in charge of the fund since February of 2013.
Investors naturally seek funds with strong performance. This fund in particular has delivered a 5-year annualized total return of 7.71%, 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 10.24%, 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. Over the past three years, VTXVX's standard deviation comes in at 6.8%, compared to the category average of 8.43%. Over the past 5 years, the standard deviation of the fund is 5.99% compared to the category average of 7.04%. This makes the fund less volatile than its peers over the past half-decade.
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. VTXVX has a 5-year beta of 0.37, which means it is likely to be less volatile than the market average. 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. Over the past 5 years, the fund has a positive alpha of 0.28. This means that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
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, VTXVX is a no load fund. It has an expense ratio of 0.12% compared to the category average of 0.49%. From a cost perspective, VTXVX is actually cheaper than its peers.
This fund requires a minimum initial investment of $1,000, and each subsequent investment should be at least $1.
For additional information on the Mutual Fund Equity Report area of the mutual fund world, make sure to check out
www.zacks.com/funds/mutual-funds. There, you can see more about the ranking process, and dive even deeper into VTXVX too 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.