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Is Vanguard Value Index Investor (VIVAX) a Strong Mutual Fund Pick Right Now?
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Investors in search of a Mutual Fund Equity Report fund might want to consider looking at Vanguard Value Index Investor (VIVAX - 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 VIVAX. The Vanguard Value Index Investor made its debut in November of 1992 and VIVAX has managed to accumulate roughly $232.93 million in assets, as of the most recently available information. The fund's current manager, Gerard O'Reilly, has been in charge of the fund since November of 2000.
Performance
Of course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 8.43%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 8.08%, 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. VIVAX's standard deviation over the past three years is 20.5% compared to the category average of 18.66%. Over the past 5 years, the standard deviation of the fund is 18.11% compared to the category average of 16.37%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should note that the fund has a 5-year beta of 0.91, which means it is hypothetically less volatile than the market at large. 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. VIVAX has generated a negative alpha over the past five years of -0.15, demonstrating that 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 largely on equities that are traded in the United States.
Currently, this mutual fund is holding 95.48% stock in stocks, which have an average market capitalization of $138.58 billion. The fund has the heaviest exposure to the following market sectors:
Finance
Health
Industrial Cyclical
Technology
Non-Durable
With turnover at about 4%, this fund is making fewer trades than its comparable peers.
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, VIVAX is a no load fund. It has an expense ratio of 0.17% compared to the category average of 0.98%. VIVAX is actually cheaper than its peers when you consider factors like cost.
While the minimum initial investment for the product is $0, investors should also note that there is no minimum for each subsequent investment.
Bottom Line
Don't stop here for your research on Mutual Fund Equity Report 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 VIVAX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.
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Is Vanguard Value Index Investor (VIVAX) a Strong Mutual Fund Pick Right Now?
Investors in search of a Mutual Fund Equity Report fund might want to consider looking at Vanguard Value Index Investor (VIVAX - 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 VIVAX. The Vanguard Value Index Investor made its debut in November of 1992 and VIVAX has managed to accumulate roughly $232.93 million in assets, as of the most recently available information. The fund's current manager, Gerard O'Reilly, has been in charge of the fund since November of 2000.
Performance
Of course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 8.43%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 8.08%, 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. VIVAX's standard deviation over the past three years is 20.5% compared to the category average of 18.66%. Over the past 5 years, the standard deviation of the fund is 18.11% compared to the category average of 16.37%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should note that the fund has a 5-year beta of 0.91, which means it is hypothetically less volatile than the market at large. 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. VIVAX has generated a negative alpha over the past five years of -0.15, demonstrating that 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 largely on equities that are traded in the United States.
Currently, this mutual fund is holding 95.48% stock in stocks, which have an average market capitalization of $138.58 billion. The fund has the heaviest exposure to the following market sectors:
- Finance
- Health
- Industrial Cyclical
- Technology
- Non-Durable
With turnover at about 4%, this fund is making fewer trades than its comparable peers.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, VIVAX is a no load fund. It has an expense ratio of 0.17% compared to the category average of 0.98%. VIVAX is actually cheaper than its peers when you consider factors like cost.
While the minimum initial investment for the product is $0, investors should also note that there is no minimum for each subsequent investment.
Bottom Line
Don't stop here for your research on Mutual Fund Equity Report 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 VIVAX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.