Any investors hoping to find a Index fund could think about starting with Vanguard FTSE All-World ex-US Index Admiral (VFWAX Quick QuoteVFWAX - Free Report) . VFWAX possesses a Zacks Mutual Fund Rank of 3 (Hold), which is based on various forecasting factors like size, cost, and past performance.

History of Fund/Manager

Vanguard Group is based in Malvern, PA, and is the manager of VFWAX. Vanguard FTSE All-World ex-US Index Admiral made its debut in September of 2011, and since then, VFWAX has accumulated about $9.66 billion in assets, per the most up-to-date date available. The fund is currently managed by Christine Franquin who has been in charge of the fund since February of 2016.

Performance

Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 10.33%, and it sits in the middle 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 13.96%, 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. The standard deviation of VFWAX over the past three years is 15.64% compared to the category average of 14.9%. The fund's standard deviation over the past 5 years is 15.38% compared to the category average of 14.34%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

With a 5-year beta of 0.77, 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. The fund has produced a negative alpha over the past 5 years of -2.49, which shows that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.

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, VFWAX is a no load fund. It has an expense ratio of 0.12% compared to the category average of 0.90%. Looking at the fund from a cost perspective, VFWAX is actually cheaper than its peers.

This fund requires a minimum initial investment of $3,000, and each subsequent investment should be at least $1.

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

Bottom Line

Overall, Vanguard FTSE All-World ex-US Index Admiral ( VFWAX ) has a neutral Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, Vanguard FTSE All-World ex-US Index Admiral ( VFWAX ) looks like a somewhat average choice for investors right now.

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