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Is Vanguard Global Equity Fund Investors Shares (VHGEX) a Strong Mutual Fund Pick Right Now?
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Global - Equity fund seekers should not consider taking a look at Vanguard Global Equity Fund Investors Shares (VHGEX - Free Report) at this time. VHGEX carries a Zacks Mutual Fund Rank of 4 (Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
Zacks categorizes VHGEX as Global - Equity, which is a segment packed with options. Global - Equity mutual funds invest in large markets like the U.S., Europe, and Japan, and operate with very few geographical limitations. They also provide an investment technique that leverages the diverse nature of the global economy in the hopes of providing a stable return.
History of Fund/Manager
VHGEX finds itself in the Vanguard Group family, based out of Malvern, PA. Since Vanguard Global Equity Fund Investors Shares made its debut in August of 1995, VHGEX has garnered more than $7.88 billion in assets. A team of investment professionals is the fund's current manager.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. VHGEX has a 5-year annualized total return of 10.65%, and it sits in the middle 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 14.41%, which places it in the middle 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. Over the past three years, VHGEX's standard deviation comes in at 17.81%, compared to the category average of 16.66%. Looking at the past 5 years, the fund's standard deviation is 17.45% compared to the category average of 16.41%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. VHGEX has a 5-year beta of 1.01, which means it is likely to be as volatile as 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. VHGEX has generated a negative alpha over the past five years of -4.49, demonstrating that managers in this portfolio find it difficult to pick 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, VHGEX is a no load fund. It has an expense ratio of 0.41% compared to the category average of 0.97%. Looking at the fund from a cost perspective, VHGEX 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 consideration. Returns would be less if those were included.
Bottom Line
Overall, Vanguard Global Equity Fund Investors Shares ( VHGEX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, Vanguard Global Equity Fund Investors Shares ( VHGEX ) looks like a somewhat weak choice for investors right now.
Want even more information about VHGEX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis 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.
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Is Vanguard Global Equity Fund Investors Shares (VHGEX) a Strong Mutual Fund Pick Right Now?
Global - Equity fund seekers should not consider taking a look at Vanguard Global Equity Fund Investors Shares (VHGEX - Free Report) at this time. VHGEX carries a Zacks Mutual Fund Rank of 4 (Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
Zacks categorizes VHGEX as Global - Equity, which is a segment packed with options. Global - Equity mutual funds invest in large markets like the U.S., Europe, and Japan, and operate with very few geographical limitations. They also provide an investment technique that leverages the diverse nature of the global economy in the hopes of providing a stable return.
History of Fund/Manager
VHGEX finds itself in the Vanguard Group family, based out of Malvern, PA. Since Vanguard Global Equity Fund Investors Shares made its debut in August of 1995, VHGEX has garnered more than $7.88 billion in assets. A team of investment professionals is the fund's current manager.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. VHGEX has a 5-year annualized total return of 10.65%, and it sits in the middle 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 14.41%, which places it in the middle 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. Over the past three years, VHGEX's standard deviation comes in at 17.81%, compared to the category average of 16.66%. Looking at the past 5 years, the fund's standard deviation is 17.45% compared to the category average of 16.41%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. VHGEX has a 5-year beta of 1.01, which means it is likely to be as volatile as 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. VHGEX has generated a negative alpha over the past five years of -4.49, demonstrating that managers in this portfolio find it difficult to pick 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, VHGEX is a no load fund. It has an expense ratio of 0.41% compared to the category average of 0.97%. Looking at the fund from a cost perspective, VHGEX 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 consideration. Returns would be less if those were included.
Bottom Line
Overall, Vanguard Global Equity Fund Investors Shares ( VHGEX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, Vanguard Global Equity Fund Investors Shares ( VHGEX ) looks like a somewhat weak choice for investors right now.
Want even more information about VHGEX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis 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.