There are plenty of choices in the Sector - Utilities category, but where should you start your research? Well, one fund that might be worth investigating is Vanguard Utilities Index Admiral (VUIAX Quick QuoteVUIAX - Free Report) . VUIAX has no Zacks Mutual Fund Rank, but we have been able to look into other metrics like performance, volatility, and cost.

Objective

Zacks categorizes VUIAX in Sector - Utilities, which is a segment packed with options. Known for its stability, the utility industry is perfect for investors seeking low risk. Sector - Utilities mutual funds focus on companies that provide essential services to millions of people on a daily basis: think electric power, gas distribution, and water supply.

History of Fund/Manager

VUIAX is a part of the Vanguard Group family of funds, a company based out of Malvern, PA. Vanguard Utilities Index Admiral made its debut in January of 2004, and since then, VUIAX has accumulated about $1.88 billion in assets, per the most up-to-date date available. The fund's current manager, Jena Stenger, has been in charge of the fund since February of 2025.

Performance

Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund has delivered a 5-year annualized total return of 10.59%, and it sits in the middle third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 7.65%, 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. The standard deviation of VUIAX over the past three years is 16.2% compared to the category average of 16.12%. Looking at the past 5 years, the fund's standard deviation is 16.36% compared to the category average of 15.86%. 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 0.6, so it is likely going to be less volatile than the market at large. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. With a positive alpha of 1.22, managers in this portfolio are skilled in picking 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, VUIAX is a no load fund. It has an expense ratio of 0.10% compared to the category average of 0.96%. Looking at the fund from a cost perspective, VUIAX is actually cheaper than its peers.

While the minimum initial investment for the product is $100,000, 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

This could just be the start of your research on VUIAX in the Sector - Utilities category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. If you want to check out our stock reports as well, make sure to go to Zacks.com to see all of the great tools we have to offer, including our time-tested Zacks Rank.