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Is Vanguard Global Mineral Volatility Investor (VMVFX) a Strong Mutual Fund Pick Right Now?
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Having trouble finding a Global - Equity fund? Vanguard Global Mineral Volatility Investor (VMVFX - Free Report) is a potential starting point. VMVFX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
Zacks categorizes VMVFX 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
Vanguard Group is responsible for VMVFX, and the company is based out of Malvern, PA. Vanguard Global Mineral Volatility Investor debuted in December of 2013. Since then, VMVFX has accumulated assets of about $229.82 million, according to the most recently available information. The fund is currently managed by Scott Rodemer who has been in charge of the fund since March of 2023.
Performance
Investors naturally seek funds with strong performance. VMVFX has a 5-year annualized total return of 8.52%, 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 14.11%, 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. Compared to the category average of 11.79%, the standard deviation of VMVFX over the past three years is 7.6%. Over the past 5 years, the standard deviation of the fund is 9.33% compared to the category average of 14.09%. This makes the fund less 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. VMVFX has a 5-year beta of 0.46, which means it is likely to be less volatile than the market average. 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. VMVFX has generated a negative alpha over the past five years of -0.33, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, VMVFX is a no load fund. It has an expense ratio of 0.21% compared to the category average of 0.95%. Looking at the fund from a cost perspective, VMVFX is actually cheaper than its peers.
Investors need to be aware that with this product, the minimum initial investment is $3,000; 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 Mineral Volatility Investor ( VMVFX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, this fund looks like a good potential choice for investors right now.
This could just be the start of your research on VMVFX in the Global - Equity 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 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.
View the Zacks #1 Rank List
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Is Vanguard Global Mineral Volatility Investor (VMVFX) a Strong Mutual Fund Pick Right Now?
Having trouble finding a Global - Equity fund? Vanguard Global Mineral Volatility Investor (VMVFX - Free Report) is a potential starting point. VMVFX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
Zacks categorizes VMVFX 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
Vanguard Group is responsible for VMVFX, and the company is based out of Malvern, PA. Vanguard Global Mineral Volatility Investor debuted in December of 2013. Since then, VMVFX has accumulated assets of about $229.82 million, according to the most recently available information. The fund is currently managed by Scott Rodemer who has been in charge of the fund since March of 2023.
Performance
Investors naturally seek funds with strong performance. VMVFX has a 5-year annualized total return of 8.52%, 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 14.11%, 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. Compared to the category average of 11.79%, the standard deviation of VMVFX over the past three years is 7.6%. Over the past 5 years, the standard deviation of the fund is 9.33% compared to the category average of 14.09%. This makes the fund less 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. VMVFX has a 5-year beta of 0.46, which means it is likely to be less volatile than the market average. 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. VMVFX has generated a negative alpha over the past five years of -0.33, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, VMVFX is a no load fund. It has an expense ratio of 0.21% compared to the category average of 0.95%. Looking at the fund from a cost perspective, VMVFX is actually cheaper than its peers.
Investors need to be aware that with this product, the minimum initial investment is $3,000; 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 Mineral Volatility Investor ( VMVFX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, this fund looks like a good potential choice for investors right now.
This could just be the start of your research on VMVFX in the Global - Equity 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 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.