Editor's note: This is part of a continuing series of articles looking at the 20 biggest no-load stock funds.
For people who like a one-stop fund, Vanguard Total Stock Market Index just may be the ticket. What this index fund gives you is not only a piece of Standard & Poor's 500-stock index, but the extended market, which includes shares of small and midsize companies. In total, this fund gives you exposure to 3,900 companies in the MSCI US Broad Market Index.
Obviously, plenty of folks like this low-cost, broadly diversified approach to indexing. Vanguard's Gus Sauter says Total Stock Market has been Vanguard's best-selling fund the past four years.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Over the long term, Total Stock's holdings in small-company stocks should give it a slight edge over Vanguard 500. Over the past ten years through January 31, Total Stock has outpaced 500 by a mere 0.35 percentage point per year. On a year-to-year basis, Total Stock will perform better when small-cap stocks are in vogue and will lag when large-cap stocks are performing well. If you already own the fund, we suggest you HOLD it.
FUND FACTS
Vanguard Total Stock Market Index (VTSMX)
Assets: $39.1 billion
Manager (year started): Gerard O'Reilly (1994)
Returns (vs. S&P 500)*
One year: 13.7% (14.5%)
Three years annualized: 11.1% (10.3%)
Five years annualized: 8.1% (6.8%)
Ten years annualized: 8.2% (7.9%)
Expense ratio: 0.19%
Portfolio turnover: 12%
Initial minimum investment: $3,000
Phone: 800-662-2739
Web site: www.vanguard.com
*Returns through Jan. 31.
Fund Fact sources: Standard & Poor's, Morningstar
View updated data for this fund and compare the performance of the 20 biggest no-load stock funds.
-
Here's How To Get Organized And Work For YourselfWhether you’re looking for a side gig or planning to start your own business, it has never been easier to strike out on your own. Here is our guide to navigating working for yourself.
-
How to Manage Risk With Diversification"Don't put all your eggs in one basket" means different things to different investors. Here's how to manage your risk with portfolio diversification.
-
The 5 Best Actively Managed Fidelity Funds to Buy Nowmutual funds In a stock picker's market, it's sometimes best to leave the driving to the pros. These Fidelity funds provide investors solid active management at low costs.
-
The 12 Best Bear Market ETFs to Buy NowETFs Investors who are fearful about the more uncertainty in the new year can find plenty of protection among these bear market ETFs.
-
Don't Give Up on the Eurozonemutual funds As Europe’s economy (and stock markets) wobble, Janus Henderson European Focus Fund (HFETX) keeps its footing with a focus on large Europe-based multinationals.
-
Best Bond Funds to BuyInvesting for Income The best bond funds provide investors with income and stability – and are worthy additions to any well-balanced portfolio.
-
Vanguard Global ESG Select Stock Profits from ESG Leadersmutual funds Vanguard Global ESG Select Stock (VEIGX) favors firms with high standards for their businesses.
-
Kip ETF 20: What's In, What's Out and WhyKip ETF 20 The broad market has taken a major hit so far in 2022, sparking some tactical changes to Kiplinger's lineup of the best low-cost ETFs.
-
ETFs Are Now Mainstream. Here's Why They're So Appealing.Investing for Income ETFs offer investors broad diversification to their portfolios and at low costs to boot.
-
Do You Have Gun Stocks in Your Funds?ESG Investors looking to make changes amid gun violence can easily divest from gun stocks ... though it's trickier if they own them through funds.
