VIGAX
VANGUARD GROWTH INDEX FUND ADMIRAL SHARES
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Any reason not to just dump it all into SPY or QQQ vs. a managed ETF or mutual fund like VOO or VIGAX?
My employer just started offering a 401k. Which find should I invest in as a 45y old
Is creating a 5 fund sector for fun a bad investment idea?
Is it dumb to put all my money in these four funds?
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You have $170k in cash earning yield while your Roth fights itself. VOO and VFIAX are identical tax-twins, and holding a Target Date fund with individual ETFs defeats the entire purpose of paying for its auto-balancing strategy. VIGAX is just the expensive subset of the S&P 500 you already own. I'd consolidate the Roth overlap into VOO or VTI, keep the cash liquid if the house purchase is imminent, and stop complicating a simple game.
VIGAX is a mutual fund and the price/NAV is only updated around 5pm each day after the market has closed.
VUG and VIGAX should be exactly same index. Only difference is ETF vs Mutual Fund. There is a very sudden price drop of VUG at last minute of market closure 3:59pm-4pm. The price drop from \~481 to 476. If you use the price of 3:59pm, then it would be \~2.42%.
I pulled out in January, bought a house for cash. Thats it though, now I just have a house and some roth in VIGAX. Chilling in my house is pretty sweet though. Really wish I'd kept some or all of my palantir, fml.
Solid companies, but I wouldn't do that much on Nvidia, too risky, their marker cap is like 5 trillion... Very risky. 25k google, 25k Amazon, 25k S&P or something like VIGAX that hast like 70% IT, or QQQ for semiconductors in general. ASML is also a good option for the last 25k, it has a monopoly in the semiconductor production chain.
Look into putting some in mutual fund like vanguard. VIGAX and VFIAX
Hello! I had some cash sitting around that I was too nervous to invest and I finally bit the bullet and did it. Looking for feedback on how I did: IRA - consolidated some old IRAs into one and ended up with the following * VFIAX (Vanguard 500 Index fund)- 40% * VIMAX (Mid-Cap) - 20% * VSMAX (Small-Cap) - 15% * VIGAX (Same as VUG below) - 15% * VTSAX (Total Stock Market) - 10% Brokerage Account - ended up with the following * VTSAX (Total Stock Market) - 26% * VEXPX (Vanguard Explorer Fund)- 24% * VUG (Growth ETF)- 20% * VGSLX (Real Estate) - 10% * VGHCX (Health) - 10% * VXUS (Total International Stock) 10% All other things considered, have a good income for a MCOL area, have an emergency fund, and additional retirement/investment accounts. I just wanted to try my hand at a more strategic approach than "put everything in an S&P 500 fund" (which there's nothing wrong with!) There's some redundancy here due to already having holdings in some funds that I didn't want to sell. As time goes on, I hope to keep fine tuning and rebalancing. My goals are growth without having to babysit the portfolio, hence the mutual funds/ETF approach. I'm also way too intimidated to get into single stocks so this seemed like a more comfortable route. I plan on reviewing monthly and correcting about every quarter or so as needed. IRA is obviously for retirement, brokerage fund is earmarked for retirement/long term growth but might also use it for a house downpayment depending on how things go. What do you think? I tried to prioritize low cost funds, diversifying into new sectors for me like health, international, real estate, etc, and having a mix of large/mid/small cap to try to capture more gains.
If you are with Fidelity, FZROX is great (zero expenses). Otherwise, VTI. 85-100% depending on how simple you want your investing BF to be. If 85%, out the other 15% in an aggressive growth fund to try and get some outsized returns. VIGAX has a nice track record and low expenses.
Your allocation actually looks pretty solid for a growth-tilted strategy. VIGAX specifically tracks growth-oriented large-cap stocks, which can provide nice upside during economic expansions. The Vanguard growth index has historically outperformed value indexes during tech and innovation cycles. That said, diversification is key - your mix of total market (VTSAX), international (VTIAX), and growth (VIGAX) shows you're thinking strategically. Consider reading some Boglehead forum discussions or William Bernstein's writings to dive deeper into growth vs. value philosophies. Your financial advisor's support is also a positive sign.
My biggest concern would be overlap. Top 10 holdings for VTSAX and VIGAX are nearly identical.
Your allocation honestly looks pretty reasonable. Having a growth tilt like VIGAX isn’t inherently bad, it just means you’re accepting more volatility for potentially higher long-term returns. The pushback you might hear is because growth stocks can underperform for long stretches, and people often prefer more balanced or value-leaning mixes as they get older. If you’ve got a long time horizon and can stomach the ups and downs, it’s fine to stick with it. The key is staying consistent through market cycles, not trying to time which style is hot. And it’s awesome you’re thinking about this even without a ‘finance crowd’ around you, that already puts you ahead of most
Hard yes for VTSAX and VTIAX. Soft no for VIGAX. There are worse things than VIGAX, but unless you have a particular reason for the growth tilt it's better to just stick with blend (VTSAX)
I am trying to take a Boglehead approach and capture the entire market. Unfortunately a total us stock market index isn't available in my 401k. There is a 500 index, but it has slightly higher fees than VIGAX and VVIAX. I decided to go heavy on VIGAX since historically it out performs the S&P 500. I figured the large cap value index VVIAX was worth having, since it has minimal overlap with VIGAX,and the two basically approximate the S&P500. JECIX is the cheapest midcap index available, I'm not really a fan of it, it doesn't seem to perform well compared to the othe indexs. VSIAX and VSGAX I figured are worth having just incase small cap stocks start doing better with potential interest rate cuts on the horizon. I only have 10% in VTIAX, but am considering bumping that up to 20% since it's done so well recently. But I'm not sure if it's worth taking away from the other holdings I currently have, so I settled at 10% for now. So far this year, my 401k rate of return is 18.05% , which I am very happy with. I am thinking, just adding a bunch of gold into the tax advantaged Roth will be beneficial long term. Been looking alot at the performance of gold vs stocks since we left the gold standard back in the 70s, and it looks like gold is about to repeat a 20 year cycle that outperforms stocks for the next few years. I still have about 30 years until retirement, so I am willing to keep holding and DCAing for a long time. Thanks for your feedback!
Well I proposed it to him and he said he was comfortable with it. Initially I asked him if 100% VIGAX was crazy.
VIGAX is a bet on the growth subset of companies (ones with higher expectations and higher prices to match). Those have done really well the past decade/two, [but historically underperformed value](https://www.dimensional.com/us-en/insights/when-its-value-versus-growth-history-is-on-values-side). I wouldn't describe investing in it as "more aggressive" in the way that you want; what you're trying to do is increase returns through increasing [compensated risk](https://www.reddit.com/r/Bogleheads/comments/1cnjdvz/what_do_you_all_mean_by_uncompensated_risk/). For your goal, I would simply start with VTSAX, VTIAX, and a bond fund in proportions similar to the TDF, then reduce the bond percentage as you are comfortable: * https://www.bogleheads.org/wiki/Asset_allocation * https://www.bogleheads.org/wiki/Risk_and_return:_an_introduction * https://www.bogleheads.org/wiki/Risk_tolerance * https://www.bogleheads.org/wiki/Assessing_risk_tolerance
I’ve posted my allocations in other subreddits and most people do not agree with the 25% VIGAX although my plan advisor said he would be comfortable with it. Now I’m torn
It depends on your risk , by removing bonds and investing in the growth index VIGAX you made it much more risky Personally I don't bet on really growth or value , remember growth funds are not guaranteed to have higher returns then broad market index funds or even value Historically value funds have returned more but in the last 20 years growth took the lead. So what will return more over the next 20 ? Who knows not me. You are making a 25% bet growth will return more . If you are ok wth that its fine Also every one hates bonds, but everyone also hates waking up to see their portfolio down 50%, if that happened are you going to be able to hold through a 50% or more drawdown and keep investing?
(34m) ditched tdf for 46.5%VTSAX 28.5%VTIAX 25%VIGAX did I make a mistake? TDF had an expense ratio of .64% that bothered me when crunching some number for over the next 10 years. I was between the funds listed above and GRMIX 75% VTIAX 25% the plan advisor steered me towards my current allocations. What do you guys think? I wanted something that mimicked the TDF without bonds, but more aggressive.
Are you more focused on building wealth or preserving wealth? Both have vastly different goals and outcomes. If you're seriously interested in growing stable retirement savings and building a nest-egg, definitely diversify. Are you giving up potential gains by doing so? Sure. You're also giving up potential losses as well by diversifying, especially using indexing. Stock indexes compile hundreds or thousands of stocks. If a company fails and goes broke, it gets taken off the list and replaced. VTSAX and VIGAX at Vanguard are a good place to start. If you have a high risk tolerance, hold onto your stocks and diversify elsewhere in your portfolio. You also avoid capital gains taxes from the sale of your best winners. Just know that it could be a very bumpy ride. If, god forbid, MSFT or another FAANG/GAFAM company goes under, you're screwed. Are you comfortable with that level of risk for the potential upside? It boils down to this: a) sell off some % of your individual stocks, pay some tax, and insulate yourself from some level of market fluctuation, and bet on a pretty dependable 8-15% growth over the next 30 years in something like S&P500. or b) accept the risk of those big corps going under, but hold onto the great gains you've made, while still being able to diversify elsewhere I'd lean toward option b if you're young, healthy, and stable. If you're close to retirement, it may be time to sell "cats and dogs" for more stable stock and bond index funds. Good luck. PS: if any of this looks like what JL Collins would say, you're spot on. Look him up if you're not familiar.
-(34M) USA - Construction worker 100k-185k a year depends on prevailing wage - objective is to get to 6 million at retirement - I am ok with risk - Currently I’m 100% TRRLX T.Rowe 2060 in my company sponsored retirement plan. Account value is at $720k. My company started allowing 401k Roth conversions about 5 years ago which I’ve taken advantage of. I convert 50k pre tax dollars to Roth dollars every year. I take extra federal and state taxes out every week so I’m not hit with a huge tax bill in April. So far it’s worked out nice and of the $720k $280k are 401k roth dollars. It bothers me that had I been 100% VIGAX or GRMSX my account would be over 1 million by now had I switched 5 years ago. I’m thinking of getting out of the target date fund and into one of the above for mentioned. I don’t know if right now is the time to switch or make the switch at all. I just don’t want to look back 20-30 years from now and wish I had ditched the target date funds.
Not ridiculous, but definitely concentrated. VIGAX loads you up on large-cap growth (tech-heavy QQQ-lite), which has crushed it lately but also means you're betting on one style and cap size. Zero bonds is fine at 35 if you're cool with volatility. Check this breakdown of your planned allocation: https://www.insightfol.io/en/portfolios/report/849a836613/ - it shows your home bias and low diversification.
An 80/20 mix of VIGAX and VTIAX basically means you’re leaning heavily into U.S. large‑cap growth with a dash of international. That’s not crazy at 35, but remember growth stocks can go through long cold spells. A lot of people use a broader U.S. fund like VTSAX or the S&P 500 as their core, then add international and maybe small caps around it. Whatever mix you pick, the key is sticking with it and ramping up your contributions over time instead of chasing recent performance. A target‑date fund can also take the guesswork out if you’re unsure.
Thank you for the advice, I like Bogle, watched several of his interviews and the boglehead sub helped me set up the initial 401k allocations, they see to know what they're talking about. But at the same time, isn't the Bogle methodology of just buying the market and being successful also a form of performance chasing? Bogleing has worked in the past, but is it possible to consistently outperform the average with new investment methods? VIGAX is still a relatively new fund and its managed by the top minds in the world, I trust them more than myself to pick the best 200ish companies poised for growth, and it seems to be working. Thanks again for the food for thought! I'm still really new to investing, I will absolutely read those books!
I used to hold 100% VIGAX for a significant amount of time in my Roth IRA. At a certain point, I bought some VGT in addition to VIGAX and noticed that was doing significantly better. Then I finally went 100% VITAX when I was able to buy it because the minimum is 100k. However, I started doing single stocks in my Roth IRA and I am 85% VITAX 15% NVDA. If anything, I should have done this sooner and bought much more NVDA.
I think your current setup is really good, thought I would exchange JFIVX and VIGAX for a simpler broad market total us fund. You’ll get both growth and value in there. You say you’ll ride out any dips, but dips are easy. Long term flat or declining markets are hard. When you hit year 7 of flat growth returns you’ll bail for value and that’s when growth will start taking off. Just own both because both will have the same returns over a 40 year period but with less volatility.
The majority sentiment here is VOO/FXAIX/SP500 over large cap growth like VIGAX/VUG/VONG, but personally I prefer it and have done well with this concentrated index. https://portfolioslab.com/tools/stock-comparison/VIGAX/VOO
Only if I were to rebalance or withdraw during a downturn right? Otherwise I can just ride it out and keep contributing through the dip, so when it goes back up I'm up even more eventually. VIGAX seems to have consistently bounced back and outperformed the S&P500, so it seems like a pretty sure long term investment.
The only Motley Fools are the ones who sign up. Every single ETF they picked as recommendations flopped. EVERY. SINGLE. ONE. I bought recommended BIll payer BILL at $249. It's now trading for $42. Stick with Vanguard picks like VXUS, VIGAX and target retirement funds. These have all performed very well for me.
You are using the wrong comparisons though. Anyone can make things look good by picking and choosing using wrong correlations. The correlations between FAGAX and QQQ are only .87. But if you look FAGAX has beaten QQQ the last 3 years and is up over it YTD also. But that’s not even the right comparisons. You should be comparing FAGAX to like SWLGX (.94 correlation) or VIGAX (.93 correlation). For a comparison of NASDAQ and tech of QQQ, you need to use ONEQ (.99 correlation).
Great points and those were considerations as well! To be clear, do you mean upfront sales charge for purchasing SCHG, VTI, VIGAX, etc? If so, there is no transaction fee or front load on SCHG but VIGAX does have a transaction fee of $49 as well as an initial minimum so that's out for me. As an aside, I do have a question about some numbers I'm looking at that make no sense to me. Looking at the YTD NAV return on two funds. The fund on the left is negative, the one on the right is positive. What i find odd is is that we are a hair over 6 months into the year and comparing the last 6 months in the chart below the left fund seems to have done better in everything month (1, 3 and 6) yet it's YTD is worse. YTD is 6 months and 19 days and the left stock has done much better in every month yet the YTD is worse. What am I missing on this?
Great points and those were considerations as well! To be clear, do you mean upfront sales charge for purchasing SCHG, VTI, VIGAX, etc? If so, there is no transaction fee or front load on SCHG but VIGAX does have a transaction fee of $49 as well as an initial minimum so that's out for me. As an aside, I do have a question about some numbers I'm looking at that make no sense to me. Looking at the YTD NAV return on two funds. The fund on the left is negative, the one on teh right is positive. What i find odd is is that we are a hair over 6 months into the year and comparing the last 6 months in the chart below the left fund seems to have done better in everything month (1, 3 and 6) yet it's YTD is worse. YTD is 6 months and 19 days and the left stock has done much better in every month yet the YTD is worse. What am I missing on this? || || || || || ||||| |:-|:-|:-|:-| ||||| ||||| ||||| ||||| ||||| |||||
Do you mean upfront sales charge for purchasing SCHG, VTI, VIGAX, etc? If so, there is no transaction, front load fees, etc. on any of the funds i am looking at.
|Description|[VIGAX](https://client.schwab.com/app/research/#/symbol/VIGAX)|[AGTHX](https://client.schwab.com/app/research/#/symbol/AGTHX)|[SCHG ](https://client.schwab.com/app/research/#/symbol/SCHG)**:** NYSE Arca|[VTI ](https://client.schwab.com/app/research/#/symbol/VTI)**:** NYSE Arca|[GFACX](https://client.schwab.com/app/research/#/symbol/GFACX)| |:-|:-|:-|:-|:-|:-| |Net Expense Ratio|0.05%|0.61%|0.04%|0.03%|1.36%| |Gross ExpenseRatio|0.05%|0.61%|0.04%|0.03%|1.36%| |Schwab Mutual Fund OneSource®|No Load, Transaction Fee|Load, No Transaction Fee|N/A|N/A|Load, No Transaction Fee|
The plan admin is doing contribution processing, enrollment, maintaining records, renewing plan documents annually, filing irs forms. Plus they need to actually pay people a livable wage to do all that. I know I’m forgetting some things, I delegate all of that to a firm that we work with. But you should be able to request details on the admin fees. As far as the mutual funds like VIGAX, maybe you have different share class fees? You’re should be .05 unless it’s investor class which is .17 but that wouldn’t normally be inside a retirement plan.
I read the words of what you’re doing and kind of understand in a very basic way, but I honestly really have no idea what you’re doing how you’re doing yet but it seems like you’re making money so tip of the cap to you, sir I’m just a regular old school investor I’ve had an index fund through Vanguard of VIGAX for a long time that I’ve added through the years and it’s grown really nicely I own a few staple stocks, Walmart, Amazon Visa, and they’ve done fine through the years I have a couple hundred thousand dollars in SPYI for dividend purposes I made a nice little purchase of Spotify back last January and it has done really well over the past 18 months or so. It’s up nearly 200%. I currently have a little over a quarter million dollars wrapped up in VG and ET I’ve only had ownership of their shares for about the past 6 to 8 weeks I think I’m about dead even on ET but I own a little over 8000 shares and I am pretty sure it’s gone to pop and at least be a double up within the next 12 to 20 months I have just under 9000 shares of VG and as of today I think I’m up about $65,000 on my original buy in at various entry points the past six or seven weeks Wishing I had waited for all my purchasing until it got down to $6.95 where I think I bought 2000 shares if I remember correctly But I was buying the fall and drop starting it around I believe $8-9 a share all the way down to $6.95 a year I’m a pretty simple guy and have zero debt and just recently retired in the past couple years All this talk of calls and puts and all this other weird stock market language I just don’t really understand it but no enough about it to stay away because it sounds real risky I just accumulate and purchase things that I think will make money moving forward and hold onto them
$7k in a Roth IRA, invested in a broad stock market index, like VTSAX and/or VIGAX. The other $3k can go into a normal stock brokerage account, investing in similar index fund ETFs, like VOO or VTI.
ETFs and index funds are the way to go for any ‘nervous’ investor. Then you don’t have to sweat over individual companies. Set up with Vanguard and set regular contributions to something like VFIAX (S&P Tracker) or VIGAX (Growth) - or any international or country index that you think may be good. Then you can sit back and not worry about it. Don’t sell or trade these. Time is your greatest investing tool.
The graph that is in the chart defines Value as the "the lower 30% in price-to-book of NYSE securities...plus AMEX ... and Nasdaq equivalents" and Growth as "the higher 30% in price-to-book of NYSE securities...plus AMEX ... and Nasdaq equivalents" using the "Fama/French US Value or Growth Research Index". Fama/French refer to Eugene Fama and Kenneth French who are economic and finance professors at University of Chicago and Dartmouth respectively. French has a website with data located here: [https://mba.tuck.dartmouth.edu/pages/faculty/ken.french/data\_library.html](https://mba.tuck.dartmouth.edu/pages/faculty/ken.french/data_library.html) Both Fama and French seem to have exceptional credentials, but the way that they have defined Value and Growth seems to be inconsistent with current stock selection processes for Value and Growth funds that used a large criteria set to define Value and Growth. It is not clear which data set(s) were used to generate the graph to be able to dig into this any further based on their definitions. Here are two real world comparisons from Portfolios Lab for Growth vs Value * [https://portfolioslab.com/tools/stock-comparison/VIGAX/SAIFX](https://portfolioslab.com/tools/stock-comparison/VIGAX/SAIFX) * [https://portfolioslab.com/tools/stock-comparison/VIGAX/SPVU](https://portfolioslab.com/tools/stock-comparison/VIGAX/SPVU) Yes, the data is only for the last 10 years unless you have a subscription plan.
"Takeaway: Buy the total market, and tilt to value (and the other factors) if you are younger and are able to take more risk." Thanks for the suggestion, but I've been perfectly happy with my growth index funds (VUG, VIGAX, VONG) for the last 20 years. They take a bigger hit during a downturn, but the overall return has been higher than the market (SPY, VOO).
I got out on a few things and got back in briefly thereafter. I was too heavily invested in the S&P 500. I had a whole bunch of VIGAX index fund through Vanguard and I also had added right at the peak of maybe end of January a whole bunch of VOO and VOOG I sold the ladder for a little bit of loss once the heavy drops came in March and had been stocking up on some LNG and oil related stocks that are in good shape making me money fixing to pop ET and VG by year end, if not sooner, I will have easily recovered all of my losses with the two energy stocks, and the dividends will be nice as I am recently retired Oh, and I’ll almost forgot. I also purchased some SPYI at a really good price after it had to drop significantly. I think I bought in on it about a month or so ago. It pays a nice dividend also
Should I change my 401k investments for the time being considering the market? It has lost $1200 YTD. It’s in VIGAX
Sorry for the insane newbie question, but what is the source of this chart? I put $5000 into VIGAX just 24 hours ago, so guess I got lucky.
Heck yeah. I'm making my 2024 IRA contribution right before tax day for planning reasons unrelated to market timing, if the bleeding continues I'm all in on VIGAX.
Probably half, not counting my VIGAX ETF. I'm not big on trading individual stocks to begin with, I stopped it some time ago because I suck at it. But I've had some hits here and there with NET, LMND, and ASTS.
The equivalent of the FXAIX (S&P500 Index) is the VINIX (S&P500 Index). Same goes for VSTAX which is a Large Cap Blend (S&P500 and DJ Index). VIGAX is a Large Cap Growth fund and it isn't the same. If you are looking for Large Cap Growth then either VIGAX for FSKGX would match what you are looking for as an investment. I am pro-Large Cap Growth and have both of VIGAX and FSKGX in my holdings.
Thank you! I was doing some more research and I think I’m looking at VTSAX and VIGAX
I sure hope the 20 shares of $VIGAX in my HSA will be OK.
Rate my portfolio: 35% VOO 20% VIGAX (Large Cap Growth fund) 20% GOOGL 25% various stocks (Apple, MSFT, a few dark horses). This is all in my Roth btw. Aiming for a 30-year investing timeline.
What's your risk tolerance, time horizon, and goal? You say you missed out on buying NVDA, which makes me think you're looking for short-term trades. But if your timeline is 20 years, that would mean you're working under the assessment that yesterday's bounce is all the growth it's going to see for decades? If you want a set and forget that will probably double every 7-8 years and can tolerate risk that's about market weighted, VOO and VTSAX are probably it. If you want a shot at more risk for more growth, VIGAX is worth looking at. If you're looking at short-term trading, I would advise against it until you have a lot more knowledge under your belt.
I would just do 100% VIGAX. If you have an IRA diversify with that. If you don't have an IRA, start one.
VIGAX is a solid route. Offset the entire portfolio accordingly. I mean the index is growth and beat the 500 in the 5 year....stick with that.
VIGAX 0.05% exspense ratio, Vwnfx 0.34%
I used to lurk in 2019 era but been gone a while. Mainly just have a chunk in vanguard mutual and ETH now. I did lose $250 on spy 0dte recently though and nearly shed a tear 😢. Honest advice: buy $UUUU $PLTR $IONQ and $VIGAX and like 20 ETH and retire when you’re 40
So, you could buy VITAX, but that has 100K minimum. Better one if VIGAX, which is the same as VUG. It's growth focused, not 100% tech though. That's probably the best advice I could think of.
That’s what I’m seeing now. I don’t anticipate pulling any out, but if I need to pull some out and want to maintain the account with what’s left, I’d def run into issues with VIGAX and VWILX.
Do you mean VOOG as a replacement for VIGAX? Is the return better or equivalent but more reliable?
When you heard that younger investors should have a risk forward portfolio, they meant hold a low proportion of bonds and a high proportion of equities. They did not mean pursue higher risk than 100% VIGAX.
Oddly enough I was signed up for "high risk," and with no bonds. To be honest, now that I am no longer using the digital advisor, I've been keeping the same funds that I was invested in and keeping those same proportions (however, lately I've been skipping the international funds and just doing all the non-international to bring down my international % down.) For example, currently, my brokerage account is made up of VIGAX (3.93%), VTIAX (11.43%), VTSAX (62.49%), VVIAX (3.05%), VBR (1.45%), VTI (6.37%), VTV (.33%), VUG (.48%), VXF (.11%), and VXUS (10.04%). I have no idea if my plan is pretty silly since I don't fully understand all of it or all of the funds. My current brokerage rate of return is 12.5%.
VIGAX is the Vanguard Growth Index Fund Admiral Shares. It tracks growth stocks and offers broad exposure to U.S. companies. Good for long-term growth.
>Dividend stocks drop less in a bear market or a pullback This needs justification. **VIG / VIGAX (Vanguard Dividend Appreciation Index):** -50.66% drawdown vs -55.25% for S&P500. Volatility is slightly higher (20.52% vs 19.36%) **VYM / VHYAX (Vanguard High Dividend Yield Index):** -56.98% drawdown vs -55.25% for S&P500. Volatility is slightly lower (18.53% vs 19.97%) **SCHD (Schwab US Dividend Equity):** -33.37% drawdown vs -33.83% for S&P500. Volatility is slightly lower (15.59% vs 16.89%) I don't see any prominent difference, and this is including re-invested dividends (ie, best case for dividend stocks for minimizing volatility). Risk-adjusted returns are similar in all cases as well.
Why does VIGAX get ignored? From what I can see it has had consistently better returns than VOO
Just started my portfolio last month, looking to diversify further where I can. I have $15k across bot VFIAX and VIGAX, as well as $500 in SCHD. What other Index Funds / ETFs should I consider?
VIGAX has been doing well for me. Not going to get 1000% returns but also won’t lose 100% of old grannies money.
If you're only doing a few thousand a year then most important thing is to have it in an IRA and decide if you want a Roth to pay the taxes now (which I love) or a traditional IRA where you pay the taxes when you pull it out in retirement. A lot of the funds aren't as different as you might expect because of how much tech stocks dominate. There are also different names for if you're doing a mutual fund or an ETF, though if you're in the admiral shares there's not much of a difference since I'm pretty sure Vanguard just lets you buy fractions of their ETFs now. I have most of my overall investments in VIGAX to focus on growth shares as compared to dividend shares and been pretty happy with it. In my Roth I mostly just split between two things to keep it easy and that's more focus on S&P 500 which is VOO (ETF) or VFIAX (fund.) Since it's a Roth and I won't pay capital gains I also play around with a bit of money in VYM for the dividends as well as picking some company stocks that I don't mind owning that focus on dividends instead of growth.
VIGAX/VIGIX is what I have mostly and it has served me well.
VIGAX like I always have been.
Some ETFs have returned about 15% p.a. over the last decade. https://portfolioslab.com/tools/stock-comparison/VIGAX/SCHG
At your age, all stocks, no bonds. I'd strongly suggest you avoid "international" and "global" and "developed markets" and stick with American stocks, because the international investment funds never grow into anything. Vanguard Growth Index Admiral Fund (VIGAX) is a NASDAQ index fund, and T. Rowe Price Equity Index 500 (PREIX) is and S&P 500 index fund. Split halvsies between those two ... or maybe mix in a little of the mid-cap Schwab fund. Agreed that at your age, you do not want to pack all of your spare cash into a retirement fund. After you've got a pile of savings (enough to replace your car with a new one, make a down payment on a house, and still have plenty left over) then sure, max out the 401(k). Maxing out the 401(k) early in life is a mistake because then you end up needing the money where you can't touch it without paying RUINOUS tax penalties.
Comparing the two specific funds you asked about JLGMX (an actively managed growth stock fund) and FXAIX (an SP500 index fund). You can certainly get the same growth exposure with much lower fees and even better performance with any decent growth stock index fund, e.g. VIGAX, VUG or FSPGX. If you're in a 401k plan with limited investment options it might be worth paying the higher fees to gain access to better performing growth stock funds.
>BUT, VIGAX has been outperforming VFIAX since inception "Since inception" is one of the most meaningless places of information there is. 2 internally identical funds can show different "since inception" returns just based on when they were released. >Since, VIGAX is tech heavy fund and (I believe) tech stocks will increase their share in international and domestic stock market in future, doesn’t it mean that tech will outperform other sectors in coming couple of decades? While tech may be important going forward, it can still under perform if company performance fails to live up to market expectations (or other sectors sufficiently exceed their expectations). Tech already has very high expectations placed on it. Not to mention that single sector risk is uncompensated risk: Compensated vs uncompensated risk: * https://www.whitecoatinvestor.com/uncompensated-risk/ * https://www.pwlcapital.com/is-investing-risky-yes-and-no/ >Uncompensated risk is very different; it is the risk specific to an individual company, **sector,** or country.
VIGAX is a low cost Vanguard mutual fund that invests in mega cap growth companies
Stick it in VIGAX and ride the roller coaster to the largest gains. You’re a main problem will be trying to not touch it.
Not an ETF, but VIGAX prolly has a related ETF
New to investing. Though VIGAX was "safeish" had majority there. But vgt nvda literally everything is down today andnyesterday... do you guys sell to slow the Loss or ride it out? I've been researching safer vehicles and it's honestly seems like CDs lol but I was hoping for more than 5%
I have an IRA that has some VUG Then I also have a 401k with some VIGAX These are identical funds, but VIGAX costs more to own (.05% vs .04%). Why? I have no idea.
Vanguard has a 529 option that goes 100% VIGAX
Correction, those are not money market funds, they are mutual funds. They are collections of numerous investment holdings intended to compete with an index's performance. They do come with risk. HYSAs, money markets, CDs, and bonds have next to no risk, but significantly less upside. I'd suggest moving your emergency fund to a HYSA (I use Ally), some additional funds to CDs, and then start investing the max allowable to a Roth IRA and buy any of the funds mentioned above, or others ypu find well recommended. Personally, I've had great success with SWPPX and VIGAX
There are a number of funds that have out perform the S&P500 fund consistently, but there is a strong bias against them as they are deemed riskier due to being concentrated in a single sector (US large cap technology). Past performance of this funds, like VIGAX, VONG, FSPGX, SCHG, etc, is claimed to not to be trusted and that only the S&P500 can be trusted. Some rational to this position as we are talking about 30 years versus 100 years. PRWAX has a large expense ratio, 0.76%, but over 5 year and 10 year it has outperform VFIAX. It under performed over 3 years as large cap growth took a larger beating in 2022 than the S&P500 did. For comparisons, I like to use Portfolio Labs https://portfolioslab.com/tools/stock-comparison/PRWAX/VFIAX
Not sure your age but assuming you are young with 100% US equities. At first glance I like your portfolio, although I would imagine the overlap in VGT/VIGAX is pretty substantial, so you may want to look hard at that if you haven't yet.
My preference is large cap growth funds that have been returning higher returns than the S&P500 like VIGAX, SWLGX, FSPGX, or SCHG.
I would just put it in a bunch of VIGAX or VFIAX and forget about it for as long as possible.
International is always a disappointment. VIGAX is Vanguard's nasdaq, and VFINX is Vanguard's S&P 500. Split all of it between those two and let it ride.
If you're going to be a market timer, ATH is not the metric to use; valuation is. A market can be cheaper at ATH than it is after a 15% correction. Most of the time markets are ATH because over time they go up. If you're uncomfortable with the valuations, it is curious to me why you'd prefer a growth ETF such as VIGAX over a standard VTSAX (aka VTI) or VFIAX (aka VOO). 47% of VIGAX is tech, but if you look at the 15.4% in consumer cyclical and 13% in communication services, you'll find that AMZN/TSLA are 40% of consumer cyclical and Google/META are 62% of communication services. So if you do the math, that's 61% of the fund either in tech companies or Mag 7 companies. By comparison, VTSAX is 29% tech, 10.5% consumer cyclical, and 8% communication services, that's 38% of the fund in tech companies / Mag 7. So you could buy the tried/true VOO or VTI at ATH, or you could double down on an even more concentrated/growthier equivalent at ATH.
Is buying a mutual fund (eg VIGAX) at ATH a bad idea if you’re in it for long term? I’m guessing not really since it is basically just a DCA consolidated.. but still feels a little icky.
So like a lot of people, my parents set up a vanguard account for me when I was in my 20’s. I’m now in my mid 30’s and would like to plan out my portfolio and see when I can retire. I never have paid much attention to it and know very little about investing, but would like to start learning now. How does my portfolio look? I’m a 35 year old self employed male, make around 125K a year. I have about 180K in stocks and bonds, and about 40K in a Roth IRA. I know almost nothing about investing and want advice on where my money should be, where to put my earnings each year, etc. How much should I be investing each year and where should I invest the money? Here is a breakdown of what I have with vanguard. Total stocks and bonds about $180,000 VBLAX (vanguard long term index bond) - 1,654 shares, $18,000 VEMAX (vanguard emerging markets) - 177 shares, $6,147 VFIAX (vanguard 500 index) - 134 shares, $64,060 VIGAX (vanguard growth index) - 277 shares, $49,109 VVIAX (vanguard value index) - 700 shares, $42,843 Roth IRA - $40,000 SEP IRA - $5,000
You're doing fine. I use VIGAX/VIGIX but target funds are good, too.
I have a 401K account all invested in a retirement date fund. I’m pretty young and think it would be better elsewhere? I want to move the money to another fund but not sure which. I’m seeing VFWAX, JVMRX, VIGAX, VVIAX, and PFORX as options. Are there any I should avoid or which ones are recommended?
if those are your picks just go VIGAX or VWUSX
VTSAX VTWAX and maybe some VIGAX
what are your thoughts on VIGAX index in the next few months? It's been growing steadily for the past 6 months approx +20%
My first option would be VIGAX since it's low cost and has grown aggressively over the past 5 years. I know past results aren't an indicator of future performance but still I could make use of that kinda growth. I am also eyeing QQQ / TRBCX but worried about the expense ratio. I wanna say I am gonna go into ESG funds but I feel they have lost steam in the past couple of years and I don't see them as a viable option in the long run. I still have to research the overlap in holdings and their weights between these funds.
If they really wanted to tilt large cap growth they are better off doing it an IRA where they have a better selection of investments. The expense ratio for MAFOX is way too high even for active fund. They could open an IRA at Vanguard and invest in VIGAX or VUG. Even if they wanted an active fund VWUSX would have much lower fees than MAFOX. If it is really for the long term value tends to outperform growth over extended periods of time btw.
As you note, the tried-and-true S&P500 index also includes the companies that make up Large Cap Growth funds. The main difference is that instead of the top 10 holdings comprising 30% of the fund value it is 50-55% of the Large Cap Growth, so your exposure is higher. The higher exposure increases the volatility which increases the down side risk and upside reward and the OP wanted to be aggressive. Some LCG funds have higher ERs, like MAFOX in the OPs 401k at 0.77%, but others like VIGAX have an ER of 0.05% which is on par with any good S&P 500 index fund. Technology companies have fueled the stock market gains for the last 15-30 years, but those gains have weathered multiple crashes, Dotcom in 2000, Subprime Mortgage in 2008, Flashcrash in 2011, Quantitative Easing in 2015, Covid in 2020, and Post-Covid in 2022. For people that were in and stayed in they recovered and grew. For people that sold after the drop and stayed on the side lines they lost a great deal. The current group of large cap growth companies are labelled US Domestic, but in reality are global multi-national companies with development, manufacturing and sales in every economy. In my opinion all of them are extremely robust financially (high profit margins with large cash reserves) and have diverse and constantly evolving product lines and diverse customer bases. I think that they can handle almost any storm that comes their way.
\#10 is likely VFFSX which is a straight S&P500 fund with a low ER (0.01%). The 10 year return for the SP500 is 12.03% (MAFOX 13.26%). In comparison for 2022 it was down -18.13% (MAFOX -38.06) and it 2023 it was up 26.28% (MAFOX 52.69%). Past performance is not an indicator of future performance of course. But if you want to be aggressive than a large cap growth fund is that choice. This has been my personal investment choice over the last 10 years (VIGAX, VUG, VONG, SWLGX) and I have been happy with that choice.
If you want to be aggressive than it is 100% in #11 MAFOX which is the BlackRock Large Cap Focus Growth Fund. The 10 year average return is 13.26% which is inline with other other large cap growth funds like VIGAX (13.97% for 10year), but with a higher expense ratio (MAFOX 0.77% vs VIGAX 0.05%). Large cap growth funds took a bath in 2022 (MAFOX -38.06%, VIGAX -33.56%) and have just recently gotten back to their peak value from November 2021 (11/21 to 1/24 is 26 months with 0% return) accounting for dividend reinvestments. So, you can have big lows, but also big highs like 2023 (MAFOX 52.69%, VIGAX 45.83%). Those 26 months of 0% growth is for the account value as of the November peak, in a 401K with continually contributions those additional funds have had very nice gains over the last year.