Questions tagged [vanguard]

For questions relating to Vanguard mutual funds, ETF's, IRA's, and other financial products.

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1k views

Passive income using a vanguard index fund?

I am thinking about investing my money into an index fund that generates money over time. From my research, I see that an index fund has about a 7% return rate over a ten year span. I am looking into ...
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3answers
7k views

Retirement Funds: Betterment vs Vanguard Life strategy vs Target Retirement

I'm a 20 something grad student and would like to open a hands off retirement account with beta exposure to the market and would make monthly contributions. I'm fairly illiterate when it comes to ...
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3answers
661 views

Does dollar cost averaging apply when moving investments between fund families?

We'll likely be moving ~$100,000 (two Roth IRAs, about 80k/20k split) from a mix of Nationwide funds to a combination of Vanguard whole-market stock and bond index funds (details below). All else ...
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2answers
1k views

401k rollover and vested balance

I have a (fidelity) 401k with company A. It has a balance of $X, of which $Y has been vested. I was laid off of company A three months ago. Yet, the balance still shows up as $X (with $Y vested). I'd ...
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1answer
2k views

Switching Roth IRA ( from American Funds to Vanguard)

After reading Roth IRA: Vanguard vs Free Advisor's Mutual Fund, I'm considering switching my Roth IRA from American Funds to Vanguard. What should I be aware of when doing so? Would it be better to ...
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3answers
3k views

Can I invest in gold through Vanguard (Or another instrument that should perform well in financial crisis)?

Looking at my retirement money, and wondering what specifically could go up in the event of a crisis on the scale of what happened in 2007 to 2009. There is a Gold and Mining Fund, but it actually ...
5
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1answer
2k views

How are Vanguard directors chosen?

According to some on-line sources (including Wikipedia) Vanguard is owned by its member funds. Furthermore, it is run by its Board of Directors. However, I could not find anything on Vanguard's web ...
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5answers
2k views

How can I invest in an index fund but screen out (remove) certain categories of socially irresponsible investments?

I currently invest in index funds (VFINX and FUSEX) but would like to negatively screen out certain categories of investments for the purposes of "Socially responsible investing". I don't have any ...
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1answer
282 views

Investing in a offshore bank account

I am completely new on investing and I am educating myself reading some books about finance but in the process to understand better the whole process, I'm very interested on buying index funds. So, I ...
0
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1answer
150 views

Vanguard Hypothetical Growth and Dividends

I have a question on the two pictures below. Here it states that Vanguard REIT ETF has high potential for investment income and some growth. The dividend payments this year so far have been $0.919 ...
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2answers
923 views

What is cheaper annually -- buying shares in a Vanguard index fund or buying shares of an ETF?

I’m having some difficulty figuring out which route would minimize the annual fees I pay. Vanguard offers an index fund that tracks the S&P 500 with an expense ratio of 0.25%. Then, there’s this ...
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2answers
559 views

Where to find Vanguard Index Funds?

I am trying to find Vanguards S&P 500 index funds and Vanguards Dow index funds. But I only see "Mutual" or "ETFs" Funds. Is Vanguard Mutual funds equivalent to a index fund?
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1answer
1k views

Is dividend factored into Annualized return?

I would like to keep it as simple as possible. If I visit Vanguard Benchmark returns page here https://personal.vanguard.com/us/funds/tools/benchmarkreturns It shows annualized returns for different ...
7
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5answers
799 views

How to invest a $1000 in an index mutual fund?

My pre-teen daughter saved up a $1000 and I thought it might teach her how finances work if we invested it in a mutual fund. Specifically in an index fund like S&P 500 or some such. The problem ...
3
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1answer
4k views

How to invest in Vanguard index fund for non-us citizen from overseas

How can I open Vanguard's account if I don't live in the US and non-US resident. Vanguard's ETF is not an option as it involves other factors such as currency exchange, people perception. If I go to ...
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1answer
68 views

Claiming tax loss after selling US mutual fund using specific lots

Background: I want to sell one mutual fund that I own in Vanguard to claim a tax loss on it. The default cost basis offered in Vanguard is "Average Cost" method. But I calculated that if I use the ...
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1answer
185 views

Financial advisor is outperforming Vg LifeStrategy 80. Should I keep him?

My financial advisor has my money invested in a range of actively managed funds. In 4 years since July 2011, the portfolio he has created has gained about 50%, while LS 80 Acc has gained about 40%, ...
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0answers
94 views

How can I purchase new assets for my Roth IRA while residing in Canada?

I'm a US citizen and currently reside and study in Canada. My Roth IRA is currently at Vanguard (in the US). While I reside in Canada, they do not allow me to purchase new assets with the funds that ...
13
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1answer
14k views

What are Vanguard's Admiral Shares?

What are Vanguard's Admiral Shares? I recently heard about them, and I'm not sure how they differ from the normal shares of their mutual funds I have.
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2answers
2k views

Roth IRA: Vanguard vs Free Advisor's Mutual Fund

Background: I recently turned 25 and became applicable to invest into my employer's 401K. Due to no matching, I have 3% allocated in as a supplemental retirement fund. Currently single, rent (no ...
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5answers
4k views

Suitable Vanguard funds for a short-term goal (1-2 years)

I am looking to save for a down-payment for a house in a period of 1 to 2 years. So I want to open a brokerage account, start with $3K, and put $1K on a monthly basis. Then, after one or two years, I ...
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1answer
2k views

What are Some Good Low Cost Index Funds to Invest in for the Long Term?

I am 19 years old (in Canada) and have heard that "Low Cost" index funds are a safe and highly profitable way to invest small amounts of money each month. My aim is to invest every month until I am ...
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1answer
7k views

Where can I find historic performance data on Barclays Aggregate Canadian Bond Index?

I'm looking at the Vanguard Canadian Aggregate Bond Index ETF (VAB), and it says it replicates the "Barclays Capital Global Aggregate Canadian Float Adjusted Bond Index". Unfortunately VAB is less ...
2
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1answer
3k views

Vanguard limit order vs stop order in a buy scenerio

I just opened an account on Vanguard and am learning about the different order types. I am having trouble finding the difference between a limit and stop order in a buying situation. Looking at their ...
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1answer
2k views

If I can invest $100 a month, is it better to choose Vanguard S&P 500 ETF or Betterment

If I can invest $100 a month, is it better to choose Vanguard S&P 500 ETF or Betterment? I can put down a max initial investment of $1000, and may pull out the investments when the market looks ...
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3answers
3k views

Vanguard Target Retirement Fund vs. Similar ETF Distribution (w/ REIT)

I currently have a Roth IRA with 10k invested in the Vanguard Target Retirement Fund 2050 (VFIFX). The Target Retirement Fund consists of the following: 63.0% - Vanguard Total Stock Market Index Fund ...
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3answers
2k views

Why would I pick a specific ETF over an equivalent Mutual Fund?

At the risk of beating a dead horse, I am still confused about the benefits of an ETF over a mutual fund. I understand the general premise (lower expense ratio, liquidity, paying taxes for other ...
3
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1answer
185 views

When a fund drops significantly, how can I research what went wrong? [duplicate]

A mutual fund I have (Vanguard Health Care Inv - VGHCX) dropped around 8% in one day...which is kind of unusual for a fund. All the while the general stock market rose slightly. Which brings me to ...
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2answers
2k views

Do money markets fluctuate during market crashes?

Do money markets exhibit any sort of fluctuations during a stock market crash? Is it any different than placing your money in a bank? I am interested in VMMXX, but google finance only has a chart ...
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2answers
1k views

How does Vanguard determine the optimal asset allocation for their Target Retirement Funds?

Until 25 years before retirement, Vanguard Target Retirement Funds all have an identical asset allocation of 63% U.S. stocks, 27% international stocks, 8% U.S. bonds, and 2% international bonds. I ...
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1answer
246 views

What is the denominator in the expense ratio?

So I recently looked at Vanguard Total market Index fund, which has an expense ratio of 0.05%. How is this number calculated? The numerator is various operating expenses of the fund, but no source ...
2
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1answer
159 views

Same fund in ETF and investor share, different expense ratio?

I'm looking at Vanguard 500 Index fund. There are three different options. Admiral share (VFIAX) for people who has $10,000+, and the expense ratio is 0.05%. Investor share (VFINX) with minimal ...
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1answer
3k views

Can I use stop limit orders on vanguard orders to prevent loss?

Vanguard has commission fee ETFs which allow vanguard customers to purchase or sell any of their ETFs at any time. I'm looking to create a strategy that would minimize my downside in the eventuality ...
8
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2answers
522 views

Pros/cons of replicating a "fund of funds" with its component funds in my IRA?

I'm interested in investing in the Vanguard Target Retirement Income Fund in my IRA. That fund is made up of 5 funds: Total Bond Market II Index Fund Investor Shares (very similar to the Total Bond ...
4
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3answers
960 views

Is there any evidence that "growth"-style indexes and growth ETFs outperform their respective base indexes?

For example Vanguard has the Vanguard S&P 500 ETF and the Vanguard S&P 500 Growth ETF. Just looking at the returns, it looks like the growth ETF has outperformed the S&P 500 ETF: ... but ...
2
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1answer
2k views

Does Vanguard grant admiral shares only on a per-account basis?

I want to hold Vanguard Total International Stock Index Fund in a Roth IRA and a taxable Vanguard account. Together they would total over $10k, but apart they would individually be under $10k. Both ...
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2answers
7k views

How does transferring to a new brokerage account work?

I currently have 2 brokerage accounts - one at Schwab and one at Vanguard - I would like to consolidate them both at Vanguard. How does that work? Do the stocks (mutual funds in this case) just ...
1
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1answer
327 views

What are the tax implications of exchanging one fund for another in a tax-sheltered account?

What are the tax implications (if any) for exchanging one fund for another in a tax sheltered account (Roth IRA)? e.g. Changing from, say, a Life Strategy Fund to a Target Retirement fund.
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3answers
1k views

How to diversify IRA portfolio given fund minimum investments and IRA contribution limits?

I recently opened a Roth IRA. Most of the funds at the fund company (Vanguard) have a minimum initial investment of $3000. The IRA contribution limit is $5500. This means I can only buy into one ...
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1answer
199 views

Vanguard fund, Roth IRA, and 1099

About a week ago, I opened a Roth-IRA and purchased a Vanguard life strategy fund (VASGX), made the contribution for 2013 Tax Year. I should get q 1099, correct? How long does this normally take?
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1answer
269 views

Are capital gains tax-free in a Vanguard tax-free fund?

I own shares of the Vanguard New York Long-Term Tax-Exempt Fund (Admiral Shares)(VNYUX). I'm wondering exactly what is tax-free about it. The link says that the "interest income" is tax-free (...
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2answers
2k views

Are there fees or penalties for holding less than $10K in a Vanguard Admiral Shares fund?

I currently have a large sum of cash in a "Rewards Account" at my credit union. The interest rate is at 2.75%. It seems to drop every year. It started out at over 4%. Basically, I am looking to find a ...
9
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2answers
728 views

Growth of unrealized gains in tax-managed index funds

Tax-managed index funds defer capital-gains distributions by, among other things, offsetting capital gains with losses and deviating from their underlying indexes to avoid having to sell appreciated ...
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1answer
99 views

What is the technical name for the type of security whose price updates once per trading day?

For example, this guy right here: Vanguard Target Retirement 2050 Inv The price is updated once per day. What is this called technically? The reason I ask is because I'm building a system to track ...
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1answer
107 views

As a Brit, how do I invest in US ETFs

Specifically, I'm interested in the Vanguard High Dividend Yield ETF. I actually live in China and don't plan on returning to the UK for the foreseeable future. Although I have some UK investments, I'...
9
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4answers
455 views

Is my first 401(k) fund allocation reasonable, and with respect to fees?

I just started my first job after school and am now being enrolled in my company's 401k plan, which is handled by Vanguard. By default, I was put into the Target Retirement 2050 Trust II fund, which ...
4
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2answers
128 views

Question about Tax Information from a Prospectus

I've been studying the prospectus for a Vanguard Index fund that I'm invested in, and I'm confused as to what percentage and what taxes I will end up paying. When the prospectus's tax information says ...
8
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1answer
368 views

Opened a Vanguard brokerage account. What do I need to keep track of for next year's taxes?

I know opening the account will not impact me for this tax season, but next year since I opened the brokerage account taxes will be a little different. What do I need to keep track of while I'm ...
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3answers
157 views

How to reconcile performance with dividends?

I have a Vanguard fund that returned -1.34% for the year, yet I earned dividends on the same investment of $106 for the same year. How do I reconcile negative performance with positive dividends? Is ...
6
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2answers
1k views

Roth IRA - Vanguard or Fidelity? If a college student had to pick one?

These are the only two options I will consider at this point, since I was in a very indecisive state, but have managed to narrow it down to these two. It seems that mostly everybody is recommending ...