Performance report: Vanguard funds outperformed over long run

Febuary 8, 2018

 

Vanguard funds have produced superior returns compared with their peers. As the table below illustrates, 86% of our funds exceeded their peer-group averages over the past five-year period, and 94% surpassed their peer-group averages over the ten-year period ended December 31, 2017.

The table also shows the percentage of Vanguard funds in each major asset category that exceeded the average returns of their competing fund peer groups (as determined by Lipper, a Thomson Reuters Company) over the one-, three-, five-, and ten-year periods. These groupings include Vanguard ETF™ shares.

Vanguard funds that outperformed their peer-group averages

(Periods ended December 31, 2017)

 1 year3 years5 years10 years
All Vanguard funds

67%

(250 of 372 Vanguard funds outperformed their peers; 21,000 funds were in the peer category for this period)

87%

(293 of 337 Vanguard funds outperformed their peers; 17,605 funds were in the peer category for this period)

86%

(275 of 321 Vanguard funds outperformed their peers; 14,929 funds were in the peer category for this period)

94%

(217 of 231 Vanguard funds outperformed their peers; 9,686 funds were in the peer category for this period)

Money market funds

100%

(9 of 9 Vanguard funds; 519 funds were in the peer category)

100%

(9 of 9 Vanguard funds; 434 funds were in the peer category)

100%

(9 of 9 Vanguard funds; 431 funds were in the peer category)

100%

(9 of 9 Vanguard funds; 391 funds were in the peer category)

Stock funds

68%

(146 of 214 Vanguard funds; 12,259 funds were in the peer category)

89%

(179 of 202 Vanguard funds; 10,453 funds were in the peer category)

84%

(164 of 196 Vanguard funds; 9,025 funds were in the peer category)

94%

(131 of 140 Vanguard funds; 6,155 funds were in the peer category)

Bond funds

63%

(70 of 112 Vanguard funds; 4,393 funds were in the peer category)

81%

(82 of 101 Vanguard funds; 3,778 funds were in the peer category)

88%

(80 of 91 Vanguard funds; 3,043 funds were in the peer category)

93%

(56 of 60 Vanguard funds; 1,717 funds were in the peer category)

Balanced funds

68%

(25 of 37 Vanguard funds; 3,829 funds were in the peer category)

92%

(23 of 25 Vanguard funds; 2,940 funds were in the peer category)

88%

(22 of 25 Vanguard funds; 2,430 funds were in the peer category)

95%

(21 of 22 Vanguard funds; 1,423 funds were in the peer category)

Results will vary for other time periods. Only funds with a minimum 1-, 3-, 5-, or 10-year history, respectively, were included in the comparison. (Source: Lipper, a Thomson Reuters Company.) Note that the competitive performance data shown represent past performance, which is not a guarantee of future results, and that all investments are subject to risks. Investment returns and principal value will fluctuate, so investors’ shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited. For the most recent performance, visit our website at vanguard.com/performance.

Notes:

  • All investing is subject to risk, including the possible loss of the money you invest.
  • Vanguard ETF Shares are not redeemable with the issuing Fund other than in very large aggregations worth millions of dollars. Instead, investors must buy and sell Vanguard ETF Shares in the secondary market and hold those shares in a brokerage account. In doing so, the investor may incur brokerage commissions and may pay more than net asset value when buying and receive less than net asset value when selling.
  • Market data sources: Vanguard, based on market benchmarks. U.S. stocks are represented by the Dow Jones U.S. Total Stock Market Float Adjusted Index. International stocks are represented by the FTSE Global All Cap ex US Index. Bonds are represented by the Bloomberg Barclays U.S. Aggregate Bond Index. Source: Bloomberg Index Services Limited. Copyright 2017, Bloomberg. All rights reserved.
 

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