Vanguard Small Cap Growth Index Fund (VISGX)

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Vanguard Small Cap Growth Index Fund (VISGX) is a passively managed domestic stock mutual fund. This mutual fund focuses its assets in equities of small size companies with high growth potential.

Vanguard Small Cap Growth Index Fund (VISGX)

The Vanguard Small Cap Growth Index Fund objective is to track the performance of a benchmark index that measures the investment return of small-capitalization growth stocks. The fund employs an indexing investment approach designed to track the performance of the MSCI US Small Cap Growth Index. This index is a broadly diversified index of growth stocks of smaller U.S. companies.

Fund Details
    Vanguard Small Cap Growth Index Fund
  • Fund Inception Date: May 20, 1998
  • Ticker Symbol: VISGX
  • CUSIP: 922908827
  • Beta (3yr): 1.29
  • Rank in category (YTD): 22%
  • Category: Small Growth
  • Distribution: 0.34%
  • Capital Gains: 0%
  • Expense Ratio: 0.24%
  • Net Assets: $ 9.42 billion
  • Number of Years Up: 9 years
  • Number of Years Down: 4 years
  • Annual Turnover Rate: 40%
Updated on 3/11/2013

Gerard C. O’Reilly is the current fund manager. He has managed this fund since December 2004. The fund itself was incepted on May 1998. As part of Vanguard fund, it has $9.42 billion of total net assets. The annual expense ratio is quite low, only 0.24%. The average expense ratio of Small Growth category is 1.47%. The annual holdings turnover as of December 10, 2012 is 40%.

Top Performer Small Growth Mutual Funds December 2012

This small growth mutual fund has Silver and 4-stars rating from Morningstar. It has year-to-date return of 14.34% and 5-year annualized return of 4.59%. The best 1-year total return since its inception was achieved in 2003 with 42.88%. Based on the load adjusted returns, the fund has returned 13.72% over the past 1-year and 10.26% over the past decade. Spliced Small Cap Growth Index is the fund’s benchmark.

There are 102 brokerages that provide the sale of this fund. Some of these brokerages ares Scottrade Load, JP Morgan, Trade Station Securities, E Trade Financial, T Rowe Price, Vanguard NTF, EP Fee Small, etc. The minimum initial investment for either brokerage or retirement account is $3,000. For subsequent investment, you only need $100. This mutual fund is categorizes as a no-load fund. It means there is no 12b1 fee or front-end sales load fee. The other class in this fund is the Admiral Class (VGSAX).  This VGSAX fund has 0.10% annual expense ratio.

As per October 2012, the 10 largest holdings represent 5.3% of total net assets. The top 10 stocks are Royal Gold Inc, The Cooper Cos Inc, Amerigroup Corp, Ocwen Financial Corp, Fortune Brands Home & Security Inc, Wabtec Corp/DE, tw telecom inc, Oil States International Inc, Ariad Pharmaceuticals Inc and Medivation Inc. The top equity sector diversification is 22.20% in information technology, 19.20% in industrials, 19.10% in health care and 16.20% in consumer discretionary.

According to the fund prospectus, the primary risks are stock market risk, investment style risk, volatility risk, etc.

Disclosure: No Position

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