Vanguard Target Retirement 2015 Fund (VTXVX)

Vanguard Target Retirement 2015 fund is suitable for investors who want to retire around 2015. More fund review below. Finding the right target date mutual fund is important for passive long term investor. By selecting Vanguard fund, investor can find a wide selection of target date mutual funds

Vanguard Target Retirement 2015 Investor (VTXVX)

The Vanguard Target Retirement 2015 fund objective is to achieve capital appreciation and current income consistent with its current asset allocation. This balanced fund mainly invests in other Vanguard mutual funds according to an asset allocation strategy designed for investors planning to retire and leave the work force in or within a few years of 2015 (the target year). This fund will allocate its asset to become more conservative over time (fewer stocks and more bonds when over long term).

Fund Details

• Fund Inception Date: October 27, 2003
• Ticker Symbol: VTXVX
• CUSIP: 92202E300
• Beta (3yr): 0.97
• Rank in category (YTD): 45%
• Category: Target Date 2011-2015 
• Yield: 2.39%
• Capital Gains: 0%
• Expense Ratio: 0.00%  
• Net Assets: $ 15.35 billion
• Number of Years Up: 7 years
• Number of Years Down: 1 year
• Annual Turnover Rate: 27%

Updated on 5/15/2012

Vanguard Target Retirement 2015 Inv

This target date 2011-2015 fund has a dividend yield of 2.39%. The most recent dividend was distributed in December 2011 ($0.18). The annual holdings turnover of this hybrid fund as of March 15, 2012 is 27%. The average turnover in the Target Date 2011 – 2015 is 37.85%. The fund has total net assets of $15.35 billion. The fund's inception date was in October 27, 2003. Duane F.  Kelly, the Principal of Vanguard, has been managing this fund since its inception. The annual expense ratio of this fund is 0.0%. There is no management fee or sales charge for investing in this fund.

Morningstar have ranked this retirement mutual fund with Gold and 4-stars rating. The YTD return of this fund is 6.26%. Within its 8 years in the market, the fund has recorded 7 years with positive return. The only year it came out with negative return was in 2008 (-24.06%). Based on the load adjusted return, the fund has returned 4.79% over the past 1-year, 18.79% over the past 3-year and 3.62% over the past 5-year. The 3-year beta risk is 0.97.

Top Performer Target Date Mutual Funds 2011

As part of fund of fund, there are 84 brokerages offer this best target date mutual fund. The brokerages include E Trade Financial, JP Morgan, T Rowe Price, Ameriprise Brokerage, LPL SAM Eligible, Protected Investors of America, Schwab Retail, Vanguard NTF, etc. The minimum initial purchase is $1,000. This top performer fund is available for brokerage and IRA account. It has only a minimum subsequent investment of $100.

Some of the principal investment risks are: stock market risk, country/regional risk, currency risk, bond risk, interest rate risk, income risk, credit risk, call risk, etc.

Advantages and disadvantages

The pros of investing in this fund are:

• Ranked among the best target date 2011-2015 mutual funds
• Low expense ratio and no sales load
• Low annual holding turnover rate

The cons are:

• None

As of March 2012, the top holdings are: Vanguard Total Bond Market II Index Fund, Vanguard Total Stock Market Index Fund, Vanguard Total International Stock Index Fund, and Vanguard Inflation-Protected Securities Fund. The fund’s benchmarks are: Target Retirement 2015 Composite Index and Dow Jones U.S. Total Stock Market Index.

Disclosure: No Position

Other Mutual Funds articles:

• Vanguard Target Retirement 2010 fund