25 Best Vanguard Mutual Funds 2013

The 25 best Vanguard mutual funds 2013 are Vanguard Dividend Growth Fund, Vanguard Equity-Income, Vanguard Wellesley Income, Vanguard Target Retirement 2010, etc.

Top Vanguard Mutual Funds

Vanguard Group Inc provides ton of options for investing. It offers retirement investing, ETFs, mutual funds, IRAs, 401(k) plan, brokerage, and more. As one of the largest mutual fund providers, it has more than $2.0 trillion in assets. There are more than 130 mutual funds to choose from.

These best Vanguard mutual funds for 2013 are selected based on its performance history and transaction fee. These Vanguard fund doesn’t have a sales load and transaction fee. The funds are ranked with 4 star rating or higher by Morningstar. You may find the fund review below and other fund information.

The 25 best Vanguard Mutual Funds for 2013 are:

1. Vanguard Dividend Growth Fund
2. Vanguard Energy Fund
3. Vanguard Dividend Appreciation Index Fund
4. Vanguard Equity-Income Fund
5. Vanguard Wellesley Income Fund
6. Vanguard Target Retirement Income Fund
7. Vanguard Wellington Fund
8. Vanguard High-Yield Tax-Exempt Fund
9. Vanguard Health Care Fund
10. Vanguard Balanced Index Fund
11. Vanguard PRIMECAP Fund
12. Vanguard Selected Value Fund
13. Vanguard Target Retirement 2010 Fund
14. Vanguard Target Retirement 2015 Fund
15. Vanguard Target Retirement 2035 Fund
16. Vanguard Target Retirement 2040 Fund
17. Vanguard Target Retirement 2045 Fund
18. Vanguard Target Retirement 2050 Fund
19. Vanguard PRIMECAP Core Fund
20. Vanguard High Dividend Yield Index Fund
21. Vanguard Short-Term Federal Fund
22. Vanguard 500 Index Fund
23. Vanguard GNMA Fund
24. Vanguard Short-Term Bond Index Fund
25. Vanguard Convertible Securities Fund

Updated on 1/19/2013

Vanguard Dividend Growth Fund (VDIGX)

Vanguard Dividend Growth Fund is one of the consistent top performer Vanguard funds. It invests mainly in stocks of high quality companies that provide dividends. Donald J. Kilbride is the fund manager. Its dividend yield is 2.21%. It also has total assets of $11.8 billion. The expense ratio is low, only 0.31%. This large blend mutual fund has low portfolio turnover rate as well, 13%. The fund’s NAV is $17.38 (1/21/2013).

More: Best Vanguard Mutual Funds 2012

Morningstar has ranked with 5 star and gold rating. This best Vanguard mutual fund for 2013 has returned 11.46% over the past 3 year, and 9.14% over the past decade. The minimum initial investment is $3,000 for regular brokerage account and retirement account. The best 1 year total return was occurred in 2009 with 29.2%.

As of January 2013, the top 5 stocks in its assets are: Johnson & Johnson, PepsiCo In, Occidental Petroleum Corp, Exxon Mobil Corp, and Target Corp. The top 3 sectors are consumer discretionary, consumer staples, and energy.

Vanguard High-Yield Tax-Exempt Fund (VWAHX)

Vanguard High-Yield Tax-Exempt fund is a top municipal bond mutual fund. It utilizes its portfolio to purchase investment-grade municipal bonds. This bond fund provides tax free interest income from federal personal income tax rate. The fund’s yield is 3.72%. Its fund manager is Mathew M. Kiselak since 2010. The annual expense ratio fee is only 0.20%. It is open to new investors with $3,000 initial investment.

This best Vanguard bond mutual fund has a 5 year average return of 5.81%. Ranked with silver rating, it has its best 1 year total return in 2009 with 20.13%. The top 3 bond sectors are transportation, health, and State & Local General Obligation.

Vanguard 500 Index Fund (VFINX)

Vanguard 500 Index Fund is popular among mutual fund investors. This index fund invests mainly in large-capitalization stocks that are part of the S&P 500 index. The dividend yield is 2.05%. Its total net assets are $118 billion. Its expense ratio is only 0.17%. This top domestic stock fund has no sales load and low turnover rate.

Best Mutual Funds

As of January 2013, the top 5 stocks are Apple Inc, Exxon Mobil Corporation, General Electric Co, Chevron Corp, and Microsoft Corporation. This best Vanguard mutual fund 2013 has returned 16.02% over the past 1 year, 11.55% over the past 3 year, and 7.16% over the past 10 year.

Vanguard Wellesley Income Fund (VWINX)

This Vanguard Wellesley Income Fund invest majority of assets in bonds and stocks. It invests about 60-65% of assets in investment grade corporate bonds, mortgage backed securities, and government bonds. The rest of assets are invested in companies’ common stocks. John C. Keogh and W. Michael Reckmeyer III are the fund managers. It also provides 31.6% dividend yield.

This best conservative allocation mutual fund has a 1 year annualized return of 11.03%. The fund’s shares price is $24.46 (1/21/2013). You can buy the mutual fund online from various brokerages. It is considered as one of the best mutual funds for retirement account as well. You can invest for your 401(k) account or traditional IRA or Roth IRA.

Vanguard Selected Value Fund (VASVX)

Vanguard Selected Value Fund is another top ranked Vanguard mutual fund. It uses its assets to buy undervalued stocks of mid-size U.S. companies. The total net assets are $4.4 billion. Its dividend yield is 2.1%. This no load fund has expense ratio of 0.38%. The Morningstar risk is below average.

More: Top Performer Vanguard Mutual Funds July 2012

As of January 2013, this top mid-cap value mutual fund has returned 12.35% over the past 3 year, and 6.98% over the past 5 year. The top 5 stocks are Royal Caribbean Cruises Ltd, XL Group Plc, Fifth Third Bancorp, Discover Financial Services, and Stanley Black & Decker Inc.

Vanguard Target Retirement 2015 Fund (VTXVX)

This Vanguard Target Retirement 2015 Fund has $17.6 billion of assets. The holdings turnover rate is only 13%. This target date 2011-2015 mutual fund is considered as a balanced fund. It invests in stocks, bonds, and money market fund. The investment style is large blend. Its expense ratio is only 0.17% per year.

Vanguard Convertible Securities Fund (VCVSX)

The Vanguard Convertible Securities fund aim is to provide income and long term capital growth. It utilizes its assets to invest in U.S. and foreign convertible securities. The total assets are $1.6 billion. Its yield is 3.70%. It is introduced to investors on June 16, 1986. The expense ratio is 0.59% per year.

Disclosure: No Position

Fund Information

No	Fund Description	Ticker	Category	Rating	Risk	Assets (M)
1	Vanguard Dividend Growth Inv	VDIGX	Large Blend	5	1	11752.69
2	Vanguard Energy Inv	VGENX	Equity Energy	5	1	5117.83
3	Vanguard Dividend Appreciation Idx Inv	VDAIX	Large Blend	5	1	2575.46
4	Vanguard Equity-Income Inv	VEIPX	Large Value	5	2	3965.56
5	Vanguard Wellesley Income Inv	VWINX	Conservative Allocation	5	2	11647.46
6	Vanguard Target Retirement Income Inv	VTINX	Retirement Income	5	2	9711.18
7	Vanguard Wellington Inv	VWELX	Moderate Allocation	5	3	26746.17
8	Vanguard High-Yield Tax-Exempt	VWAHX	Muni National Interm	5	5	1606.11
9	Vanguard Health Care Inv	VGHCX	Health	4	1	8142.7
10	Vanguard Balanced Index Inv	VBINX	Moderate Allocation	4	2	2843.97
11	Vanguard PRIMECAP Inv	VPMCX	Large Growth	4	2	13239.09
12	Vanguard Selected Value Inv	VASVX	Mid-Cap Value	4	2	4398.41
13	Vanguard Target Retirement 2010 Inv	VTENX	Target Date 2000-2010	4	2	6434.89
14	Vanguard Target Retirement 2015 Inv	VTXVX	Target Date 2011-2015	4	2	17622.92
15	Vanguard Target Retirement 2035 Inv	VTTHX	Target Date 2031-2035	4	2	15217.68
16	Vanguard Target Retirement 2040 Inv	VFORX	Target Date 2036-2040	4	2	8797.27
17	Vanguard Target Retirement 2045 Inv	VTIVX	Target Date 2041-2045	4	2	8758
18	Vanguard Target Retirement 2050 Inv	VFIFX	Target Date 2046-2050	4	2	3819.9
19	Vanguard PRIMECAP Core Inv	VPCCX	Large Growth	4	2	4651.72
20	Vanguard High Dividend Yield Index Inv	VHDYX	Large Value	4	2	1655.27
21	Vanguard Short-Term Federal Inv	VSGBX	Short Government	4	3	1999.17
22	Vanguard 500 Index Inv	VFINX	Large Blend	4	3	24821.37
23	Vanguard GNMA Inv	VFIIX	Intermediate Government	4	3	14099.65
24	Vanguard Short-Term Bond Index Inv	VBISX	Short-Term Bond	4	3	3184.96
25	Vanguard Convertible Securities Inv	VCVSX	Convertibles	4	3	1635.8