Using mutual funds and ETFs for short-term savings (1 year)
In investing, we make personal choices about how much risk we are willing to take if we think we can get higher return in exchange. Using mutual funds and ETFs for short-term savings (1 year) compares historical performance of similar funds that are appropriate for short-term savings.[Note 1]
Volatility--fluctuations in value--are an important aspect of risk. In financial economics, volatility is often measured by a statistical value called the standard deviation, represented by the Greek letter sigma (σ). The standard deviation of mutual funds can be found on sites like Morningstar or PortfolioVisualizer. However, it is hard to relate this number to a practical question, like "how much risk would I be taking by putting money I need a year from now into a short-term bond fund instead of a money market fund?" This article tries to help with this kind of question.
Overview
In this article, we calculate some other measures of risk by calculating what would have happened to an investment of $10,000, held for short periods of time, in a mutual fund or exchange-traded fund (ETF). You might do this in hope of making more than you would have made in a money market mutual fund, and accepting the possibility of sometimes making less.[Note 2] The possibility of making less is depicted in two ways:
1) What percentage of the time would you have made less than in a money market fund? We chose VMMXX, the Vanguard Prime Money Market Fund, because it is one of the oldest money market fund and gave us a long period of comparison. We also show what percentage of the time you would have actually lost money--ended up with less than $10,000 at the end of the time period--and what percentage of time you would have failed to keep up with inflation.
2) It's important to know not just when a fund or ETF underperformed a money market mutual fund, but by how much. In the case of short-term funds, the losses, when they did occur, were so small that some might call them negligible To quantify this, we present two numbers. One is the average loss that occurred in those periods in which losses did occur; and the other is the largest loss that ever occurred within the body of data that was used.
Notice that a high probability of underperforming may not be important at all. If two investments have the same return and volatility, but just fluctuate randomly with respect to each other, you would expect each of them to underperform the other about 50% of the time.
We have chosen to present data going back for as far as Morningstar has data. As a result, there are two caveats. First, the data range shown for each fund is different and results for different funds cannot be directly compared. For example, the Vanguard Short-Term Treasury Fund, VFISX, beat VMMXX by an average of $117.10 while the Vanguard Short-Term Treasury Index fund, VGSH, only beat it by $33.17. But this is almost entirely due to VGSH's inception in 2009 versus VFISX's inception in 1991. If we restrict our view of VFISX to the same years as VGSH, the benefit for VFISX was only $44.05. Second, this underlines the problem with all historical data, which is that the present time--and thus the short-term future--may be quite different from the historical averages.
Median and average (mean)
We show both the average and the median for some key values. A reader requested this. We have a scattered group of value: the return from an investment over many different periods of time. To represent the center of such a group with a single number, we often calculate and average or mean. In the here, when we are looking, for example, at losses, and only seeing "the tail of the distribution," the average may give the wrong impression because it's influenced by extreme values. The median is another measure, and represent the value that is halfway based on counting. If the median loss of an investment is $600, it means you had a 50% chance of losing more over $600 and a 50% chance of losing less than $600.
Holding stocks "for five years"
Authorities advice against using stocks for money you will need in less than five years; Vanguard says ten. If you are considering using stocks for money you will need in five years, then you should familiarize yourself with the data for stocks held for five years. See Using mutual funds and ETFs for short-term savings (5 years).
Vanguard itself puts all of it stock funds in risk categories 4 and 5 and says "these funds may be appropriate for investors who have a long-term investment horizon (10 years or longer)."
A few other authorities say:
"Do not invest any money in stocks you will need in less than five years.”—William J. Bernstein, The Four Pillars of Investing.
“A rule of thumb in investing is that you should not invest money in stocks or stock funds that you will need in less than five years.”—Jack Brennan and Marta McCave, “Straight Talk on Investing.”
“Owning stocks for the short term (less than five years) is foolish.”—Kiplinger’s Personal Finance, Nov, 2004.
“Money you know you will need in the five to 10 years does not belong in stocks.”—Suze Orman, Suze Orman’s Action Plan.
Even Jim Cramer has said “If you need the money for something serious in the next four years, you cannot risk keeping it in stocks.”--Jim Cramer, Getting Back to Even.
In investing, we make personal choices about how much risk we are willing to take if we think we can get higher return in exchange. Using mutual funds and ETFs for short-term savings (1 year) compares historical performance of similar funds that are appropriate for short-term savings.[Note 3]
Volatility--fluctuations in value--are an important aspect of risk. In financial economics, volatility is often measured by a statistical value called the standard deviation, represented by the Greek letter sigma (σ). The standard deviation of mutual funds can be found on sites like Morningstar or PortfolioVisualizer. However, it is hard to relate this number to a practical question, like "how much risk would I be taking by putting money I need a year from now into a short-term bond fund instead of a money market fund?" This article tries to help with this kind of question.
Money market
BTFXX: BlackRock Liquidity
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 354 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $213.79 (average), +$65.02 (median) |
Average CAGR (annualized rate of return) of those 354 12-month periods | 2.14% |
Standard deviation (σ) of single-month returns, annualized | 0.72% |
Number of periods in which BTFXX made less than VMMXX Average/median shortfall versus VMMXX over those 331 periods |
331/354 = 93.5% -$90.73 (average), -$35.21 (median) |
Number of periods in which BTFXX lost money Average/median dollar loss over those 143 periods |
143/354 = 40.4% $0.00 (average), $0.00 (median) |
Number of periods in which BTFXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 193 periods |
193/354 = 54.5% -$206.49 (average), -$183.83 (median) |
Compared to VMMXX, 9/2006 - 8/2007 | -$523.01 |
Dollar loss, 12/2014 - 11/2015 | $0.00 |
Real loss (inflation-corrected), 8/2007 - 7/2008 | -$560.01 |
Compared to VMMXX | BTFXX vs VMMXX, 9/2006 - 8/2007 |
Average/median additional return above VMMXX, over 354 overlapping 12-month periods | -$83.79 (average), -$26.73 (median) |
SWPXX: Schwab Government Money Market Portfolio™
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 294 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $225.64 (average), +$142.69 (median) |
Average CAGR (annualized rate of return) of those 294 12-month periods | 2.26% |
Standard deviation (σ) of single-month returns, annualized | 0.62% |
Number of periods in which SWPXX made less than VMMXX Average/median shortfall versus VMMXX over those 286 periods |
286/294 = 97.3% -$29.17 (average), -$31.19 (median) |
Number of periods in which SWPXX lost money | 0/294 = 0.0% |
Number of periods in which SWPXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 160 periods |
160/294 = 54.4% -$158.15 (average), -$159.38 (median) |
Compared to VMMXX, 6/2008 - 5/2009 | -$77.94 |
Dollar loss, 12/2011 - 11/2012 | +$0.94 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$385.84 |
Compared to VMMXX | SWPXX vs VMMXX, 6/2008 - 5/2009 |
Average/median additional return above VMMXX, over 294 overlapping 12-month periods | -$28.38 (average), -$30.50 (median) |
SWRXX: Schwab Investor Money
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 296 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $229.97 (average), +$161.70 (median) |
Average CAGR (annualized rate of return) of those 296 12-month periods | 2.30% |
Standard deviation (σ) of single-month returns, annualized | 0.62% |
Number of periods in which SWRXX made less than VMMXX Average/median shortfall versus VMMXX over those 288 periods |
288/296 = 97.3% -$26.49 (average), -$29.04 (median) |
Number of periods in which SWRXX lost money | 0/296 = 0.0% |
Number of periods in which SWRXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 155 periods |
155/296 = 52.4% -$161.34 (average), -$150.85 (median) |
Compared to VMMXX, 10/2008 - 9/2009 | -$59.07 |
Dollar loss, 4/2015 - 3/2016 | +$0.99 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$385.85 |
Compared to VMMXX | SWRXX vs VMMXX, 10/2008 - 9/2009 |
Average/median additional return above VMMXX, over 296 overlapping 12-month periods | -$25.77 (average), -$28.59 (median) |
SWVXX: Schwab Value Advantage Money
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 319 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $253.96 (average), +$212.96 (median) |
Average CAGR (annualized rate of return) of those 319 12-month periods | 2.54% |
Standard deviation (σ) of single-month returns, annualized | 0.63% |
Number of periods in which SWVXX made less than VMMXX Average/median shortfall versus VMMXX over those 265 periods |
265/319 = 83.1% -$9.87 (average), -$7.16 (median) |
Number of periods in which SWVXX lost money Average/median dollar loss over those 1 periods |
1/319 = 0.3% $0.00 (average), $0.00 (median) |
Number of periods in which SWVXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 155 periods |
155/319 = 48.6% -$151.71 (average), -$146.32 (median) |
Compared to VMMXX, 10/2008 - 9/2009 | -$47.27 |
Dollar loss, 8/2009 - 7/2010 | -$0.05 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$385.83 |
Compared to VMMXX | SWVXX vs VMMXX, 10/2008 - 9/2009 |
Average/median additional return above VMMXX, over 319 overlapping 12-month periods | -$7.97 (average), -$5.25 (median) |
TSCXX: T. Rowe Price Cash Reserves
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 301 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $246.96 (average), +$179.75 (median) |
Average CAGR (annualized rate of return) of those 301 12-month periods | 2.47% |
Standard deviation (σ) of single-month returns, annualized | 0.64% |
Number of periods in which TSCXX made less than VMMXX Average/median shortfall versus VMMXX over those 280 periods |
280/301 = 93.0% -$12.76 (average), -$10.75 (median) |
Number of periods in which TSCXX lost money | 0/301 = 0.0% |
Number of periods in which TSCXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 156 periods |
156/301 = 51.8% -$153.62 (average), -$148.68 (median) |
Compared to VMMXX, 3/2016 - 2/2017 | -$37.36 |
Dollar loss, 10/2009 - 9/2010 | +$0.83 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$385.84 |
Compared to VMMXX | TSCXX vs VMMXX, 3/2016 - 2/2017 |
Average/median additional return above VMMXX, over 301 overlapping 12-month periods | -$11.71 (average), -$10.09 (median) |
VUSXX: Vanguard Treasury Money Market
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 311 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $247.90 (average), +$199.63 (median) |
Average CAGR (annualized rate of return) of those 311 12-month periods | 2.48% |
Standard deviation (σ) of single-month returns, annualized | 0.61% |
Link to Vanguard's web page for VUSXX | VUSXX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VUSXX made less than VMMXX Average/median shortfall versus VMMXX over those 259 periods |
259/311 = 83.3% -$16.46 (average), -$13.65 (median) |
Number of periods in which VUSXX lost money | 0/311 = 0.0% |
Number of periods in which VUSXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 154 periods |
154/311 = 49.5% -$150.49 (average), -$144.19 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$70.89 |
Dollar loss, 9/2014 - 8/2015 | +$0.93 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$385.31 |
Compared to VMMXX | VUSXX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 311 overlapping 12-month periods | -$12.82 (average), -$9.68 (median) |
VMMXX: Vanguard Prime Money Market
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 521 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $498.00 (average), +$503.62 (median) |
Average CAGR (annualized rate of return) of those 521 12-month periods | 4.98% |
Standard deviation (σ) of single-month returns, annualized | 1.11% |
Link to Vanguard's web page for VMMXX | VMMXX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VMMXX lost money | 0/521 = 0.0% |
Number of periods in which VMMXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 195 periods |
195/521 = 37.4% -$153.96 (average), -$155.87 (median) |
Dollar loss, 4/2014 - 3/2015 | +$0.96 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$381.34 |
VMFXX: Vanguard Federal Money Market
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 448 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $404.64 (average), +$429.02 (median) |
Average CAGR (annualized rate of return) of those 448 12-month periods | 4.05% |
Standard deviation (σ) of single-month returns, annualized | 0.93% |
Link to Vanguard's web page for VMFXX | VMFXX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VMFXX made less than VMMXX Average/median shortfall versus VMMXX over those 425 periods |
425/448 = 94.9% -$14.77 (average), -$7.06 (median) |
Number of periods in which VMFXX lost money | 0/448 = 0.0% |
Number of periods in which VMFXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 153 periods |
153/448 = 34.2% -$150.62 (average), -$145.22 (median) |
Compared to VMMXX, 9/1981 - 8/1982 | -$120.91 |
Dollar loss, 11/2011 - 10/2012 | +$0.93 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$385.48 |
Compared to VMMXX | VMFXX vs VMMXX, 9/1981 - 8/1982 |
Average/median additional return above VMMXX, over 448 overlapping 12-month periods | -$13.86 (average), -$6.78 (median) |
Very short-term
BIL: SPDR® Bloomberg Barclays 1-3 Month T-Bill
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 138 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $46.14 (average), +$0.97 (median) |
Average CAGR (annualized rate of return) of those 138 12-month periods | 0.46% |
Standard deviation (σ) of single-month returns, annualized | 0.33% |
Number of periods in which BIL made less than VMMXX Average/median shortfall versus VMMXX over those 138 periods |
138/138 = 100.0% -$27.11 (average), -$15.76 (median) |
Number of periods in which BIL lost money Average/median dollar loss over those 63 periods |
63/138 = 45.7% -$6.69 (average), -$6.87 (median) |
Number of periods in which BIL failed to keep up with inflation Average/median real loss (inflation-corrected) over those 114 periods |
114/138 = 82.6% -$167.62 (average), -$158.85 (median) |
Compared to VMMXX, 2/2008 - 1/2009 | -$116.79 |
Dollar loss, 11/2014 - 10/2015 | -$12.62 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$388.89 |
Compared to VMMXX | BIL vs VMMXX, 2/2008 - 1/2009 |
Average/median additional return above VMMXX, over 138 overlapping 12-month periods | -$27.11 (average), -$15.76 (median) |
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 89 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $152.01 (average), +$167.66 (median) |
Average CAGR (annualized rate of return) of those 89 12-month periods | 1.52% |
Standard deviation (σ) of single-month returns, annualized | 0.78% |
Number of periods in which FLOT made less than VMMXX Average/median shortfall versus VMMXX over those 9 periods |
9/89 = 10.1% -$13.18 (average), -$5.64 (median) |
Number of periods in which FLOT lost money Average/median dollar loss over those 4 periods |
4/89 = 4.5% -$12.40 (average), -$11.80 (median) |
Number of periods in which FLOT failed to keep up with inflation Average/median real loss (inflation-corrected) over those 56 periods |
56/89 = 62.9% -$54.30 (average), -$46.81 (median) |
Compared to VMMXX, 1/2018 - 12/2018 | -$38.76 |
Dollar loss, 10/2014 - 9/2015 | -$24.93 |
Real loss (inflation-corrected), 6/2013 - 5/2014 | -$140.12 |
Compared to VMMXX | FLOT vs VMMXX, 1/2018 - 12/2018 |
Average/median additional return above VMMXX, over 89 overlapping 12-month periods | +$89.06 (average), +$70.68 (median) |
FTSM: First Trust Enhanced Short Maturity
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 51 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $143.77 (average), +$148.22 (median) |
Average CAGR (annualized rate of return) of those 51 12-month periods | 1.44% |
Standard deviation (σ) of single-month returns, annualized | 0.30% |
Number of periods in which FTSM made less than VMMXX Average/median shortfall versus VMMXX over those 1 periods |
1/51 = 2.0% $0.00 (average), $0.00 (median) |
Number of periods in which FTSM lost money | 0/51 = 0.0% |
Number of periods in which FTSM failed to keep up with inflation Average/median real loss (inflation-corrected) over those 38 periods |
38/51 = 74.5% -$68.09 (average), -$66.00 (median) |
Compared to VMMXX, 1/2018 - 12/2018 | -$10.24 |
Dollar loss, 3/2015 - 2/2016 | +$21.70 |
Real loss (inflation-corrected), 3/2016 - 2/2017 | -$147.00 |
Compared to VMMXX | FTSM vs VMMXX, 1/2018 - 12/2018 |
Average/median additional return above VMMXX, over 51 overlapping 12-month periods | +$35.50 (average), +$32.36 (median) |
FULIX: Federated Ultrashort Bond
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 258 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $297.26 (average), +$223.60 (median) |
Average CAGR (annualized rate of return) of those 258 12-month periods | 2.97% |
Standard deviation (σ) of single-month returns, annualized | 1.23% |
Number of periods in which FULIX made less than VMMXX Average/median shortfall versus VMMXX over those 49 periods |
49/258 = 19.0% -$177.32 (average), -$74.51 (median) |
Number of periods in which FULIX lost money Average/median dollar loss over those 9 periods |
9/258 = 3.5% -$227.86 (average), -$276.78 (median) |
Number of periods in which FULIX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 127 periods |
127/258 = 49.2% -$116.12 (average), -$73.88 (median) |
Compared to VMMXX, 12/2007 - 11/2008 | -$689.73 |
Dollar loss, 12/2007 - 11/2008 | -$392.97 |
Real loss (inflation-corrected), 11/2007 - 10/2008 | -$659.91 |
Compared to VMMXX | FULIX vs VMMXX, 12/2007 - 11/2008 |
Average/median additional return above VMMXX, over 258 overlapping 12-month periods | +$84.14 (average), +$73.89 (median) |
GSY: Invesco Ultra Short Duration
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 129 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $120.59 (average), +$116.63 (median) |
Average CAGR (annualized rate of return) of those 129 12-month periods | 1.21% |
Standard deviation (σ) of single-month returns, annualized | 0.38% |
Number of periods in which GSY made less than VMMXX Average/median shortfall versus VMMXX over those 32 periods |
32/129 = 24.8% -$29.00 (average), -$11.32 (median) |
Number of periods in which GSY lost money Average/median dollar loss over those 9 periods |
9/129 = 7.0% -$6.55 (average), -$4.42 (median) |
Number of periods in which GSY failed to keep up with inflation Average/median real loss (inflation-corrected) over those 79 periods |
79/129 = 61.2% -$118.06 (average), -$77.62 (median) |
Compared to VMMXX, 4/2008 - 3/2009 | -$96.37 |
Dollar loss, 10/2010 - 9/2011 | -$19.69 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$406.52 |
Compared to VMMXX | GSY vs VMMXX, 4/2008 - 3/2009 |
Average/median additional return above VMMXX, over 129 overlapping 12-month periods | +$64.46 (average), +$77.83 (median) |
MINT: PIMCO Enhanced Short Maturity Active
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 108 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $143.44 (average), +$156.68 (median) |
Average CAGR (annualized rate of return) of those 108 12-month periods | 1.43% |
Standard deviation (σ) of single-month returns, annualized | 0.47% |
Number of periods in which MINT made less than VMMXX Average/median shortfall versus VMMXX over those 2 periods |
2/108 = 1.9% -$14.02 (average), -$14.02 (median) |
Number of periods in which MINT lost money | 0/108 = 0.0% |
Number of periods in which MINT failed to keep up with inflation Average/median real loss (inflation-corrected) over those 67 periods |
67/108 = 62.0% -$86.14 (average), -$70.94 (median) |
Compared to VMMXX, 1/2018 - 12/2018 | -$23.36 |
Dollar loss, 10/2014 - 9/2015 | +$22.14 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$334.48 |
Compared to VMMXX | MINT vs VMMXX, 1/2018 - 12/2018 |
Average/median additional return above VMMXX, over 108 overlapping 12-month periods | +$90.59 (average), +$77.28 (median) |
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 62 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $147.41 (average), +$147.35 (median) |
Average CAGR (annualized rate of return) of those 62 12-month periods | 1.47% |
Standard deviation (σ) of single-month returns, annualized | 0.34% |
Number of periods in which NEAR made less than VMMXX Average/median shortfall versus VMMXX over those 2 periods |
2/62 = 3.2% -$18.04 (average), -$18.04 (median) |
Number of periods in which NEAR lost money | 0/62 = 0.0% |
Number of periods in which NEAR failed to keep up with inflation Average/median real loss (inflation-corrected) over those 37 periods |
37/62 = 59.7% -$58.87 (average), -$51.99 (median) |
Compared to VMMXX, 1/2018 - 12/2018 | -$24.16 |
Dollar loss, 7/2014 - 6/2015 | +$53.57 |
Real loss (inflation-corrected), 8/2017 - 7/2018 | -$131.60 |
Compared to VMMXX | NEAR vs VMMXX, 1/2018 - 12/2018 |
Average/median additional return above VMMXX, over 62 overlapping 12-month periods | +$58.15 (average), +$62.38 (median) |
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 142 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $77.13 (average), +$16.22 (median) |
Average CAGR (annualized rate of return) of those 142 12-month periods | 0.77% |
Standard deviation (σ) of single-month returns, annualized | 0.46% |
Number of periods in which SHV made less than VMMXX Average/median shortfall versus VMMXX over those 78 periods |
78/142 = 54.9% -$17.21 (average), -$10.52 (median) |
Number of periods in which SHV lost money Average/median dollar loss over those 6 periods |
6/142 = 4.2% -$0.68 (average), -$0.49 (median) |
Number of periods in which SHV failed to keep up with inflation Average/median real loss (inflation-corrected) over those 109 periods |
109/142 = 76.8% -$160.64 (average), -$150.73 (median) |
Compared to VMMXX, 4/2008 - 3/2009 | -$55.21 |
Dollar loss, 9/2011 - 8/2012 | -$1.49 |
Real loss (inflation-corrected), 10/2010 - 9/2011 | -$376.90 |
Compared to VMMXX | SHV vs VMMXX, 4/2008 - 3/2009 |
Average/median additional return above VMMXX, over 142 overlapping 12-month periods | -$7.29 (average), -$0.78 (median) |
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 196 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $194.05 (average), +$117.52 (median) |
Average CAGR (annualized rate of return) of those 196 12-month periods | 1.94% |
Standard deviation (σ) of single-month returns, annualized | 1.29% |
Number of periods in which SHY made less than VMMXX Average/median shortfall versus VMMXX over those 60 periods |
60/196 = 30.6% -$98.43 (average), -$92.87 (median) |
Number of periods in which SHY lost money Average/median dollar loss over those 12 periods |
12/196 = 6.1% -$24.41 (average), -$20.48 (median) |
Number of periods in which SHY failed to keep up with inflation Average/median real loss (inflation-corrected) over those 120 periods |
120/196 = 61.2% -$159.88 (average), -$153.10 (median) |
Compared to VMMXX, 7/2005 - 6/2006 | -$237.14 |
Dollar loss, 4/2004 - 3/2005 | -$52.71 |
Real loss (inflation-corrected), 10/2004 - 9/2005 | -$388.31 |
Compared to VMMXX | SHY vs VMMXX, 7/2005 - 6/2006 |
Average/median additional return above VMMXX, over 196 overlapping 12-month periods | +$53.17 (average), +$46.85 (median) |
VUBFX: Vanguard Ultra-Short-Term Bond
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 45 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $164.78 (average), +$123.34 (median) |
Average CAGR (annualized rate of return) of those 45 12-month periods | 1.65% |
Standard deviation (σ) of single-month returns, annualized | 0.44% |
Link to Vanguard's web page for VUBFX | VUBFX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VUBFX made less than VMMXX Average/median shortfall versus VMMXX over those 11 periods |
11/45 = 24.4% -$14.68 (average), -$17.19 (median) |
Number of periods in which VUBFX lost money | 0/45 = 0.0% |
Number of periods in which VUBFX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 30 periods |
30/45 = 66.7% -$93.18 (average), -$88.66 (median) |
Compared to VMMXX, 9/2017 - 8/2018 | -$25.73 |
Dollar loss, 4/2015 - 3/2016 | +$64.24 |
Real loss (inflation-corrected), 8/2017 - 7/2018 | -$165.89 |
Compared to VMMXX | VUBFX vs VMMXX, 9/2017 - 8/2018 |
Average/median additional return above VMMXX, over 45 overlapping 12-month periods | +$42.75 (average), +$47.28 (median) |
VMLTX: Vanguard Limited-Term Tax-Exempt
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 375 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $393.10 (average), +$381.58 (median) |
Average CAGR (annualized rate of return) of those 375 12-month periods | 3.93% |
Standard deviation (σ) of single-month returns, annualized | 1.84% |
Link to Vanguard's web page for VMLTX | VMLTX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VMLTX made less than VMMXX Average/median shortfall versus VMMXX over those 144 periods |
144/375 = 38.4% -$145.49 (average), -$129.31 (median) |
Number of periods in which VMLTX lost money Average/median dollar loss over those 8 periods |
8/375 = 2.1% -$14.89 (average), -$11.72 (median) |
Number of periods in which VMLTX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 110 periods |
110/375 = 29.3% -$142.83 (average), -$137.38 (median) |
Compared to VMMXX, 2/1999 - 1/2000 | -$443.89 |
Dollar loss, 12/2015 - 11/2016 | -$34.62 |
Real loss (inflation-corrected), 11/2004 - 10/2005 | -$364.10 |
Compared to VMMXX | VMLTX vs VMMXX, 2/1999 - 1/2000 |
Average/median additional return above VMMXX, over 375 overlapping 12-month periods | +$63.87 (average), +$53.53 (median) |
Short-term
VFIIX: Vanguard GNMA
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 461 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $760.66 (average), +$673.60 (median) |
Average CAGR (annualized rate of return) of those 461 12-month periods | 7.61% |
Standard deviation (σ) of single-month returns, annualized | 4.89% |
Link to Vanguard's web page for VFIIX | VFIIX |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VFIIX made less than VMMXX Average/median shortfall versus VMMXX over those 109 periods |
109/461 = 23.6% -$304.08 (average), -$195.84 (median) |
Number of periods in which VFIIX lost money Average/median dollar loss over those 33 periods |
33/461 = 7.2% -$125.91 (average), -$89.60 (median) |
Number of periods in which VFIIX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 92 periods |
92/461 = 20.0% -$260.46 (average), -$212.85 (median) |
Compared to VMMXX, 9/1980 - 8/1981 | -$2216.48 |
Dollar loss, 9/1980 - 8/1981 | -$605.85 |
Real loss (inflation-corrected), 9/1980 - 8/1981 | -$1686.28 |
Compared to VMMXX | VFIIX vs VMMXX, 9/1980 - 8/1981 |
Average/median additional return above VMMXX, over 461 overlapping 12-month periods | +$307.78 (average), +$302.89 (median) |
VFISX: Vanguard Short-Term Treasury
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 325 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $382.35 (average), +$304.19 (median) |
Average CAGR (annualized rate of return) of those 325 12-month periods | 3.82% |
Standard deviation (σ) of single-month returns, annualized | 1.95% |
Link to Vanguard's web page for VFISX | VFISX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VFISX made less than VMMXX Average/median shortfall versus VMMXX over those 97 periods |
97/325 = 29.8% -$131.29 (average), -$109.94 (median) |
Number of periods in which VFISX lost money Average/median dollar loss over those 19 periods |
19/325 = 5.8% -$32.68 (average), -$31.99 (median) |
Number of periods in which VFISX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 132 periods |
132/325 = 40.6% -$150.49 (average), -$140.03 (median) |
Compared to VMMXX, 1/1994 - 12/1994 | -$456.03 |
Dollar loss, 5/2017 - 4/2018 | -$69.26 |
Real loss (inflation-corrected), 11/2004 - 10/2005 | -$369.35 |
Compared to VMMXX | VFISX vs VMMXX, 1/1994 - 12/1994 |
Average/median additional return above VMMXX, over 325 overlapping 12-month periods | +$118.64 (average), +$91.78 (median) |
VFITX: Vanguard Intermediate-Term Treasury
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 325 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $553.24 (average), +$490.49 (median) |
Average CAGR (annualized rate of return) of those 325 12-month periods | 5.53% |
Standard deviation (σ) of single-month returns, annualized | 4.73% |
Link to Vanguard's web page for VFITX | VFITX |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VFITX made less than VMMXX Average/median shortfall versus VMMXX over those 95 periods |
95/325 = 29.2% -$298.08 (average), -$231.94 (median) |
Number of periods in which VFITX lost money Average/median dollar loss over those 56 periods |
56/325 = 17.2% -$192.03 (average), -$178.95 (median) |
Number of periods in which VFITX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 90 periods |
90/325 = 27.7% -$321.44 (average), -$315.29 (median) |
Compared to VMMXX, 2/1999 - 1/2000 | -$966.09 |
Dollar loss, 11/1993 - 10/1994 | -$529.38 |
Real loss (inflation-corrected), 10/1993 - 9/1994 | -$791.88 |
Compared to VMMXX | VFITX vs VMMXX, 2/1999 - 1/2000 |
Average/median additional return above VMMXX, over 325 overlapping 12-month periods | +$289.52 (average), +$288.78 (median) |
VGSH: Vanguard Short-Term Treasury Index Fund
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 108 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $93.50 (average), +$64.73 (median) |
Average CAGR (annualized rate of return) of those 108 12-month periods | 0.93% |
Standard deviation (σ) of single-month returns, annualized | 0.81% |
Link to Vanguard's web page for VGSH | VGSH |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VGSH made less than VMMXX Average/median shortfall versus VMMXX over those 24 periods |
24/108 = 22.2% -$95.95 (average), -$81.72 (median) |
Number of periods in which VGSH lost money Average/median dollar loss over those 10 periods |
10/108 = 9.3% -$16.51 (average), -$15.60 (median) |
Number of periods in which VGSH failed to keep up with inflation Average/median real loss (inflation-corrected) over those 82 periods |
82/108 = 75.9% -$146.47 (average), -$142.62 (median) |
Compared to VMMXX, 8/2017 - 7/2018 | -$180.27 |
Dollar loss, 5/2017 - 4/2018 | -$39.96 |
Real loss (inflation-corrected), 8/2017 - 7/2018 | -$324.01 |
Compared to VMMXX | VGSH vs VMMXX, 8/2017 - 7/2018 |
Average/median additional return above VMMXX, over 108 overlapping 12-month periods | +$40.65 (average), +$48.38 (median) |
VBISX: Vanguard Short-Term Bond Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 296 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $413.71 (average), +$380.34 (median) |
Average CAGR (annualized rate of return) of those 296 12-month periods | 4.14% |
Standard deviation (σ) of single-month returns, annualized | 2.04% |
Link to Vanguard's web page for VBISX | VBISX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VBISX made less than VMMXX Average/median shortfall versus VMMXX over those 67 periods |
67/296 = 22.6% -$128.70 (average), -$122.27 (median) |
Number of periods in which VBISX lost money Average/median dollar loss over those 11 periods |
11/296 = 3.7% -$41.49 (average), -$43.48 (median) |
Number of periods in which VBISX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 92 periods |
92/296 = 31.1% -$149.68 (average), -$141.21 (median) |
Compared to VMMXX, 2/1999 - 1/2000 | -$356.95 |
Dollar loss, 8/2017 - 7/2018 | -$66.54 |
Real loss (inflation-corrected), 11/2004 - 10/2005 | -$413.11 |
Compared to VMMXX | VBISX vs VMMXX, 2/1999 - 1/2000 |
Average/median additional return above VMMXX, over 296 overlapping 12-month periods | +$157.96 (average), +$148.19 (median) |
VSBSX: Vanguard Short-Term Treasury Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 108 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $92.93 (average), +$64.25 (median) |
Average CAGR (annualized rate of return) of those 108 12-month periods | 0.93% |
Standard deviation (σ) of single-month returns, annualized | 0.82% |
Link to Vanguard's web page for VSBSX | VSBSX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VSBSX made less than VMMXX Average/median shortfall versus VMMXX over those 24 periods |
24/108 = 22.2% -$94.78 (average), -$82.29 (median) |
Number of periods in which VSBSX lost money Average/median dollar loss over those 10 periods |
10/108 = 9.3% -$15.03 (average), -$13.41 (median) |
Number of periods in which VSBSX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 82 periods |
82/108 = 75.9% -$146.94 (average), -$142.59 (median) |
Compared to VMMXX, 10/2017 - 9/2018 | -$177.70 |
Dollar loss, 5/2017 - 4/2018 | -$37.27 |
Real loss (inflation-corrected), 8/2017 - 7/2018 | -$319.22 |
Compared to VMMXX | VSBSX vs VMMXX, 10/2017 - 9/2018 |
Average/median additional return above VMMXX, over 108 overlapping 12-month periods | +$40.09 (average), +$46.09 (median) |
VSGBX: Vanguard Short-Term Federal
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 371 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $473.89 (average), +$460.10 (median) |
Average CAGR (annualized rate of return) of those 371 12-month periods | 4.74% |
Standard deviation (σ) of single-month returns, annualized | 2.02% |
Link to Vanguard's web page for VSGBX | VSGBX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VSGBX made less than VMMXX Average/median shortfall versus VMMXX over those 100 periods |
100/371 = 27.0% -$132.79 (average), -$104.81 (median) |
Number of periods in which VSGBX lost money Average/median dollar loss over those 24 periods |
24/371 = 6.5% -$32.78 (average), -$29.42 (median) |
Number of periods in which VSGBX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 116 periods |
116/371 = 31.3% -$151.74 (average), -$144.23 (median) |
Compared to VMMXX, 1/1994 - 12/1994 | -$502.65 |
Dollar loss, 1/1994 - 12/1994 | -$94.36 |
Real loss (inflation-corrected), 11/2004 - 10/2005 | -$375.84 |
Compared to VMMXX | VSGBX vs VMMXX, 1/1994 - 12/1994 |
Average/median additional return above VMMXX, over 371 overlapping 12-month periods | +$149.14 (average), +$130.70 (median) |
VTIPX: Vanguard Short-Term Inflation-Protected Securities Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 73 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $62.12 (average), +$54.90 (median) |
Average CAGR (annualized rate of return) of those 73 12-month periods | 0.62% |
Standard deviation (σ) of single-month returns, annualized | 1.53% |
Link to Vanguard's web page for VTIPX | VTIPX |
Vanguard's risk potential classification Risk level 1 (conservative) |
Vanguard funds are classified as conservative if their share prices are expected to remain stable or to fluctuate only slightly. Such funds may be appropriate for the short-term reserves portion of a long-term investment portfolio or for investors with short-term investment horizons (3 years or less). |
Number of periods in which VTIPX made less than VMMXX Average/median shortfall versus VMMXX over those 45 periods |
45/73 = 61.6% -$96.16 (average), -$95.75 (median) |
Number of periods in which VTIPX lost money Average/median dollar loss over those 25 periods |
25/73 = 34.2% -$111.22 (average), -$121.98 (median) |
Number of periods in which VTIPX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 55 periods |
55/73 = 75.3% -$154.42 (average), -$157.31 (median) |
Compared to VMMXX, 9/2014 - 8/2015 | -$224.53 |
Dollar loss, 9/2014 - 8/2015 | -$222.98 |
Real loss (inflation-corrected), 4/2013 - 3/2014 | -$347.89 |
Compared to VMMXX | VTIPX vs VMMXX, 9/2014 - 8/2015 |
Average/median additional return above VMMXX, over 73 overlapping 12-month periods | -$13.96 (average), -$30.41 (median) |
Intermediate-term
VBMFX: Vanguard Total Bond Market Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 383 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $606.56 (average), +$580.55 (median) |
Average CAGR (annualized rate of return) of those 383 12-month periods | 6.07% |
Standard deviation (σ) of single-month returns, annualized | 3.81% |
Link to Vanguard's web page for VBMFX | VBMFX |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VBMFX made less than VMMXX Average/median shortfall versus VMMXX over those 105 periods |
105/383 = 27.4% -$216.49 (average), -$170.36 (median) |
Number of periods in which VBMFX lost money Average/median dollar loss over those 38 periods |
38/383 = 9.9% -$126.38 (average), -$100.58 (median) |
Number of periods in which VBMFX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 82 periods |
82/383 = 21.4% -$245.39 (average), -$215.60 (median) |
Compared to VMMXX, 11/1993 - 10/1994 | -$743.09 |
Dollar loss, 11/1993 - 10/1994 | -$372.88 |
Real loss (inflation-corrected), 11/1993 - 10/1994 | -$633.69 |
Compared to VMMXX | VBMFX vs VMMXX, 11/1993 - 10/1994 |
Average/median additional return above VMMXX, over 383 overlapping 12-month periods | +$269.56 (average), +$284.21 (median) |
VTEB: Vanguard Tax-Exempt Bond Index Fund
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 39 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $283.46 (average), +$136.26 (median) |
Average CAGR (annualized rate of return) of those 39 12-month periods | 2.83% |
Standard deviation (σ) of single-month returns, annualized | 3.06% |
Link to Vanguard's web page for VTEB | VTEB |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VTEB made less than VMMXX Average/median shortfall versus VMMXX over those 18 periods |
18/39 = 46.2% -$78.49 (average), -$61.60 (median) |
Number of periods in which VTEB lost money Average/median dollar loss over those 5 periods |
5/39 = 12.8% -$38.45 (average), -$28.61 (median) |
Number of periods in which VTEB failed to keep up with inflation Average/median real loss (inflation-corrected) over those 21 periods |
21/39 = 53.8% -$180.10 (average), -$176.11 (median) |
Compared to VMMXX, 11/2017 - 10/2018 | -$262.26 |
Dollar loss, 11/2017 - 10/2018 | -$85.35 |
Real loss (inflation-corrected), 11/2017 - 10/2018 | -$337.60 |
Compared to VMMXX | VTEB vs VMMXX, 11/2017 - 10/2018 |
Average/median additional return above VMMXX, over 39 overlapping 12-month periods | +$146.18 (average), +$51.34 (median) |
VWIUX: Vanguard Intermediate-Term Tax-Exempt
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 494 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $567.00 (average), +$543.19 (median) |
Average CAGR (annualized rate of return) of those 494 12-month periods | 5.67% |
Standard deviation (σ) of single-month returns, annualized | 5.49% |
Link to Vanguard's web page for VWIUX | VWIUX |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VWIUX made less than VMMXX Average/median shortfall versus VMMXX over those 184 periods |
184/494 = 37.2% -$588.72 (average), -$233.87 (median) |
Number of periods in which VWIUX lost money Average/median dollar loss over those 67 periods |
67/494 = 13.6% -$407.91 (average), -$212.28 (median) |
Number of periods in which VWIUX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 147 periods |
147/494 = 29.8% -$620.38 (average), -$271.88 (median) |
Compared to VMMXX, 9/1980 - 8/1981 | -$3159.91 |
Dollar loss, 4/1979 - 3/1980 | -$1563.90 |
Real loss (inflation-corrected), 4/1979 - 3/1980 | -$3039.55 |
Compared to VMMXX | VWIUX vs VMMXX, 9/1980 - 8/1981 |
Average/median additional return above VMMXX, over 494 overlapping 12-month periods | +$70.72 (average), +$149.84 (median) |
Long-term
VNYTX: Vanguard New York Long-Term Tax-Exempt
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 391 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $580.23 (average), +$600.57 (median) |
Average CAGR (annualized rate of return) of those 391 12-month periods | 5.80% |
Standard deviation (σ) of single-month returns, annualized | 5.29% |
Link to Vanguard's web page for VNYTX | VNYTX |
Vanguard's risk potential classification Risk level 3 (moderate) |
Vanguard funds classified as moderate are subject to a moderate degree of fluctuation in share prices. In general, such funds may be appropriate for investors who have a relatively long-term investment horizon (more than 5 years). |
Number of periods in which VNYTX made less than VMMXX Average/median shortfall versus VMMXX over those 124 periods |
124/391 = 31.7% -$327.51 (average), -$226.70 (median) |
Number of periods in which VNYTX lost money Average/median dollar loss over those 47 periods |
47/391 = 12.0% -$260.35 (average), -$288.70 (median) |
Number of periods in which VNYTX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 116 periods |
116/391 = 29.7% -$294.57 (average), -$219.35 (median) |
Compared to VMMXX, 11/1986 - 10/1987 | -$1381.28 |
Dollar loss, 11/1986 - 10/1987 | -$750.14 |
Real loss (inflation-corrected), 11/1986 - 10/1987 | -$1203.45 |
Compared to VMMXX | VNYTX vs VMMXX, 11/1986 - 10/1987 |
Average/median additional return above VMMXX, over 391 overlapping 12-month periods | +$237.40 (average), +$248.10 (median) |
Balanced
VBINX: Vanguard Balanced Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 312 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $845.38 (average), +$984.76 (median) |
Average CAGR (annualized rate of return) of those 312 12-month periods | 8.45% |
Standard deviation (σ) of single-month returns, annualized | 8.80% |
Link to Vanguard's web page for VBINX | VBINX |
Vanguard's risk potential classification Risk level 3 (moderate) |
Vanguard funds classified as moderate are subject to a moderate degree of fluctuation in share prices. In general, such funds may be appropriate for investors who have a relatively long-term investment horizon (more than 5 years). |
Number of periods in which VBINX made less than VMMXX Average/median shortfall versus VMMXX over those 66 periods |
66/312 = 21.2% -$959.42 (average), -$773.22 (median) |
Number of periods in which VBINX lost money Average/median dollar loss over those 55 periods |
55/312 = 17.6% -$783.36 (average), -$485.73 (median) |
Number of periods in which VBINX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 68 periods |
68/312 = 21.8% -$824.47 (average), -$631.16 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$3000.48 |
Dollar loss, 3/2008 - 2/2009 | -$2767.23 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$2790.85 |
Compared to VMMXX | VBINX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 312 overlapping 12-month periods | +$584.54 (average), +$747.39 (median) |
VSCGX: Vanguard LifeStrategy Conservative Growth
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 290 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $695.60 (average), +$780.50 (median) |
Average CAGR (annualized rate of return) of those 290 12-month periods | 6.96% |
Standard deviation (σ) of single-month returns, annualized | 6.69% |
Link to Vanguard's web page for VSCGX | VSCGX |
Vanguard's risk potential classification Risk level 3 (moderate) |
Vanguard funds classified as moderate are subject to a moderate degree of fluctuation in share prices. In general, such funds may be appropriate for investors who have a relatively long-term investment horizon (more than 5 years). |
Number of periods in which VSCGX made less than VMMXX Average/median shortfall versus VMMXX over those 59 periods |
59/290 = 20.3% -$744.00 (average), -$535.80 (median) |
Number of periods in which VSCGX lost money Average/median dollar loss over those 44 periods |
44/290 = 15.2% -$652.59 (average), -$395.93 (median) |
Number of periods in which VSCGX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 63 periods |
63/290 = 21.7% -$612.24 (average), -$368.79 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$2660.09 |
Dollar loss, 3/2008 - 2/2009 | -$2426.84 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$2450.46 |
Compared to VMMXX | VSCGX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 290 overlapping 12-month periods | +$445.73 (average), +$533.24 (median) |
VSMGX: Vanguard LifeStrategy Moderate Growth
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 290 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $795.57 (average), +$992.10 (median) |
Average CAGR (annualized rate of return) of those 290 12-month periods | 7.96% |
Standard deviation (σ) of single-month returns, annualized | 9.41% |
Link to Vanguard's web page for VSMGX | VSMGX |
Vanguard's risk potential classification Risk level 3 (moderate) |
Vanguard funds classified as moderate are subject to a moderate degree of fluctuation in share prices. In general, such funds may be appropriate for investors who have a relatively long-term investment horizon (more than 5 years). |
Number of periods in which VSMGX made less than VMMXX Average/median shortfall versus VMMXX over those 67 periods |
67/290 = 23.1% -$1032.23 (average), -$884.19 (median) |
Number of periods in which VSMGX lost money Average/median dollar loss over those 59 periods |
59/290 = 20.3% -$869.41 (average), -$585.99 (median) |
Number of periods in which VSMGX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 68 periods |
68/290 = 23.4% -$941.55 (average), -$707.64 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$3459.91 |
Dollar loss, 3/2008 - 2/2009 | -$3226.66 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$3250.28 |
Compared to VMMXX | VSMGX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 290 overlapping 12-month periods | +$545.70 (average), +$743.50 (median) |
VASIX: Vanguard LifeStrategy Income
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 290 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $612.58 (average), +$596.85 (median) |
Average CAGR (annualized rate of return) of those 290 12-month periods | 6.13% |
Standard deviation (σ) of single-month returns, annualized | 4.33% |
Link to Vanguard's web page for VASIX | VASIX |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VASIX made less than VMMXX Average/median shortfall versus VMMXX over those 53 periods |
53/290 = 18.3% -$375.77 (average), -$202.98 (median) |
Number of periods in which VASIX lost money Average/median dollar loss over those 22 periods |
22/290 = 7.6% -$504.99 (average), -$163.66 (median) |
Number of periods in which VASIX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 46 periods |
46/290 = 15.9% -$371.38 (average), -$236.60 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$1662.90 |
Dollar loss, 3/2008 - 2/2009 | -$1429.66 |
Real loss (inflation-corrected), 11/2007 - 10/2008 | -$1594.10 |
Compared to VMMXX | VASIX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 290 overlapping 12-month periods | +$362.71 (average), +$369.97 (median) |
VASGX: Vanguard LifeStrategy Growth
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 290 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $878.24 (average), +$1169.75 (median) |
Average CAGR (annualized rate of return) of those 290 12-month periods | 8.78% |
Standard deviation (σ) of single-month returns, annualized | 12.29% |
Link to Vanguard's web page for VASGX | VASGX |
Vanguard's risk potential classification Risk level 4 (moderate to aggressive) |
Vanguard funds classified as moderate to aggressive are broadly diversified but are subject to wide fluctuations in share prices because they hold virtually all of their assets in common stocks. These funds may be appropriate for investors who have a long-term investment horizon (10 years or longer). |
Number of periods in which VASGX made less than VMMXX Average/median shortfall versus VMMXX over those 76 periods |
76/290 = 26.2% -$1293.38 (average), -$1175.26 (median) |
Number of periods in which VASGX lost money Average/median dollar loss over those 67 periods |
67/290 = 23.1% -$1179.95 (average), -$885.60 (median) |
Number of periods in which VASGX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 77 periods |
77/290 = 26.6% -$1211.60 (average), -$978.27 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$4293.05 |
Dollar loss, 3/2008 - 2/2009 | -$4059.80 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$4083.42 |
Compared to VMMXX | VASGX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 290 overlapping 12-month periods | +$628.37 (average), +$935.55 (median) |
VWELX: Vanguard Wellington
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 521 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $1143.11 (average), +$1167.85 (median) |
Average CAGR (annualized rate of return) of those 521 12-month periods | 11.43% |
Standard deviation (σ) of single-month returns, annualized | 10.12% |
Link to Vanguard's web page for VWELX | VWELX |
Vanguard's risk potential classification Risk level 3 (moderate) |
Vanguard funds classified as moderate are subject to a moderate degree of fluctuation in share prices. In general, such funds may be appropriate for investors who have a relatively long-term investment horizon (more than 5 years). |
Number of periods in which VWELX made less than VMMXX Average/median shortfall versus VMMXX over those 127 periods |
127/521 = 24.4% -$783.88 (average), -$655.82 (median) |
Number of periods in which VWELX lost money Average/median dollar loss over those 70 periods |
70/521 = 13.4% -$610.53 (average), -$373.47 (median) |
Number of periods in which VWELX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 117 periods |
117/521 = 22.5% -$685.15 (average), -$511.66 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$3104.03 |
Dollar loss, 3/2008 - 2/2009 | -$2870.78 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$2894.40 |
Compared to VMMXX | VWELX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 521 overlapping 12-month periods | +$645.11 (average), +$747.25 (median) |
VWINX: Vanguard Wellesley Income
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 521 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $1034.38 (average), +$921.95 (median) |
Average CAGR (annualized rate of return) of those 521 12-month periods | 10.34% |
Standard deviation (σ) of single-month returns, annualized | 6.95% |
Link to Vanguard's web page for VWINX | VWINX |
Vanguard's risk potential classification Risk level 3 (moderate) |
Vanguard funds classified as moderate are subject to a moderate degree of fluctuation in share prices. In general, such funds may be appropriate for investors who have a relatively long-term investment horizon (more than 5 years). |
Number of periods in which VWINX made less than VMMXX Average/median shortfall versus VMMXX over those 130 periods |
130/521 = 25.0% -$549.84 (average), -$470.07 (median) |
Number of periods in which VWINX lost money Average/median dollar loss over those 38 periods |
38/521 = 7.3% -$479.82 (average), -$353.96 (median) |
Number of periods in which VWINX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 116 periods |
116/521 = 22.3% -$474.54 (average), -$404.59 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$1884.28 |
Dollar loss, 3/2008 - 2/2009 | -$1651.03 |
Real loss (inflation-corrected), 4/1979 - 3/1980 | -$1984.16 |
Compared to VMMXX | VWINX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 521 overlapping 12-month periods | +$536.38 (average), +$590.60 (median) |
Stock
VFINX: Vanguard 500 Index Investor
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 507 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $1239.19 (average), +$1384.03 (median) |
Average CAGR (annualized rate of return) of those 507 12-month periods | 12.39% |
Standard deviation (σ) of single-month returns, annualized | 14.68% |
Link to Vanguard's web page for VFINX | VFINX |
Vanguard's risk potential classification Risk level 4 (moderate to aggressive) |
Vanguard funds classified as moderate to aggressive are broadly diversified but are subject to wide fluctuations in share prices because they hold virtually all of their assets in common stocks. These funds may be appropriate for investors who have a long-term investment horizon (10 years or longer). |
Number of periods in which VFINX made less than VMMXX Average/median shortfall versus VMMXX over those 126 periods |
126/507 = 24.9% -$1464.58 (average), -$1384.27 (median) |
Number of periods in which VFINX lost money Average/median dollar loss over those 93 periods |
93/507 = 18.3% -$1285.91 (average), -$965.20 (median) |
Number of periods in which VFINX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 121 periods |
121/507 = 23.9% -$1326.04 (average), -$1168.58 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$4565.72 |
Dollar loss, 3/2008 - 2/2009 | -$4332.47 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$4356.09 |
Compared to VMMXX | VFINX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 507 overlapping 12-month periods | +$742.02 (average), +$895.64 (median) |
VGT: Vanguard Information Technology Index Fund
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 178 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $1340.98 (average), +$1317.01 (median) |
Average CAGR (annualized rate of return) of those 178 12-month periods | 13.41% |
Standard deviation (σ) of single-month returns, annualized | 17.67% |
Link to Vanguard's web page for VGT | VGT |
Vanguard's risk potential classification Risk level 5 (aggressive) |
Vanguard funds classified as aggressive are subject to extremely wide fluctuations in share prices. These funds may be appropriate for investors who have a long-term investment horizon (10 years or longer). The unusually high volatility associated with these funds may stem from a number of strategies. |
Number of periods in which VGT made less than VMMXX Average/median shortfall versus VMMXX over those 33 periods |
33/178 = 18.5% -$1478.65 (average), -$753.79 (median) |
Number of periods in which VGT lost money Average/median dollar loss over those 28 periods |
28/178 = 15.7% -$1463.38 (average), -$831.76 (median) |
Number of periods in which VGT failed to keep up with inflation Average/median real loss (inflation-corrected) over those 35 periods |
35/178 = 19.7% -$1360.78 (average), -$756.79 (median) |
Compared to VMMXX, 12/2007 - 11/2008 | -$4615.09 |
Dollar loss, 12/2007 - 11/2008 | -$4318.33 |
Real loss (inflation-corrected), 11/2007 - 10/2008 | -$4488.07 |
Compared to VMMXX | VGT vs VMMXX, 12/2007 - 11/2008 |
Average/median additional return above VMMXX, over 178 overlapping 12-month periods | +$1195.18 (average), +$1203.10 (median) |
VTEAX: Vanguard Tax-Exempt Bond Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 39 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $284.04 (average), +$135.48 (median) |
Average CAGR (annualized rate of return) of those 39 12-month periods | 2.84% |
Standard deviation (σ) of single-month returns, annualized | 3.05% |
Link to Vanguard's web page for VTEAX | VTEAX |
Vanguard's risk potential classification Risk level 2 (conservative to moderate) |
Vanguard funds classified as conservative to moderate are subject to low to moderate fluctuations in share prices. In general, such funds may be appropriate for investors with medium-term investment horizons (4 to 10 years). |
Number of periods in which VTEAX made less than VMMXX Average/median shortfall versus VMMXX over those 18 periods |
18/39 = 46.2% -$77.15 (average), -$59.77 (median) |
Number of periods in which VTEAX lost money Average/median dollar loss over those 4 periods |
4/39 = 10.3% -$43.59 (average), -$44.69 (median) |
Number of periods in which VTEAX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 21 periods |
21/39 = 53.8% -$179.08 (average), -$174.01 (median) |
Compared to VMMXX, 11/2017 - 10/2018 | -$261.41 |
Dollar loss, 11/2017 - 10/2018 | -$84.50 |
Real loss (inflation-corrected), 11/2017 - 10/2018 | -$336.75 |
Compared to VMMXX | VTEAX vs VMMXX, 11/2017 - 10/2018 |
Average/median additional return above VMMXX, over 39 overlapping 12-month periods | +$146.76 (average), +$49.37 (median) |
VTI: Vanguard Total Stock Market Index Fund
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 319 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $1097.73 (average), +$1383.41 (median) |
Average CAGR (annualized rate of return) of those 319 12-month periods | 10.98% |
Standard deviation (σ) of single-month returns, annualized | 14.52% |
Link to Vanguard's web page for VTI | VTI |
Vanguard's risk potential classification Risk level 4 (moderate to aggressive) |
Vanguard funds classified as moderate to aggressive are broadly diversified but are subject to wide fluctuations in share prices because they hold virtually all of their assets in common stocks. These funds may be appropriate for investors who have a long-term investment horizon (10 years or longer). |
Number of periods in which VTI made less than VMMXX Average/median shortfall versus VMMXX over those 72 periods |
72/319 = 22.6% -$1587.34 (average), -$1507.24 (median) |
Number of periods in which VTI lost money Average/median dollar loss over those 61 periods |
61/319 = 19.1% -$1535.06 (average), -$1367.37 (median) |
Number of periods in which VTI failed to keep up with inflation Average/median real loss (inflation-corrected) over those 71 periods |
71/319 = 22.3% -$1510.09 (average), -$1396.15 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$4547.36 |
Dollar loss, 3/2008 - 2/2009 | -$4314.12 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$4337.74 |
Compared to VMMXX | VTI vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 319 overlapping 12-month periods | +$835.80 (average), +$1111.89 (median) |
VTIAX: Vanguard Total International Stock Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 271 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $667.69 (average), +$863.31 (median) |
Average CAGR (annualized rate of return) of those 271 12-month periods | 6.68% |
Standard deviation (σ) of single-month returns, annualized | 16.82% |
Link to Vanguard's web page for VTIAX | VTIAX |
Vanguard's risk potential classification Risk level 5 (aggressive) |
Vanguard funds classified as aggressive are subject to extremely wide fluctuations in share prices. These funds may be appropriate for investors who have a long-term investment horizon (10 years or longer). The unusually high volatility associated with these funds may stem from a number of strategies. |
Number of periods in which VTIAX made less than VMMXX Average/median shortfall versus VMMXX over those 108 periods |
108/271 = 39.9% -$1489.53 (average), -$1175.82 (median) |
Number of periods in which VTIAX lost money Average/median dollar loss over those 94 periods |
94/271 = 34.7% -$1453.19 (average), -$1188.21 (median) |
Number of periods in which VTIAX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 103 periods |
103/271 = 38.0% -$1499.40 (average), -$1276.12 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$5383.16 |
Dollar loss, 3/2008 - 2/2009 | -$5149.92 |
Real loss (inflation-corrected), 11/2007 - 10/2008 | -$5222.38 |
Compared to VMMXX | VTIAX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 271 overlapping 12-month periods | +$438.88 (average), +$609.78 (median) |
VTSAX: Vanguard Total Stock Market Index
Length of holding period | 12 months |
Total number of overlapping 12-month periods | 319 |
Average/median number of dollars earned in 12 months on a $10,000 investment | $1097.41 (average), +$1381.45 (median) |
Average CAGR (annualized rate of return) of those 319 12-month periods | 10.97% |
Standard deviation (σ) of single-month returns, annualized | 14.45% |
Link to Vanguard's web page for VTSAX | VTSAX |
Vanguard's risk potential classification Risk level 4 (moderate to aggressive) |
Vanguard funds classified as moderate to aggressive are broadly diversified but are subject to wide fluctuations in share prices because they hold virtually all of their assets in common stocks. These funds may be appropriate for investors who have a long-term investment horizon (10 years or longer). |
Number of periods in which VTSAX made less than VMMXX Average/median shortfall versus VMMXX over those 72 periods |
72/319 = 22.6% -$1587.75 (average), -$1506.84 (median) |
Number of periods in which VTSAX lost money Average/median dollar loss over those 61 periods |
61/319 = 19.1% -$1535.53 (average), -$1368.58 (median) |
Number of periods in which VTSAX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 71 periods |
71/319 = 22.3% -$1510.51 (average), -$1395.19 (median) |
Compared to VMMXX, 3/2008 - 2/2009 | -$4548.42 |
Dollar loss, 3/2008 - 2/2009 | -$4315.17 |
Real loss (inflation-corrected), 3/2008 - 2/2009 | -$4338.79 |
Compared to VMMXX | VTSAX vs VMMXX, 3/2008 - 2/2009 |
Average/median additional return above VMMXX, over 319 overlapping 12-month periods | +$835.48 (average), +$1111.76 (median) |
Notes
- ↑ John Bogle, in his 1994 classic, Bogle on Mutual Funds, suggested using a low-cost short-term treasury bond fund, with its government backed credit rating, as a prudent substitute for a money market fund for investment reserves distinct from savings and transaction account balances. (p.132 in the text)
- ↑ For funds and ETFs, calculations are based on data made publicly available free of charge from Morningstar. Data for the CPI is CPI-U, "CPI for All Urban Consumers," not seasonally adjusted, obtained from the Bureau of Labor Statistics.
- ↑ John Bogle, in his 1994 classic, Bogle on Mutual Funds, suggested using a low-cost short-term treasury bond fund, with its government backed credit rating, as a prudent substitute for a money market fund for investment reserves distinct from savings and transaction account balances. (p.132 in the text)