Using mutual funds and ETFs for short-term savings (6 months)
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 (6 months) 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 values: 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 case 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 represents 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 bond funds for the average "duration" of the fund
A "duration" is a calculation based on bond math that gives a number of years, related to the bond's term but shorter. One interpretation of the duration is that it is the "point of indifference." It is too well known that when interest rates rise, bond values fall. What is less well known is that if a bond is held for its duration, at the end of that period of time it will have the same value regardless of what interest rates do, provided the yield curve moves in parallel. This does not apply to a bond fund because the bonds in a fund are all different "ages" at any given time, and because the yield curve doesn't move in parallel. So there are no guarantees, but, nevertheless, the duration tells us a holding period over which the fund is unlikely to lose money.
This leads us to expect, for example, that "short-term" bond funds--like the Vanguard Short-Term Bond Index Fund, with a duration of 2.7 years--will sometimes lose money over periods of 6 or 12 months, but rarely lose money over periods of 5 years. This expectation is borne out by history.
A bond fund may not lose money, in the sense of dollars, yet lose value to inflation.
Money market
BTFXX: BlackRock Liquidity
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 361 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $106.15 (average), +$41.20 (median) |
Average CAGR (annualized rate of return) of those 361 6-month periods | 2.13% |
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 347 periods |
347/361 = 96.1% -$45.43 (average), -$14.19 (median) |
Number of periods in which BTFXX lost money Average/median dollar loss over those 149 periods |
149/361 = 41.3% $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 194 periods |
194/361 = 53.7% -$120.50 (average), -$104.32 (median) |
Compared to VMMXX, 7/1989 - 12/1989 | -$302.66 |
Dollar loss, 6/2015 - 11/2015 | $0.00 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$420.88 |
Compared to VMMXX | BTFXX vs VMMXX, 7/1989 - 12/1989 |
Average/median additional return above VMMXX, over 361 overlapping 6-month periods | -$42.80 (average), -$12.49 (median) |
SWPXX: Schwab Government Money Market Portfolio™
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 301 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $112.57 (average), +$74.88 (median) |
Average CAGR (annualized rate of return) of those 301 6-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 287 periods |
287/301 = 95.3% -$15.30 (average), -$15.18 (median) |
Number of periods in which SWPXX lost money | 0/301 = 0.0% |
Number of periods in which SWPXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 164 periods |
164/301 = 54.5% -$98.26 (average), -$87.90 (median) |
Compared to VMMXX, 10/2008 - 3/2009 | -$58.12 |
Dollar loss, 9/2011 - 2/2012 | +$0.41 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$326.81 |
Compared to VMMXX | SWPXX vs VMMXX, 10/2008 - 3/2009 |
Average/median additional return above VMMXX, over 301 overlapping 6-month periods | -$14.26 (average), -$14.80 (median) |
SWRXX: Schwab Investor Money
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 303 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $114.78 (average), +$87.00 (median) |
Average CAGR (annualized rate of return) of those 303 6-month periods | 2.31% |
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 291 periods |
291/303 = 96.0% -$13.19 (average), -$13.50 (median) |
Number of periods in which SWRXX lost money | 0/303 = 0.0% |
Number of periods in which SWRXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 164 periods |
164/303 = 54.1% -$97.02 (average), -$85.57 (median) |
Compared to VMMXX, 10/2008 - 3/2009 | -$44.24 |
Dollar loss, 10/2015 - 3/2016 | +$0.46 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$326.76 |
Compared to VMMXX | SWRXX vs VMMXX, 10/2008 - 3/2009 |
Average/median additional return above VMMXX, over 303 overlapping 6-month periods | -$12.65 (average), -$13.27 (median) |
SWVXX: Schwab Value Advantage Money
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 326 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $125.69 (average), +$105.94 (median) |
Average CAGR (annualized rate of return) of those 326 6-month periods | 2.53% |
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 270 periods |
270/326 = 82.8% -$5.19 (average), -$3.28 (median) |
Number of periods in which SWVXX lost money Average/median dollar loss over those 6 periods |
6/326 = 1.8% -$0.16 (average), -$0.13 (median) |
Number of periods in which SWVXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 162 periods |
162/326 = 49.7% -$93.22 (average), -$81.75 (median) |
Compared to VMMXX, 10/2008 - 3/2009 | -$36.31 |
Dollar loss, 8/2009 - 1/2010 | -$0.53 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$326.81 |
Compared to VMMXX | SWVXX vs VMMXX, 10/2008 - 3/2009 |
Average/median additional return above VMMXX, over 326 overlapping 6-month periods | -$3.95 (average), -$1.94 (median) |
TSCXX: T. Rowe Price Cash Reserves
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 308 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $122.41 (average), +$91.97 (median) |
Average CAGR (annualized rate of return) of those 308 6-month periods | 2.46% |
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 275 periods |
275/308 = 89.3% -$6.80 (average), -$5.44 (median) |
Number of periods in which TSCXX lost money | 0/308 = 0.0% |
Number of periods in which TSCXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 160 periods |
160/308 = 51.9% -$95.80 (average), -$85.05 (median) |
Compared to VMMXX, 11/2008 - 4/2009 | -$29.39 |
Dollar loss, 10/2009 - 3/2010 | +$0.33 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$326.78 |
Compared to VMMXX | TSCXX vs VMMXX, 11/2008 - 4/2009 |
Average/median additional return above VMMXX, over 308 overlapping 6-month periods | -$5.86 (average), -$4.99 (median) |
VUSXX: Vanguard Treasury Money Market
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 318 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $122.70 (average), +$100.19 (median) |
Average CAGR (annualized rate of return) of those 318 6-month periods | 2.47% |
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 |
259/318 = 81.4% -$8.23 (average), -$6.58 (median) |
Number of periods in which VUSXX lost money | 0/318 = 0.0% |
Number of periods in which VUSXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 158 periods |
158/318 = 49.7% -$94.63 (average), -$79.20 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$51.54 |
Dollar loss, 9/2014 - 2/2015 | +$0.44 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$326.25 |
Compared to VMMXX | VUSXX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 318 overlapping 6-month periods | -$6.22 (average), -$4.35 (median) |
VMMXX: Vanguard Prime Money Market
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 528 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $243.72 (average), +$251.11 (median) |
Average CAGR (annualized rate of return) of those 528 6-month periods | 4.93% |
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 | 0/528 = 0.0% |
Number of periods in which VMMXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 202 periods |
202/528 = 38.3% -$91.64 (average), -$77.46 (median) |
Dollar loss, 11/2014 - 4/2015 | +$0.48 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$323.97 |
VMFXX: Vanguard Federal Money Market
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 455 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $201.33 (average), +$213.67 (median) |
Average CAGR (annualized rate of return) of those 455 6-month periods | 4.07% |
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 431 periods |
431/455 = 94.7% -$7.41 (average), -$3.65 (median) |
Number of periods in which VMFXX lost money | 0/455 = 0.0% |
Number of periods in which VMFXX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 163 periods |
163/455 = 35.8% -$91.27 (average), -$79.33 (median) |
Compared to VMMXX, 6/1982 - 11/1982 | -$75.27 |
Dollar loss, 12/2014 - 5/2015 | +$0.47 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$326.48 |
Compared to VMMXX | VMFXX vs VMMXX, 6/1982 - 11/1982 |
Average/median additional return above VMMXX, over 455 overlapping 6-month periods | -$6.91 (average), -$3.39 (median) |
Very short-term
BIL: SPDR® Bloomberg Barclays 1-3 Month T-Bill
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 145 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $28.35 (average), +$1.28 (median) |
Average CAGR (annualized rate of return) of those 145 6-month periods | 0.57% |
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 144 periods |
144/145 = 99.3% -$14.10 (average), -$7.11 (median) |
Number of periods in which BIL lost money Average/median dollar loss over those 63 periods |
63/145 = 43.4% -$3.67 (average), -$4.31 (median) |
Number of periods in which BIL failed to keep up with inflation Average/median real loss (inflation-corrected) over those 115 periods |
115/145 = 79.3% -$106.45 (average), -$87.41 (median) |
Compared to VMMXX, 10/2008 - 3/2009 | -$70.31 |
Dollar loss, 5/2015 - 10/2015 | -$6.63 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$340.21 |
Compared to VMMXX | BIL vs VMMXX, 10/2008 - 3/2009 |
Average/median additional return above VMMXX, over 145 overlapping 6-month periods | -$13.98 (average), -$7.06 (median) |
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 96 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $81.13 (average), +$84.59 (median) |
Average CAGR (annualized rate of return) of those 96 6-month periods | 1.63% |
Standard deviation (σ) of single-month returns, annualized | 0.77% |
Number of periods in which FLOT made less than VMMXX Average/median shortfall versus VMMXX over those 15 periods |
15/96 = 15.6% -$24.08 (average), -$21.49 (median) |
Number of periods in which FLOT lost money Average/median dollar loss over those 11 periods |
11/96 = 11.5% -$20.03 (average), -$18.50 (median) |
Number of periods in which FLOT failed to keep up with inflation Average/median real loss (inflation-corrected) over those 45 periods |
45/96 = 46.9% -$65.60 (average), -$50.33 (median) |
Compared to VMMXX, 8/2011 - 1/2012 | -$69.96 |
Dollar loss, 8/2011 - 1/2012 | -$68.64 |
Real loss (inflation-corrected), 1/2014 - 6/2014 | -$189.40 |
Compared to VMMXX | FLOT vs VMMXX, 8/2011 - 1/2012 |
Average/median additional return above VMMXX, over 96 overlapping 6-month periods | +$47.35 (average), +$38.23 (median) |
FTSM: First Trust Enhanced Short Maturity
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 58 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $73.53 (average), +$74.45 (median) |
Average CAGR (annualized rate of return) of those 58 6-month periods | 1.48% |
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 9 periods |
9/58 = 15.5% -$6.96 (average), -$5.76 (median) |
Number of periods in which FTSM lost money Average/median dollar loss over those 4 periods |
4/58 = 6.9% -$3.76 (average), -$3.35 (median) |
Number of periods in which FTSM failed to keep up with inflation Average/median real loss (inflation-corrected) over those 36 periods |
36/58 = 62.1% -$61.67 (average), -$48.45 (median) |
Compared to VMMXX, 7/2018 - 12/2018 | -$17.48 |
Dollar loss, 6/2015 - 11/2015 | -$8.31 |
Real loss (inflation-corrected), 2/2015 - 7/2015 | -$201.71 |
Compared to VMMXX | FTSM vs VMMXX, 7/2018 - 12/2018 |
Average/median additional return above VMMXX, over 58 overlapping 6-month periods | +$18.38 (average), +$20.32 (median) |
FULIX: Federated Ultrashort Bond
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 265 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $149.89 (average), +$115.92 (median) |
Average CAGR (annualized rate of return) of those 265 6-month periods | 3.02% |
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 69 periods |
69/265 = 26.0% -$86.40 (average), -$29.00 (median) |
Number of periods in which FULIX lost money Average/median dollar loss over those 21 periods |
21/265 = 7.9% -$94.12 (average), -$65.20 (median) |
Number of periods in which FULIX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 112 periods |
112/265 = 42.3% -$93.89 (average), -$63.51 (median) |
Compared to VMMXX, 7/2008 - 12/2008 | -$442.61 |
Dollar loss, 6/2008 - 11/2008 | -$324.53 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$601.46 |
Compared to VMMXX | FULIX vs VMMXX, 7/2008 - 12/2008 |
Average/median additional return above VMMXX, over 265 overlapping 6-month periods | +$42.45 (average), +$35.48 (median) |
GSY: Invesco Ultra Short Duration
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 136 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $63.46 (average), +$66.54 (median) |
Average CAGR (annualized rate of return) of those 136 6-month periods | 1.27% |
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 37 periods |
37/136 = 27.2% -$16.89 (average), -$6.97 (median) |
Number of periods in which GSY lost money Average/median dollar loss over those 15 periods |
15/136 = 11.0% -$5.21 (average), -$3.34 (median) |
Number of periods in which GSY failed to keep up with inflation Average/median real loss (inflation-corrected) over those 80 periods |
80/136 = 58.8% -$84.83 (average), -$64.82 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$71.73 |
Dollar loss, 4/2011 - 9/2011 | -$20.69 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$324.27 |
Compared to VMMXX | GSY vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 136 overlapping 6-month periods | +$31.10 (average), +$37.13 (median) |
MINT: PIMCO Enhanced Short Maturity Active
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 115 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $75.01 (average), +$84.46 (median) |
Average CAGR (annualized rate of return) of those 115 6-month periods | 1.51% |
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 12 periods |
12/115 = 10.4% -$17.29 (average), -$7.25 (median) |
Number of periods in which MINT lost money Average/median dollar loss over those 4 periods |
4/115 = 3.5% -$37.22 (average), -$36.26 (median) |
Number of periods in which MINT failed to keep up with inflation Average/median real loss (inflation-corrected) over those 59 periods |
59/115 = 51.3% -$76.87 (average), -$47.91 (median) |
Compared to VMMXX, 6/2011 - 11/2011 | -$53.76 |
Dollar loss, 6/2011 - 11/2011 | -$52.29 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$241.67 |
Compared to VMMXX | MINT vs VMMXX, 6/2011 - 11/2011 |
Average/median additional return above VMMXX, over 115 overlapping 6-month periods | +$46.32 (average), +$43.17 (median) |
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 69 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $77.64 (average), +$71.91 (median) |
Average CAGR (annualized rate of return) of those 69 6-month periods | 1.56% |
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 6 periods |
6/69 = 8.7% -$9.67 (average), -$7.45 (median) |
Number of periods in which NEAR lost money | 0/69 = 0.0% |
Number of periods in which NEAR failed to keep up with inflation Average/median real loss (inflation-corrected) over those 37 periods |
37/69 = 53.6% -$69.03 (average), -$61.94 (median) |
Compared to VMMXX, 7/2018 - 12/2018 | -$24.07 |
Dollar loss, 7/2014 - 12/2014 | +$10.42 |
Real loss (inflation-corrected), 2/2015 - 7/2015 | -$173.92 |
Compared to VMMXX | NEAR vs VMMXX, 7/2018 - 12/2018 |
Average/median additional return above VMMXX, over 69 overlapping 6-month periods | +$31.21 (average), +$32.32 (median) |
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 149 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $45.20 (average), +$10.03 (median) |
Average CAGR (annualized rate of return) of those 149 6-month periods | 0.91% |
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 |
78/149 = 52.3% -$10.26 (average), -$6.41 (median) |
Number of periods in which SHV lost money Average/median dollar loss over those 14 periods |
14/149 = 9.4% -$1.70 (average), -$1.32 (median) |
Number of periods in which SHV failed to keep up with inflation Average/median real loss (inflation-corrected) over those 111 periods |
111/149 = 74.5% -$102.18 (average), -$85.25 (median) |
Compared to VMMXX, 12/2008 - 5/2009 | -$41.20 |
Dollar loss, 7/2015 - 12/2015 | -$5.11 |
Real loss (inflation-corrected), 12/2010 - 5/2011 | -$319.33 |
Compared to VMMXX | SHV vs VMMXX, 12/2008 - 5/2009 |
Average/median additional return above VMMXX, over 149 overlapping 6-month periods | -$2.94 (average), -$0.21 (median) |
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 203 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $98.71 (average), +$57.58 (median) |
Average CAGR (annualized rate of return) of those 203 6-month periods | 1.98% |
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 66 periods |
66/203 = 32.5% -$59.38 (average), -$52.39 (median) |
Number of periods in which SHY lost money Average/median dollar loss over those 25 periods |
25/203 = 12.3% -$25.48 (average), -$18.64 (median) |
Number of periods in which SHY failed to keep up with inflation Average/median real loss (inflation-corrected) over those 126 periods |
126/203 = 62.1% -$109.33 (average), -$98.37 (median) |
Compared to VMMXX, 9/2017 - 2/2018 | -$149.30 |
Dollar loss, 9/2017 - 2/2018 | -$86.27 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$344.36 |
Compared to VMMXX | SHY vs VMMXX, 9/2017 - 2/2018 |
Average/median additional return above VMMXX, over 203 overlapping 6-month periods | +$28.20 (average), +$19.81 (median) |
VUBFX: Vanguard Ultra-Short-Term Bond
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 52 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $84.72 (average), +$66.16 (median) |
Average CAGR (annualized rate of return) of those 52 6-month periods | 1.70% |
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 9 periods |
9/52 = 17.3% -$16.85 (average), -$16.88 (median) |
Number of periods in which VUBFX lost money | 0/52 = 0.0% |
Number of periods in which VUBFX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 31 periods |
31/52 = 59.6% -$59.19 (average), -$58.66 (median) |
Compared to VMMXX, 9/2017 - 2/2018 | -$34.89 |
Dollar loss, 7/2015 - 12/2015 | +$3.99 |
Real loss (inflation-corrected), 1/2018 - 6/2018 | -$157.55 |
Compared to VMMXX | VUBFX vs VMMXX, 9/2017 - 2/2018 |
Average/median additional return above VMMXX, over 52 overlapping 6-month periods | +$23.28 (average), +$24.26 (median) |
VMLTX: Vanguard Limited-Term Tax-Exempt
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 382 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $195.80 (average), +$187.75 (median) |
Average CAGR (annualized rate of return) of those 382 6-month periods | 3.95% |
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 150 periods |
150/382 = 39.3% -$96.94 (average), -$89.56 (median) |
Number of periods in which VMLTX lost money Average/median dollar loss over those 29 periods |
29/382 = 7.6% -$53.01 (average), -$44.24 (median) |
Number of periods in which VMLTX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 129 periods |
129/382 = 33.8% -$113.12 (average), -$99.78 (median) |
Compared to VMMXX, 10/1988 - 3/1989 | -$281.30 |
Dollar loss, 7/2016 - 12/2016 | -$160.92 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$373.91 |
Compared to VMMXX | VMLTX vs VMMXX, 10/1988 - 3/1989 |
Average/median additional return above VMMXX, over 382 overlapping 6-month periods | +$32.42 (average), +$39.15 (median) |
Short-term
VFIIX: Vanguard GNMA
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 468 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $369.20 (average), +$329.28 (median) |
Average CAGR (annualized rate of return) of those 468 6-month periods | 7.52% |
Standard deviation (σ) of single-month returns, annualized | 4.88% |
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 136 periods |
136/468 = 29.1% -$237.36 (average), -$158.55 (median) |
Number of periods in which VFIIX lost money Average/median dollar loss over those 56 periods |
56/468 = 12.0% -$161.74 (average), -$127.93 (median) |
Number of periods in which VFIIX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 127 periods |
127/468 = 27.1% -$216.06 (average), -$164.42 (median) |
Compared to VMMXX, 4/1981 - 9/1981 | -$1598.85 |
Dollar loss, 4/1981 - 9/1981 | -$725.66 |
Real loss (inflation-corrected), 4/1981 - 9/1981 | -$1256.73 |
Compared to VMMXX | VFIIX vs VMMXX, 4/1981 - 9/1981 |
Average/median additional return above VMMXX, over 468 overlapping 6-month periods | +$144.47 (average), +$152.84 (median) |
VFISX: Vanguard Short-Term Treasury
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 332 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $191.57 (average), +$142.72 (median) |
Average CAGR (annualized rate of return) of those 332 6-month periods | 3.87% |
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 106 periods |
106/332 = 31.9% -$92.76 (average), -$80.21 (median) |
Number of periods in which VFISX lost money Average/median dollar loss over those 36 periods |
36/332 = 10.8% -$41.24 (average), -$25.23 (median) |
Number of periods in which VFISX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 144 periods |
144/332 = 43.4% -$110.02 (average), -$93.98 (median) |
Compared to VMMXX, 1/1994 - 6/1994 | -$288.62 |
Dollar loss, 1/1994 - 6/1994 | -$122.50 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$349.69 |
Compared to VMMXX | VFISX vs VMMXX, 1/1994 - 6/1994 |
Average/median additional return above VMMXX, over 332 overlapping 6-month periods | +$60.76 (average), +$45.62 (median) |
VFITX: Vanguard Intermediate-Term Treasury
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 332 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $278.02 (average), +$229.43 (median) |
Average CAGR (annualized rate of return) of those 332 6-month periods | 5.64% |
Standard deviation (σ) of single-month returns, annualized | 4.72% |
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 113 periods |
113/332 = 34.0% -$224.18 (average), -$204.88 (median) |
Number of periods in which VFITX lost money Average/median dollar loss over those 79 periods |
79/332 = 23.8% -$161.90 (average), -$131.08 (median) |
Number of periods in which VFITX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 129 periods |
129/332 = 38.9% -$219.95 (average), -$216.37 (median) |
Compared to VMMXX, 11/1993 - 4/1994 | -$660.26 |
Dollar loss, 11/1993 - 4/1994 | -$506.99 |
Real loss (inflation-corrected), 11/1993 - 4/1994 | -$623.66 |
Compared to VMMXX | VFITX vs VMMXX, 11/1993 - 4/1994 |
Average/median additional return above VMMXX, over 332 overlapping 6-month periods | +$147.21 (average), +$131.37 (median) |
VGSH: Vanguard Short-Term Treasury Index Fund
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 115 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $54.25 (average), +$37.35 (median) |
Average CAGR (annualized rate of return) of those 115 6-month periods | 1.09% |
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 27 periods |
27/115 = 23.5% -$54.47 (average), -$47.63 (median) |
Number of periods in which VGSH lost money Average/median dollar loss over those 17 periods |
17/115 = 14.8% -$26.73 (average), -$14.54 (median) |
Number of periods in which VGSH failed to keep up with inflation Average/median real loss (inflation-corrected) over those 73 periods |
73/115 = 63.5% -$105.14 (average), -$92.21 (median) |
Compared to VMMXX, 9/2017 - 2/2018 | -$145.34 |
Dollar loss, 9/2017 - 2/2018 | -$82.31 |
Real loss (inflation-corrected), 11/2010 - 4/2011 | -$277.20 |
Compared to VMMXX | VGSH vs VMMXX, 9/2017 - 2/2018 |
Average/median additional return above VMMXX, over 115 overlapping 6-month periods | +$25.56 (average), +$24.83 (median) |
VBISX: Vanguard Short-Term Bond Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 303 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $204.50 (average), +$163.22 (median) |
Average CAGR (annualized rate of return) of those 303 6-month periods | 4.13% |
Standard deviation (σ) of single-month returns, annualized | 2.03% |
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 93 periods |
93/303 = 30.7% -$95.28 (average), -$98.05 (median) |
Number of periods in which VBISX lost money Average/median dollar loss over those 32 periods |
32/303 = 10.6% -$46.91 (average), -$36.63 (median) |
Number of periods in which VBISX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 115 periods |
115/303 = 38.0% -$114.55 (average), -$92.62 (median) |
Compared to VMMXX, 4/2008 - 9/2008 | -$247.70 |
Dollar loss, 9/2017 - 2/2018 | -$137.90 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$411.65 |
Compared to VMMXX | VBISX vs VMMXX, 4/2008 - 9/2008 |
Average/median additional return above VMMXX, over 303 overlapping 6-month periods | +$77.06 (average), +$74.10 (median) |
VSBSX: Vanguard Short-Term Treasury Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 115 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $53.88 (average), +$36.45 (median) |
Average CAGR (annualized rate of return) of those 115 6-month periods | 1.08% |
Standard deviation (σ) of single-month returns, annualized | 0.81% |
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 28 periods |
28/115 = 24.3% -$51.93 (average), -$43.24 (median) |
Number of periods in which VSBSX lost money Average/median dollar loss over those 18 periods |
18/115 = 15.7% -$24.23 (average), -$13.22 (median) |
Number of periods in which VSBSX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 73 periods |
73/115 = 63.5% -$105.32 (average), -$91.07 (median) |
Compared to VMMXX, 9/2017 - 2/2018 | -$146.82 |
Dollar loss, 9/2017 - 2/2018 | -$83.79 |
Real loss (inflation-corrected), 11/2010 - 4/2011 | -$280.65 |
Compared to VMMXX | VSBSX vs VMMXX, 9/2017 - 2/2018 |
Average/median additional return above VMMXX, over 115 overlapping 6-month periods | +$25.19 (average), +$22.99 (median) |
VSGBX: Vanguard Short-Term Federal
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 378 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $233.33 (average), +$197.86 (median) |
Average CAGR (annualized rate of return) of those 378 6-month periods | 4.72% |
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 119 periods |
119/378 = 31.5% -$98.00 (average), -$87.98 (median) |
Number of periods in which VSGBX lost money Average/median dollar loss over those 36 periods |
36/378 = 9.5% -$49.55 (average), -$35.97 (median) |
Number of periods in which VSGBX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 135 periods |
135/378 = 35.7% -$112.41 (average), -$93.96 (median) |
Compared to VMMXX, 2/1994 - 7/1994 | -$312.06 |
Dollar loss, 11/1993 - 4/1994 | -$146.02 |
Real loss (inflation-corrected), 2/2008 - 7/2008 | -$373.03 |
Compared to VMMXX | VSGBX vs VMMXX, 2/1994 - 7/1994 |
Average/median additional return above VMMXX, over 378 overlapping 6-month periods | +$71.91 (average), +$62.83 (median) |
VTIPX: Vanguard Short-Term Inflation-Protected Securities Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 80 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $32.64 (average), +$31.54 (median) |
Average CAGR (annualized rate of return) of those 80 6-month periods | 0.65% |
Standard deviation (σ) of single-month returns, annualized | 1.54% |
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 44 periods |
44/80 = 55.0% -$80.57 (average), -$55.04 (median) |
Number of periods in which VTIPX lost money Average/median dollar loss over those 31 periods |
31/80 = 38.8% -$80.69 (average), -$45.17 (median) |
Number of periods in which VTIPX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 54 periods |
54/80 = 67.5% -$101.76 (average), -$79.34 (median) |
Compared to VMMXX, 7/2014 - 12/2014 | -$290.29 |
Dollar loss, 7/2014 - 12/2014 | -$289.82 |
Real loss (inflation-corrected), 1/2013 - 6/2013 | -$361.30 |
Compared to VMMXX | VTIPX vs VMMXX, 7/2014 - 12/2014 |
Average/median additional return above VMMXX, over 80 overlapping 6-month periods | -$7.55 (average), -$16.95 (median) |
Intermediate-term
VBMFX: Vanguard Total Bond Market Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 390 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $297.62 (average), +$287.25 (median) |
Average CAGR (annualized rate of return) of those 390 6-month periods | 6.04% |
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 127 periods |
127/390 = 32.6% -$194.06 (average), -$165.35 (median) |
Number of periods in which VBMFX lost money Average/median dollar loss over those 71 periods |
71/390 = 18.2% -$130.86 (average), -$101.32 (median) |
Number of periods in which VBMFX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 123 periods |
123/390 = 31.5% -$201.25 (average), -$164.65 (median) |
Compared to VMMXX, 4/1987 - 9/1987 | -$850.64 |
Dollar loss, 4/1987 - 9/1987 | -$525.41 |
Real loss (inflation-corrected), 4/1987 - 9/1987 | -$784.11 |
Compared to VMMXX | VBMFX vs VMMXX, 4/1987 - 9/1987 |
Average/median additional return above VMMXX, over 390 overlapping 6-month periods | +$130.65 (average), +$167.58 (median) |
VTEB: Vanguard Tax-Exempt Bond Index Fund
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 46 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $176.38 (average), +$224.49 (median) |
Average CAGR (annualized rate of return) of those 46 6-month periods | 3.56% |
Standard deviation (σ) of single-month returns, annualized | 3.03% |
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 17 periods |
17/46 = 37.0% -$159.83 (average), -$122.34 (median) |
Number of periods in which VTEB lost money Average/median dollar loss over those 11 periods |
11/46 = 23.9% -$177.49 (average), -$133.51 (median) |
Number of periods in which VTEB failed to keep up with inflation Average/median real loss (inflation-corrected) over those 17 periods |
17/46 = 37.0% -$211.86 (average), -$176.98 (median) |
Compared to VMMXX, 7/2016 - 12/2016 | -$401.03 |
Dollar loss, 7/2016 - 12/2016 | -$372.66 |
Real loss (inflation-corrected), 8/2016 - 1/2017 | -$414.30 |
Compared to VMMXX | VTEB vs VMMXX, 7/2016 - 12/2016 |
Average/median additional return above VMMXX, over 46 overlapping 6-month periods | +$107.51 (average), +$119.46 (median) |
VTEAX: Vanguard Tax-Exempt Bond Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 46 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $176.48 (average), +$220.03 (median) |
Average CAGR (annualized rate of return) of those 46 6-month periods | 3.56% |
Standard deviation (σ) of single-month returns, annualized | 3.02% |
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 17 periods |
17/46 = 37.0% -$159.89 (average), -$124.09 (median) |
Number of periods in which VTEAX lost money Average/median dollar loss over those 11 periods |
11/46 = 23.9% -$177.53 (average), -$132.65 (median) |
Number of periods in which VTEAX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 17 periods |
17/46 = 37.0% -$211.37 (average), -$180.66 (median) |
Compared to VMMXX, 7/2016 - 12/2016 | -$402.00 |
Dollar loss, 7/2016 - 12/2016 | -$373.63 |
Real loss (inflation-corrected), 8/2016 - 1/2017 | -$411.10 |
Compared to VMMXX | VTEAX vs VMMXX, 7/2016 - 12/2016 |
Average/median additional return above VMMXX, over 46 overlapping 6-month periods | +$107.62 (average), +$116.23 (median) |
VWIUX: Vanguard Intermediate-Term Tax-Exempt
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 501 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $275.69 (average), +$300.37 (median) |
Average CAGR (annualized rate of return) of those 501 6-month periods | 5.59% |
Standard deviation (σ) of single-month returns, annualized | 5.48% |
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 192 periods |
192/501 = 38.3% -$360.39 (average), -$216.62 (median) |
Number of periods in which VWIUX lost money Average/median dollar loss over those 91 periods |
91/501 = 18.2% -$289.92 (average), -$186.42 (median) |
Number of periods in which VWIUX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 167 periods |
167/501 = 33.3% -$381.05 (average), -$283.53 (median) |
Compared to VMMXX, 10/1979 - 3/1980 | -$2247.02 |
Dollar loss, 10/1979 - 3/1980 | -$1579.19 |
Real loss (inflation-corrected), 10/1979 - 3/1980 | -$2316.45 |
Compared to VMMXX | VWIUX vs VMMXX, 10/1979 - 3/1980 |
Average/median additional return above VMMXX, over 501 overlapping 6-month periods | +$33.01 (average), +$87.44 (median) |
Long-term
VNYTX: Vanguard New York Long-Term Tax-Exempt
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 398 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $290.19 (average), +$355.12 (median) |
Average CAGR (annualized rate of return) of those 398 6-month periods | 5.89% |
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 136 periods |
136/398 = 34.2% -$269.71 (average), -$201.19 (median) |
Number of periods in which VNYTX lost money Average/median dollar loss over those 76 periods |
76/398 = 19.1% -$245.29 (average), -$191.90 (median) |
Number of periods in which VNYTX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 119 periods |
119/398 = 29.9% -$294.26 (average), -$235.15 (median) |
Compared to VMMXX, 4/1987 - 9/1987 | -$1471.04 |
Dollar loss, 4/1987 - 9/1987 | -$1145.81 |
Real loss (inflation-corrected), 4/1987 - 9/1987 | -$1404.51 |
Compared to VMMXX | VNYTX vs VMMXX, 4/1987 - 9/1987 |
Average/median additional return above VMMXX, over 398 overlapping 6-month periods | +$120.74 (average), +$148.04 (median) |
Balanced
VBINX: Vanguard Balanced Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 319 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $418.61 (average), +$464.29 (median) |
Average CAGR (annualized rate of return) of those 319 6-month periods | 8.55% |
Standard deviation (σ) of single-month returns, annualized | 8.79% |
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 92 periods |
92/319 = 28.8% -$493.27 (average), -$303.36 (median) |
Number of periods in which VBINX lost money Average/median dollar loss over those 65 periods |
65/319 = 20.4% -$520.96 (average), -$350.90 (median) |
Number of periods in which VBINX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 87 periods |
87/319 = 27.3% -$477.95 (average), -$335.83 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$2821.72 |
Dollar loss, 9/2008 - 2/2009 | -$2712.93 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$2398.30 |
Compared to VMMXX | VBINX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 319 overlapping 6-month periods | +$289.63 (average), +$360.61 (median) |
VSCGX: Vanguard LifeStrategy Conservative Growth
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 297 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $353.46 (average), +$382.70 (median) |
Average CAGR (annualized rate of return) of those 297 6-month periods | 7.19% |
Standard deviation (σ) of single-month returns, annualized | 6.68% |
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 82 periods |
82/297 = 27.6% -$389.89 (average), -$227.78 (median) |
Number of periods in which VSCGX lost money Average/median dollar loss over those 57 periods |
57/297 = 19.2% -$401.25 (average), -$198.50 (median) |
Number of periods in which VSCGX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 79 periods |
79/297 = 26.6% -$373.50 (average), -$220.25 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$2410.69 |
Dollar loss, 9/2008 - 2/2009 | -$2301.89 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$1987.27 |
Compared to VMMXX | VSCGX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 297 overlapping 6-month periods | +$228.36 (average), +$278.46 (median) |
VSMGX: Vanguard LifeStrategy Moderate Growth
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 297 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $402.50 (average), +$476.09 (median) |
Average CAGR (annualized rate of return) of those 297 6-month periods | 8.21% |
Standard deviation (σ) of single-month returns, annualized | 9.40% |
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 82 periods |
82/297 = 27.6% -$605.33 (average), -$415.97 (median) |
Number of periods in which VSMGX lost money Average/median dollar loss over those 65 periods |
65/297 = 21.9% -$602.19 (average), -$399.18 (median) |
Number of periods in which VSMGX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 82 periods |
82/297 = 27.6% -$557.37 (average), -$369.43 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$3181.87 |
Dollar loss, 9/2008 - 2/2009 | -$3073.08 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$2758.45 |
Compared to VMMXX | VSMGX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 297 overlapping 6-month periods | +$277.40 (average), +$346.23 (median) |
VASIX: Vanguard LifeStrategy Income
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 297 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $312.92 (average), +$311.02 (median) |
Average CAGR (annualized rate of return) of those 297 6-month periods | 6.36% |
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 76 periods |
76/297 = 25.6% -$219.63 (average), -$114.23 (median) |
Number of periods in which VASIX lost money Average/median dollar loss over those 44 periods |
44/297 = 14.8% -$230.22 (average), -$81.50 (median) |
Number of periods in which VASIX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 83 periods |
83/297 = 27.9% -$205.74 (average), -$126.67 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$1467.87 |
Dollar loss, 9/2008 - 2/2009 | -$1359.08 |
Real loss (inflation-corrected), 5/2008 - 10/2008 | -$1292.11 |
Compared to VMMXX | VASIX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 297 overlapping 6-month periods | +$187.82 (average), +$202.78 (median) |
VASGX: Vanguard LifeStrategy Growth
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 297 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $442.05 (average), +$559.01 (median) |
Average CAGR (annualized rate of return) of those 297 6-month periods | 9.04% |
Standard deviation (σ) of single-month returns, annualized | 12.27% |
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 85 periods |
85/297 = 28.6% -$819.06 (average), -$559.08 (median) |
Number of periods in which VASGX lost money Average/median dollar loss over those 74 periods |
74/297 = 24.9% -$793.32 (average), -$591.88 (median) |
Number of periods in which VASGX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 85 periods |
85/297 = 28.6% -$774.96 (average), -$607.83 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$3982.91 |
Dollar loss, 9/2008 - 2/2009 | -$3874.12 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$3559.50 |
Compared to VMMXX | VASGX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 297 overlapping 6-month periods | +$316.95 (average), +$450.81 (median) |
VWELX: Vanguard Wellington
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 528 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $564.47 (average), +$580.61 (median) |
Average CAGR (annualized rate of return) of those 528 6-month periods | 11.61% |
Standard deviation (σ) of single-month returns, annualized | 10.11% |
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 155 periods |
155/528 = 29.4% -$539.01 (average), -$390.77 (median) |
Number of periods in which VWELX lost money Average/median dollar loss over those 105 periods |
105/528 = 19.9% -$456.67 (average), -$327.13 (median) |
Number of periods in which VWELX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 137 periods |
137/528 = 25.9% -$533.15 (average), -$415.04 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$2790.34 |
Dollar loss, 9/2008 - 2/2009 | -$2681.54 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$2366.92 |
Compared to VMMXX | VWELX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 528 overlapping 6-month periods | +$320.75 (average), +$366.54 (median) |
VWINX: Vanguard Wellesley Income
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 528 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $508.13 (average), +$481.18 (median) |
Average CAGR (annualized rate of return) of those 528 6-month periods | 10.42% |
Standard deviation (σ) of single-month returns, annualized | 6.94% |
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 148 periods |
148/528 = 28.0% -$368.09 (average), -$259.99 (median) |
Number of periods in which VWINX lost money Average/median dollar loss over those 72 periods |
72/528 = 13.6% -$301.63 (average), -$212.78 (median) |
Number of periods in which VWINX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 142 periods |
142/528 = 26.9% -$317.11 (average), -$223.18 (median) |
Compared to VMMXX, 10/1979 - 3/1980 | -$1768.36 |
Dollar loss, 9/2008 - 2/2009 | -$1520.45 |
Real loss (inflation-corrected), 10/1979 - 3/1980 | -$1837.79 |
Compared to VMMXX | VWINX vs VMMXX, 10/1979 - 3/1980 |
Average/median additional return above VMMXX, over 528 overlapping 6-month periods | +$264.41 (average), +$292.81 (median) |
Stock
VFINX: Vanguard 500 Index Investor
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 514 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $598.52 (average), +$628.27 (median) |
Average CAGR (annualized rate of return) of those 514 6-month periods | 12.33% |
Standard deviation (σ) of single-month returns, annualized | 14.67% |
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 157 periods |
157/514 = 30.5% -$889.91 (average), -$684.39 (median) |
Number of periods in which VFINX lost money Average/median dollar loss over those 132 periods |
132/514 = 25.7% -$749.91 (average), -$542.85 (median) |
Number of periods in which VFINX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 159 periods |
159/514 = 30.9% -$794.85 (average), -$631.74 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$4290.11 |
Dollar loss, 9/2008 - 2/2009 | -$4181.32 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$3866.70 |
Compared to VMMXX | VFINX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 514 overlapping 6-month periods | +$355.98 (average), +$413.98 (median) |
VGT: Vanguard Information Technology Index Fund
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 185 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $669.16 (average), +$796.88 (median) |
Average CAGR (annualized rate of return) of those 185 6-month periods | 13.83% |
Standard deviation (σ) of single-month returns, annualized | 17.64% |
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 49 periods |
49/185 = 26.5% -$987.69 (average), -$615.04 (median) |
Number of periods in which VGT lost money Average/median dollar loss over those 46 periods |
46/185 = 24.9% -$956.10 (average), -$529.50 (median) |
Number of periods in which VGT failed to keep up with inflation Average/median real loss (inflation-corrected) over those 49 periods |
49/185 = 26.5% -$992.13 (average), -$684.42 (median) |
Compared to VMMXX, 6/2008 - 11/2008 | -$4297.41 |
Dollar loss, 6/2008 - 11/2008 | -$4179.59 |
Real loss (inflation-corrected), 6/2008 - 11/2008 | -$3985.39 |
Compared to VMMXX | VGT vs VMMXX, 6/2008 - 11/2008 |
Average/median additional return above VMMXX, over 185 overlapping 6-month periods | +$596.19 (average), +$706.95 (median) |
VTI: Vanguard Total Stock Market Index Fund
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 326 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $540.30 (average), +$641.41 (median) |
Average CAGR (annualized rate of return) of those 326 6-month periods | 11.10% |
Standard deviation (σ) of single-month returns, annualized | 14.50% |
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 88 periods |
88/326 = 27.0% -$941.44 (average), -$713.26 (median) |
Number of periods in which VTI lost money Average/median dollar loss over those 79 periods |
79/326 = 24.2% -$898.45 (average), -$596.14 (median) |
Number of periods in which VTI failed to keep up with inflation Average/median real loss (inflation-corrected) over those 89 periods |
89/326 = 27.3% -$886.60 (average), -$607.98 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$4347.15 |
Dollar loss, 9/2008 - 2/2009 | -$4238.36 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$3923.73 |
Compared to VMMXX | VTI vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 326 overlapping 6-month periods | +$410.67 (average), +$517.65 (median) |
VTIAX: Vanguard Total International Stock Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 278 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $331.58 (average), +$401.30 (median) |
Average CAGR (annualized rate of return) of those 278 6-month periods | 6.74% |
Standard deviation (σ) of single-month returns, annualized | 16.81% |
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 109 periods |
109/278 = 39.2% -$1048.04 (average), -$922.46 (median) |
Number of periods in which VTIAX lost money Average/median dollar loss over those 100 periods |
100/278 = 36.0% -$1011.79 (average), -$878.06 (median) |
Number of periods in which VTIAX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 106 periods |
106/278 = 38.1% -$1040.63 (average), -$862.71 (median) |
Compared to VMMXX, 6/2008 - 11/2008 | -$4837.89 |
Dollar loss, 6/2008 - 11/2008 | -$4720.08 |
Real loss (inflation-corrected), 6/2008 - 11/2008 | -$4525.88 |
Compared to VMMXX | VTIAX vs VMMXX, 6/2008 - 11/2008 |
Average/median additional return above VMMXX, over 278 overlapping 6-month periods | +$216.79 (average), +$313.31 (median) |
VTSAX: Vanguard Total Stock Market Index
Length of holding period | 6 months |
Total number of overlapping 6-month periods | 326 |
Average/median number of dollars earned in 6 months on a $10,000 investment | $540.02 (average), +$641.35 (median) |
Average CAGR (annualized rate of return) of those 326 6-month periods | 11.09% |
Standard deviation (σ) of single-month returns, annualized | 14.44% |
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 89 periods |
89/326 = 27.3% -$928.61 (average), -$705.46 (median) |
Number of periods in which VTSAX lost money Average/median dollar loss over those 79 periods |
79/326 = 24.2% -$895.91 (average), -$595.36 (median) |
Number of periods in which VTSAX failed to keep up with inflation Average/median real loss (inflation-corrected) over those 89 periods |
89/326 = 27.3% -$884.33 (average), -$607.97 (median) |
Compared to VMMXX, 9/2008 - 2/2009 | -$4348.43 |
Dollar loss, 9/2008 - 2/2009 | -$4239.64 |
Real loss (inflation-corrected), 9/2008 - 2/2009 | -$3925.01 |
Compared to VMMXX | VTSAX vs VMMXX, 9/2008 - 2/2009 |
Average/median additional return above VMMXX, over 326 overlapping 6-month periods | +$410.39 (average), +$517.51 (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.
See also
- Using mutual funds and ETFs for short-term savings (1 year)
- Using mutual funds and ETFs for short-term savings (5 years)