Vanguard 500 Index offers diversified, low-turnover exposure to U.S. large-cap stocks at an attractive price. It tracks the market-cap-weighted S&P 500, which has historically been tough for active managers in the large-blend Morningstar Category to beat. Its miniscule expense ratio gives this fund a durable performance edge over its category peers. All of its share classes earn a Morningstar Analyst Rating of Gold except the Investor share class, which is rated Silver rating for its relatively higher fee.
Will VFIAX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable VFIAX’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the VFIAX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of VFIAX’s parent organization’s priorities and whether they’re in line with investors’ interests.