The Vanguard Star Fund is a balanced fund between stocks and fixed income, with a focus on tax-advantaged accounts such as IRAs and Keoghs. With a minimum investment of $1,000, the fund offers a low-cost approach to investing, providing broad diversification across asset classes. The fund has a history of strong performance, with returns of 6.24% over the past year and an expense ratio of 0.31-0.32%. Vanguard, the parent company, is known for its low-cost index products and actively managed funds, making it an attractive option for investors seeking a balanced approach to investing.
Characteristics | Values |
---|---|
Fund Name | Vanguard STAR Fund |
Fund Type | Mutual Fund |
Investment Style | Large Growth |
Total Assets | $22.837 billion |
Net Expense Ratio | 0.00% |
52-Week Avg Return | 14.92% |
YTD Lipper Ranking | Quintile 5 (91st percentile) |
Minimum Investment | $1,000 |
Fund Objective | Balanced return of growth and income |
Number of Holdings | 12 |
Allocation to Stocks | 60% |
Allocation to Domestic Holdings | 40% |
Risk Level | Average |
Return Level | Above Average |
What You'll Learn
- The Vanguard Star Fund is a balanced fund with a mix of stocks and fixed income
- The fund's asset allocation objective is achieved by investing in 11 other Vanguard funds
- The fund has a low expense ratio of 0.32% and a $1,000 minimum investment
- Vanguard is known for its low-cost index products and actively managed funds
- The fund is considered average risk and has returned between 1.72% and 6.24% over the past year
The Vanguard Star Fund is a balanced fund with a mix of stocks and fixed income
The Vanguard Star Fund Investor Shares is a balanced fund with a mix of stocks and fixed income. Vanguard is the largest mutual fund provider in the US and is known for its low-cost index products. The Vanguard Star Fund falls into Morningstar's allocation of 50 to 70 percent equity, with a fund allocation to stocks of just under 60 percent and about 40 percent for domestic holdings as of December 2016.
The fund is considered a "one-stop option" by Morningstar, and it is invested in 11 other Vanguard funds to achieve its asset allocation objective. As of November 27, 2023, the fund has assets totaling almost $20.68 billion invested in 12 different holdings. The fund has a low expense ratio of 0.32 percent and requires a $1,000 minimum investment.
Vanguard describes the fund as:
> "...a 'one fund option' for investors looking for broad diversification across asset classes who can tolerate moderate market risk that comes from the volatility of the stock and bond markets."
The fund is subject to stock and bond market risks, and investors could lose money. However, based on the fund's allocation between stocks and bonds, the overall level of risk is considered lower than funds investing entirely in stocks. The fund has been managed by veteran Vanguard employees William Coleman and Walter Nejman since 2013.
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The fund's asset allocation objective is achieved by investing in 11 other Vanguard funds
The Vanguard Star Fund is a balanced fund between stocks and fixed income. As of November 27, 2023, the fund has assets totalling almost $20.68 billion invested in 12 different holdings.
The Vanguard Star Fund falls into Morningstar's allocation of 50 to 70 percent equity, with a fund allocation to stocks of just under 60 percent and about 40 percent allocated to domestic holdings as of December 2016. Morningstar describes the fund as "an easy one-stop option".
The fund's expense ratio is a low 0.32 percent, and it requires a $1,000 minimum investment. Vanguard describes the fund as a "one fund option" for investors seeking broad diversification and able to tolerate moderate market risk.
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The fund has a low expense ratio of 0.32% and a $1,000 minimum investment
The Vanguard Star Fund is a balanced fund between stocks and fixed income. As of November 27, 2023, the fund has assets of almost $20.68 billion invested in 12 different holdings.
The Vanguard Star Fund is designed for investors seeking a balanced approach and broad diversification across asset classes. It is considered a "one-fund option" for investors who can tolerate moderate market risk.
The fund has a $1,000 minimum initial investment, which is lower than the $3,000 minimum for most other Vanguard funds. This makes it more accessible to investors who are just starting or have a smaller amount to invest.
The fund's low expense ratio and minimum investment requirements make it an attractive option for those seeking a low-cost, well-diversified investment strategy.
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Vanguard is known for its low-cost index products and actively managed funds
Vanguard is a leading investment company with a strong reputation for its low-cost index products and actively managed funds. With an average expense ratio of 82% lower than the industry average across their mutual funds and ETFs, Vanguard offers investors a cost-effective way to build their legacy.
Vanguard's trademark is its low-cost approach, which has attracted significant inflows of assets into its funds in recent years. The company offers a wide array of mutual funds and exchange-traded funds (ETFs), providing investors with numerous options to suit their financial goals.
Vanguard's index funds are designed to mirror certain market segments and keep pace with market returns. These funds aim to match the performance of a specific market benchmark as closely as possible by buying all or a representative sample of the stocks or bonds in the index. This passive investment strategy offers a cost-effective way to diversify one's portfolio and has been a staple of Vanguard's offerings since its inception.
In addition to their index funds, Vanguard also offers actively managed funds, which aim to beat market returns. These funds leverage the expertise of top money managers who hand-pick investments based on deep research and experience. Over the past 10 years, 91% of Vanguard's actively managed funds have performed better than their peer-group averages, showcasing the success of their active management strategy.
Vanguard's actively managed funds span a range of stock, bond, and balanced funds in both U.S. and international investments. The company's size and reputation allow them to carefully select partners from across the globe, building deep relationships with their investment teams. This disciplined investment approach, paired with their consistent performance, has made Vanguard one of the largest managers of actively managed funds worldwide.
Whether investors choose Vanguard's low-cost index funds or their actively managed funds, they can benefit from the company's commitment to providing high-quality, low-cost investment options that fit their financial goals and risk tolerance.
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The fund is considered average risk and has returned between 1.72% and 6.24% over the past year
The Vanguard Star Fund is considered a moderate allocation fund, meaning it seeks a balanced return of growth and income by investing in a mix of stocks and fixed income. As of December 2016, the fund's allocation was just under 60% stocks and about 40% domestic holdings. The fund falls into Morningstar's allocation of 50 to 70 percent equity, which includes a wide range of funds with different strategies.
The fund is considered average risk by Morningstar when compared to other funds in its category, and it has delivered above-average returns relative to its peers. Over the past year, the fund has returned 6.24%, with a three-year return of 1.72%, a five-year return of 5.80%, and a ten-year return of 6.10%.
The Vanguard Star Fund has a low expense ratio of 0.32% and requires a minimum investment of $1,000, making it accessible to investors with varying financial capabilities. The fund's total net assets are substantial, currently totalling $22.837 billion.
The fund is designed for investors seeking broad diversification across asset classes and is suitable for those who can tolerate moderate market risk. It can serve as a core holding in a portfolio for investors who prefer a balanced approach.
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Frequently asked questions
The minimum initial investment for the Vanguard STAR Fund is $1,000.
The expense ratio of the Vanguard STAR Fund is 0.31% or 0.32% depending on the source.
The investment style of the Vanguard STAR Fund is Large Growth.