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If you've been stuck searching for Mutual Fund Bond funds, consider Vanguard PA Long-Term Tax-Exempt Investor (VPAIX - Free Report) as a possibility. VPAIX bears a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
History of Fund/Manager
Vanguard Group is responsible for VPAIX, and the company is based out of Malvern, PA. Since Vanguard PA Long-Term Tax-Exempt Investor made its debut in April of 1986, VPAIX has garnered more than $287.11 million in assets. The fund's current manager, James D'Arcy, has been in charge of the fund since November of 2011.
Performance
Investors naturally seek funds with strong performance. This fund in particular has delivered a 5-year annualized total return of 2.25%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of -1.23%, which places it in the middle third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Over the past three years, VPAIX's standard deviation comes in at 8.34%, compared to the category average of 10.56%. Looking at the past 5 years, the fund's standard deviation is 7.21% compared to the category average of 10.6%. This makes the fund less volatile than its peers over the past half-decade.
This fund has a beta of 1.07, meaning that it is more volatile than a broad market index of fixed income securities. Taking this into account, VPAIX has a positive alpha of 0.22, which measures performance on a risk-adjusted basis.
Ratings
Investors should also consider a bond's rating, which is a grade ( 'AAA' to 'D' ) given to a bond that indicates its credit quality. With this letter scale in mind, VPAIX has 38.46% in high quality bonds rated at least 'AA' or higher, while 57.83% are of medium quality, with ratings of 'A' to 'BBB'. The fund has an average quality of A, and focuses on high quality securities.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, VPAIX is a no load fund. It has an expense ratio of 0.17% compared to the category average of 0.83%. From a cost perspective, VPAIX is actually cheaper than its peers.
This fund requires a minimum initial investment of $3,000, and each subsequent investment should be at least $1.
Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.
Bottom Line
Overall, Vanguard PA Long-Term Tax-Exempt Investor ( VPAIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, Vanguard PA Long-Term Tax-Exempt Investor ( VPAIX ) looks like a good potential choice for investors right now.
Your research on the Mutual Fund Bond segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.
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Is VPAIX a Strong Bond Fund Right Now?
If you've been stuck searching for Mutual Fund Bond funds, consider Vanguard PA Long-Term Tax-Exempt Investor (VPAIX - Free Report) as a possibility. VPAIX bears a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
History of Fund/Manager
Vanguard Group is responsible for VPAIX, and the company is based out of Malvern, PA. Since Vanguard PA Long-Term Tax-Exempt Investor made its debut in April of 1986, VPAIX has garnered more than $287.11 million in assets. The fund's current manager, James D'Arcy, has been in charge of the fund since November of 2011.
Performance
Investors naturally seek funds with strong performance. This fund in particular has delivered a 5-year annualized total return of 2.25%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of -1.23%, which places it in the middle third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Over the past three years, VPAIX's standard deviation comes in at 8.34%, compared to the category average of 10.56%. Looking at the past 5 years, the fund's standard deviation is 7.21% compared to the category average of 10.6%. This makes the fund less volatile than its peers over the past half-decade.
This fund has a beta of 1.07, meaning that it is more volatile than a broad market index of fixed income securities. Taking this into account, VPAIX has a positive alpha of 0.22, which measures performance on a risk-adjusted basis.
Ratings
Investors should also consider a bond's rating, which is a grade ( 'AAA' to 'D' ) given to a bond that indicates its credit quality. With this letter scale in mind, VPAIX has 38.46% in high quality bonds rated at least 'AA' or higher, while 57.83% are of medium quality, with ratings of 'A' to 'BBB'. The fund has an average quality of A, and focuses on high quality securities.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, VPAIX is a no load fund. It has an expense ratio of 0.17% compared to the category average of 0.83%. From a cost perspective, VPAIX is actually cheaper than its peers.
This fund requires a minimum initial investment of $3,000, and each subsequent investment should be at least $1.
Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.
Bottom Line
Overall, Vanguard PA Long-Term Tax-Exempt Investor ( VPAIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, Vanguard PA Long-Term Tax-Exempt Investor ( VPAIX ) looks like a good potential choice for investors right now.
Your research on the Mutual Fund Bond segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.