Investors in search of a Mutual Fund Equity Report fund might want to consider looking at Vanguard Small-Cap Growth Index Institutional (VSGIX Quick QuoteVSGIX - Free Report) . VSGIX has no Zacks Mutual Fund Rank, but we have been able to look into other metrics like performance, volatility, and cost.

History of Fund/Manager

Vanguard Group is based in Malvern, PA, and is the manager of VSGIX. Vanguard Small-Cap Growth Index Institutional made its debut in May of 2000, and since then, VSGIX has accumulated about $3.09 billion in assets, per the most up-to-date date available. The fund is currently managed by Gerard O'Reilly who has been in charge of the fund since September of 2011.

Performance

Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund in particular has delivered a 5-year annualized total return of 4.79%, and it sits in the middle 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 3.78%, which places it in the bottom third during this time-frame.

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. Compared to the category average of 20.34%, the standard deviation of VSGIX over the past three years is 21.07%. The fund's standard deviation over the past 5 years is 23.45% compared to the category average of 18.14%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

The fund has a 5-year beta of 1.13, so investors should note that it is hypothetically more volatile than the market at large. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. VSGIX's 5-year performance has produced a negative alpha of -6.01, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.

Holdings

Examining the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is mostly on equities that are traded in the United States.

Currently, this mutual fund is holding 88.71% stock in stocks, and these companies have an average market capitalization of $6.45 billion. The fund has the heaviest exposure to the following market sectors:

• Technology
• Health
• Industrial Cyclical
• Other

Expenses

As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, VSGIX is a no load fund. It has an expense ratio of 0.06% compared to the category average of 0.79%. From a cost perspective, VSGIX is actually cheaper than its peers.

This fund requires a minimum initial investment of $5 million, and each subsequent investment should be at least $1.

Bottom Line

For additional information on this product, or to compare it to other mutual funds in the Mutual Fund Equity Report, make sure to go to www.zacks.com/funds/mutual-funds for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.