|Expense Ratio (net)||0.15%|
|Last Cap Gain||0.00|
|Morningstar Risk Rating||Above Average|
|Beta (3Y Monthly)||1.04|
|5y Average Return||N/A|
|Average for Category||N/A|
|Inception Date||Dec 11, 1986|
As with the other portfolios, I used Morningstar's Lifetime Allocation Indexes to guide the asset-class exposures for these Vanguard portfolios. To help populate the portfolios with specific funds and monitor them on an ongoing basis, I leaned on Morningstar's Medalist ratings and input from Morningstar's analyst team.
Because of their ultralow costs and broad diversification, various Vanguard funds featured heavily in my previous model bucket portfolios, both the original series as well as the ETF and tax-efficient series that came later. In part, that's because these portfolios are designed for tax-deferred accounts, so managing for tax efficiency--a big benefit of equity index funds and ETFs--is not valuable here.
E*TRADE is the only major online broker to offer Vanguard mutual funds within its no-load, no-transaction-fee program
The S&P 500 index fund is help up to be a great low-cost option for investors who want something simple. But investors need to diversify so what's a bond equivalent?