|Expense Ratio (net)||0.20%|
|Last Cap Gain||0.00|
|Morningstar Risk Rating||Above Average|
|Beta (3Y Monthly)||1.00|
|5y Average Return||N/A|
|Average for Category||N/A|
|Inception Date||Jun 29, 2000|
When you’re looking for the best funds to beat inflation, you’re also looking for funds that can perform well in an environment of rising interest rates and a strong (but eventually weakening) U.S. dollar, which typically coincides with rising inflation.
At their core, mutual funds should be lower-risk investments. With mutual funds, you may lose some or all of the money you invest because the securities held by a fund can go down in value. Indeed, an array of low-risk mutual funds spanning multiple asset classes are currently available to investors.
What many do not understand about bond funds is that they work in the opposite direction as interest rates. Between 1981 and about 2016, bonds saw a bull run from the high inflation rates of the early 1980s to the ultra-low interest rates seen for most of this decade. Now with interest rates recovering from almost 0% levels (and negative rates in some foreign markets), signs of rising interest rates have appeared everywhere.