Vanguard Offers 3 New Index Funds
From Times Staff and Wire
Vanguard Group, the nation’s leading marketer of “index” mutual funds, on Monday unveiled three funds that will mimic the performance of key small- and mid-cap stock indexes.
The company said it opened funds to track the Standard & Poor’s mid-cap 400 index, the S&P; small-cap 600/Barra value index and the S&P; small-cap 600/Barra growth index.
Vanguard is perhaps best known for its Index 500 Trust, which tracks the blue-chip S&P; 500 index.
The firm already offers a small-cap fund that tracks the Russell 2,000 index, a “value”-oriented index.
While many financial advisors favor blue-chip index funds, some argue that actively managed small-stock funds are better choices for investors seeking small-stock exposure.
