Vanguard Small-Cap Value Index (VISVX)
Vanguard is a fund family that consistently promotes the value of its index fund offerings. However, while Vanguard Small-Cap Value Index (VISVX) is one of its lesser-known options, it continues to post solid results.
This Vanguard fund seeks out undervalued, out-of-favor names in the small-cap world; it currently holds more than 800 companies. VISVX is dedicated in large part to financials, which account for 29% of the portfolio. Clearly this fund is a good way to play the continuing recovery in this sector.
VISVX is up 32% so far in 2013, and has appreciated by an annualized 10% over the past decade. As an added and unexpected bonus, VISVX pays some dividend income, to the tune of 1.9% over the trailing 12 months.
The fund has a reasonable $3,000 minimum to get started, and the same goes for VHCOX, VASVX and VDIGX. Expenses are just 0.24% annually.