Volatility has come to a screeching halt, you say? Sure. But while volatility admittedly is at multiyear lows, stocks are trading at all-time highs just as summer seasonality is fast approaching. Translation: Now is a good time to start looking for the best Vanguard funds for a volatile market, which could be lurking just around the corner.
Why Vanguard funds for volatility?
The vast majority of mutual fund investors are of the long-term variety, and “time in the market” is a smarter bet than “timing the market” for superior returns in the long run.
Just as important, Vanguard’s broad selection of low-cost funds with simple, diversified portfolios are a good fit for almost any investor looking to minimize volatility.
Vanguard doesn’t offer funds with complex trading strategies, such as put options and futures contracts; therefore, investors can play it smart and minimize risk through diversification rather than taking more market risk to hedge it away.
With those points in mind, here are the seven best Vanguard funds for a volatile market.