Best Vanguard Funds for a Volatile Market: Vanguard Wellington (VWELX)
Minimum Initial Investment: $3,000
Investors looking for a low-cost moderate allocation balanced fund that’s also actively managed probably won’t find better than Vanguard Wellington (MUTF:VWELX).
On the surface, VWELX looks like almost any top-notch balanced fund. But this fund’s distinctive quality is that it’s the oldest mutual fund in the Vanguard lineup.
In fact, it’s the oldest balanced fund on the market.
VWELX has an asset allocation of approximately two-thirds stocks and one-third bonds. Like the majority of the best balanced funds, the top equity holdings are high-quality stocks like MSFT, JPM and Chevron (NYSE:CVX). This fund skews heavily toward financials, at about a quarter of the fund.
The bonds cover the spectrum of fixed income, but the average quality is investment-grade and the average duration is intermediate-term.