Looking for the top Vanguard funds for 2020?
Vanguard has been one of the traditionally most reliable companies to invest your money.
Due to its philosophy of investing money cheaply, it is easy to see why this company is so popular.
We have analyzed various Vanguard funds and we present you the funds that are worth investing in the long, medium or short term.
Our list would not be complete without showing you our preferred Vanguard fund for long-term investing.
Apart from the best Vanguard funds of 2020 that we will show you below, this fund must be an essential part of a good investment portfolio.
Vanguard 500 Index (VFINX)
It doesn’t matter if you want to invest in a retirement account (Roth IRA or IRA) or want to invest to make money, the vast majority of financial experts recommend that a passive investment strategy is the best way to avoid losing money in the stock market.
It is for this reason that we recommend the Vanguard 500 Index as the best Vanguard fund for long-term investing. This index fund invests in the 500 largest companies in the United States and closely mimics the famous S & P500 index.
Vanguard is above almost all competitors due to its low costs and excellent reputation. Investing in the stock market has never been so easy and cheap with this strategy. If you are looking for a solid form of investment with results, this will be the best Vanguard investment fund for you.
Top Vanguard Funds For 2020
Many financial experts recommend investing in the best mutual funds or best-traded funds as a smart way to invest in many companies at once and divide your risk.
Use these Vanguard funds to create a complete investment portfolio, or to invest in sectors that interest you.
Vanguard Mid-Cap Index Fund (VIMSX)
Low-cost mid-cap funds like the one Vanguard offers offer a balance of risk and return.
This Vanguard fund invests in medium-sized companies, which still have a lot of potential, which means a great opportunity.
By investing in midsize companies, you also avoid a bigger problem: Most of the largest companies in the United States are large multinationals that generate a high percentage of income abroad.
When the dollar is higher relative to other currencies, the profits of these companies can reduce the profit potential thanks to a stronger dollar.
Instead of investing in giant companies with little potential for growth (such as the Vanguard 500 Index Fund, this fund benefits from the growth and stability of medium-sized companies such as Ross Stores, Inc., Equinix Inc and Nvidia Corporation.
Vanguard Growth Index Fund (VIGRX)
If you are young and want to invest money in the long term, this will be the best Vanguard fund for you.
The Vanguard Growth Index Fund focuses on investing in companies with high growth expectations, with a healthy mix of highly stable large companies.
The investment portfolio of this fund contains stocks of large companies in the United States that tend to grow at a faster rate than the broader market indexes.
This Vanguard investment fund is also focused on innovation as it invests in companies like Apple Inc., Google – now known as Alphabet and Amazon.com, Inc.
This fund also invests in finance and energy sectors.
That is why it has benefited from a great growth in the market and is one of the best recommended Vanguard funds to invest in the long term or even to double your money.
Vanguard Global Equity Fund (VHGEX)
If you don’t want to invest only in US companies or want to expand your investment portfolio, the Vanguard Global Equity Fund can be a smart choice.
According to some experts, global market currency fluctuations represent a great investment opportunity. In fact, by investing in emerging countries like China or Brazil, you can benefit from its rapid growth.
This fund also allows you to invest in Mexico, since part of its assets are allocated in Mexican companies.
Spreading risk around the world may be your best bet for the foreseeable future or if you want to benefit from the growth of the global economy.
This is one of the best Vanguard funds, as it has an average distribution between the United States and the rest of the world.
Aside from investing in American companies like Amazon and Google, the fund also invests in foreign stocks, such as Taiwan Semiconductor Manufacturing Co. Ltd. and Samsung from South Korea.
Vanguard Energy Fund (VGENX)
At the end of 2019, OPEC and other oil-producing countries agreed to a historic agreement to reduce oil production.
This makes energy, oil and mining investment funds one of the best Vanguard funds to invest your money in, as these companies have been the victims of a panicking market.
Energy prices have seen a significant change recently, so investing in oil, energy and these stable companies can be a great opportunity.
We also recommend VGENX as one of the best Vanguard funds because it has stocks in companies that pay dividends, so you can receive a great incentive for your money.
A healthy United States economy and moderate oil production may solidify the foundation for this investment fund to recover its value and benefit from its shares in companies such as Exxon Mobil Corporation, Pioneer Natural Resources and Chevron.
Vanguard Health Care Inv (VGHCX)
It seems to us that the Vanguard Health Care Inv mutual fund is one of the best mutual funds to invest money in the long term in 2020 because it has a lower proportion of spending of only 0.35% (or $ 3.5 dollars per every 10,000 invested). This fund invests in the healthcare industry and also invests in some companies that pay dividends.
Analysts predict that the healthcare industry will continue to grow as the current population ages and the world population continues to grow. It is definitely an excellent option to consider when investing.