What is Vanguard Balanced Index Fund?

Vanguard Balanced Index Fund seeks capital appreciation, current income, and long-term growth of income by tracking the investment performance of a balanced benchmark, with 60% of assets invested in the broad U.S. stock market and 40% of assets held in the investment-grade U.S. bond market.

What is a balanced fund?

Despite the common 60% stock and 40% bond starting point, balanced funds come in all shapes and sizes. Some stay close to the classic split between stocks and bonds, while others venture tactically around that anchor. Some use all passive funds as the building blocks, some stand by active management funds, and others use a blend of both.

Are balanced funds right for You?

A balanced fund’s appeal is its simplicity. Using a 60/40 fund as a core holding or even a total portfolio saves investors from worrying about choosing individual underlying strategies or keeping up with rebalancing. But that doesn’t mean balanced funds are right for everyone.