Vanguard 2025 Fund Fact Sheet

Overview

The Vanguard Target Retirement 2025 Fund (VTWNX) is a target-date fund that invests in a diversified portfolio of stocks and bonds. The fund is designed for investors who plan to retire around 2025 and who want a fund that will automatically adjust its asset allocation as they get closer to retirement.

Investment Strategy

The Vanguard Target Retirement 2025 Fund invests in a blend of Vanguard index funds that track a variety of stock and bond market indexes. The fund's asset allocation is based on the following glide path:

Risk and Return

The Vanguard Target Retirement 2025 Fund is a relatively conservative investment option, with a moderate level of risk. The fund's risk profile is based on the following factors:

• The fund's asset allocation is heavily weighted toward stocks, which are a more volatile investment than bonds.
• The fund's investments are spread across a wide range of asset classes, which helps to reduce risk.
• The fund's glide path gradually reduces the fund's exposure to stocks as the investor gets closer to retirement, which helps to reduce risk.

The Vanguard Target Retirement 2025 Fund has a long-term average annual return of 7.0%. The fund's return is based on the following factors:

• The fund's investments have performed well over the long term.
• The fund's fees are low, which helps to boost returns.
• The fund's glide path helps to protect returns during market downturns.

Fees and Expenses

The Vanguard Target Retirement 2025 Fund has an expense ratio of 0.15%. The fund's expense ratio is low, which helps to boost returns.

How to Invest

You can invest in the Vanguard Target Retirement 2025 Fund through Vanguard's website or through a financial advisor. The fund's minimum investment amount is $1,000.

Target-Date Funds: A Convenient Solution

Target-date funds are a convenient investment option for investors who want a fund that will automatically adjust its asset allocation as they get closer to retirement. Vanguard's Target Retirement 2025 Fund is a good option for investors who are planning to retire around 2025 and who want a fund that is relatively conservative with a moderate level of risk.

Frequently Asked Questions

• What is a target-date fund? A target-date fund is a fund that invests in a diversified portfolio of stocks and bonds. The fund's asset allocation is based on the investor's expected retirement date.
• What is the Vanguard Target Retirement 2025 Fund? The Vanguard Target Retirement 2025 Fund is a target-date fund that invests in a blend of Vanguard index funds that track a variety of stock and bond market indexes. The fund's asset allocation is based on the following glide path:
• What are the risks of investing in the Vanguard Target Retirement 2025 Fund? The Vanguard Target Retirement 2025 Fund is a relatively conservative investment option, with a moderate level of risk. The fund's risk profile is based on the following factors:
• What are the fees and expenses of the Vanguard Target Retirement 2025 Fund? The Vanguard Target Retirement 2025 Fund has an expense ratio of 0.15%. The fund's expense ratio is low, which helps to boost returns.
• How can I invest in the Vanguard Target Retirement 2025 Fund? You can invest in the Vanguard Target Retirement 2025 Fund through Vanguard's website or through a financial advisor. The fund's minimum investment amount is $1,000.

Tips and Tricks

• Consider your investment goals. What are you trying to achieve with your investment? Are you saving for retirement, a down payment on a house, or something else? Once you know your goals, you can choose an investment strategy that is right for you.
• Do your research. There are many different investment options available, so it's important to do your research before you invest. Compare different investment options and choose the one that is right for you.
• Start investing early. The sooner you start investing, the more time your money has to grow. Even if you can only invest a small amount of money each month, it will add up over time.
• Diversify your investments. Don't put all of your eggs in one basket. Diversify your investments by investing in different asset classes, such as stocks, bonds, and real estate. This will help to reduce your risk.
• Rebalance your portfolio regularly. As your investment goals change, you should rebalance your portfolio to make sure that it still meets your needs. Rebalancing involves selling some of your investments that have performed well and buying more of your investments that have performed poorly. This will help to keep your portfolio on track.

By following these tips, you can make the most of your investments and reach your financial goals.