RWMGX vs. VEIRX

Last updated Jun 5, 2026

RWMGX (American Funds Washington Mutual Investors Fund Class R-6) and VEIRX (Vanguard Equity Income Fund Admiral Shares) are both mutual funds - RWMGX is a Large Cap Blend Equities fund managed by American Funds, while VEIRX is a Large Cap Value Equities fund actively managed by Vanguard. Over the past 10 years, RWMGX returned 13.17%/yr vs 11.90%/yr for VEIRX. Their correlation of 0.95 suggests significant overlap in exposure. RWMGX charges 0.27%/yr vs 0.19%/yr for VEIRX.

Performance

RWMGX vs. VEIRX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds Washington Mutual Investors Fund Class R-6 (RWMGX) and Vanguard Equity Income Fund Admiral Shares (VEIRX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RWMGX achieves a 5.55% return, which is significantly lower than VEIRX's 9.19% return. Over the past 10 years, RWMGX has outperformed VEIRX with an annualized return of 13.17%, while VEIRX has yielded a comparatively lower 11.90% annualized return.

RWMGX

• 1D: -0.44%
• 1M: 1.77%
• YTD: 5.55%
• 6M: 5.81%
• 1Y: 17.43%
• 3Y*: 18.43%
• 5Y*: 12.03%
• 10Y*: 13.17%

VEIRX

• 1D: -0.49%
• 1M: 1.89%
• YTD: 9.19%
• 6M: 9.37%
• 1Y: 23.25%
• 3Y*: 17.43%
• 5Y*: 10.91%
• 10Y*: 11.90%

*Multi-year figures are annualized to reflect compound growth (CAGR)

RWMGX vs. VEIRX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
RWMGX American Funds Washington Mutual Investors Fund Class R-6	5.55%	17.56%	19.35%	17.58%	-8.17%	28.84%	8.02%	25.78%	-5.91%	20.38%
VEIRX Vanguard Equity Income Fund Admiral Shares	9.19%	17.25%	14.91%	7.76%	-0.08%	25.49%	3.08%	25.34%	-5.68%	17.68%

Correlation

The correlation between RWMGX and VEIRX is 0.86, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.86
Correlation (3Y) Calculated over the trailing 3-year period	0.85
Correlation (5Y) Calculated over the trailing 5-year period	0.90
Correlation (10Y) Calculated over the trailing 10-year period	0.92
Correlation (All Time) Calculated using the full available price history since Jan 5, 2010	0.95

The correlation between RWMGX and VEIRX has been stable across timeframes, ranging from 0.85 to 0.95 - a consistent structural relationship.

Return for Risk

RWMGX vs. VEIRX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

RWMGX

RWMGX Risk / Return Rank: 35
RWMGX Sharpe Ratio Rank: 34
RWMGX Sortino Ratio Rank: 34
RWMGX Omega Ratio Rank: 34
RWMGX Calmar Ratio Rank: 31
RWMGX Martin Ratio Rank: 43

VEIRX

VEIRX Risk / Return Rank: 60
VEIRX Sharpe Ratio Rank: 57
VEIRX Sortino Ratio Rank: 57
VEIRX Omega Ratio Rank: 54
VEIRX Calmar Ratio Rank: 70
VEIRX Martin Ratio Rank: 61

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

RWMGX vs. VEIRX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds Washington Mutual Investors Fund Class R-6 (RWMGX) and Vanguard Equity Income Fund Admiral Shares (VEIRX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	RWMGX	VEIRX	Difference
Sharpe ratio: Return per unit of total volatility	1.69	2.25	-0.55
Sortino ratio: Return per unit of downside risk	2.43	3.20	-0.78
Omega ratio: Gain probability vs. loss probability	1.31	1.41	-0.10
Calmar ratio: Return relative to maximum drawdown	2.09	3.23	-1.14
Martin ratio: Return relative to average drawdown	9.06	12.06	-3.01
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

RWMGX vs. VEIRX - Sharpe Ratio Comparison

The current RWMGX Sharpe Ratio is 1.69, which is comparable to the VEIRX Sharpe Ratio of 2.25. The chart below compares the historical Sharpe Ratios of RWMGX and VEIRX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	RWMGX	VEIRX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.69	2.25	-0.55
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.86	0.79	+0.07
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.81	0.73	+0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.82	0.51	+0.31

Drawdowns

RWMGX vs. VEIRX - Drawdown Comparison

The maximum RWMGX drawdown since its inception was -34.64%, smaller than the maximum VEIRX drawdown of -54.02%. Use the drawdown chart below to compare losses from any high point for RWMGX and VEIRX.

Drawdown Indicators

	RWMGX	VEIRX	Difference
Max Drawdown Largest peak-to-trough decline	-34.64%	-54.02%	+19.38%
Max Drawdown (1Y) Largest decline over 1 year	-8.35%	-7.13%	-1.22%
Max Drawdown (3Y) Largest decline over 3 years	-14.61%	-13.36%	-1.25%
Max Drawdown (5Y) Largest decline over 5 years	-18.46%	-15.12%	-3.34%
Max Drawdown (10Y) Largest decline over 10 years	-34.64%	-35.26%	+0.62%
Current Drawdown Current decline from peak	-0.44%	-0.49%	+0.05%
Average Drawdown Average peak-to-trough decline	-3.12%	-6.50%	+3.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.92%	1.91%	+0.01%

Volatility

RWMGX vs. VEIRX - Volatility Comparison

The current volatility for American Funds Washington Mutual Investors Fund Class R-6 (RWMGX) is 2.38%, while Vanguard Equity Income Fund Admiral Shares (VEIRX) has a volatility of 2.70%. This indicates that RWMGX experiences smaller price fluctuations and is considered to be less risky than VEIRX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RWMGX	VEIRX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.38%	2.70%	-0.32%
Volatility (6M) Calculated over the trailing 6-month period	7.81%	7.62%	+0.19%
Volatility (1Y) Calculated over the trailing 1-year period	10.32%	10.27%	+0.05%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.10%	13.92%	+0.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.32%	16.30%	+0.02%

RWMGX vs. VEIRX - Expense Ratio Comparison

RWMGX has a 0.27% expense ratio, which is higher than VEIRX's 0.19% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

RWMGX vs. VEIRX - Dividend Comparison

RWMGX's dividend yield for the trailing twelve months is around 9.86%, less than VEIRX's 10.17% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
RWMGX American Funds Washington Mutual Investors Fund Class R-6	9.86%	10.36%	10.36%	6.42%	6.63%	6.33%	3.35%	6.91%	4.67%	7.52%	6.66%	6.55%
VEIRX Vanguard Equity Income Fund Admiral Shares	10.17%	11.03%	9.83%	7.96%	8.79%	7.71%	2.86%	4.45%	10.98%	3.04%	3.87%	6.48%

Frequently Asked Questions

Can I hold both RWMGX and VEIRX in my portfolio?

RWMGX and VEIRX have a correlation of 0.86, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RWMGX or VEIRX?

VEIRX has higher volatility (2.70%) compared to RWMGX (2.38%). In terms of maximum drawdown, RWMGX dropped -34.64% vs VEIRX's -54.02%.

Which has better risk-adjusted returns?

VEIRX currently has the higher Sharpe Ratio (2.25 vs 1.69), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.