VTMFX vs. AAGTX
Compare and contrast key facts about Vanguard Tax-Managed Balanced Fund Admiral Shares (VTMFX) and American Funds 2040 Target Date Retirement Fund (AAGTX).
VTMFX is managed by Blackrock. It was launched on Sep 6, 1994. AAGTX is managed by American Funds. It was launched on Jan 31, 2007.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: VTMFX or AAGTX.
Key characteristics
| VTMFX | AAGTX | |
|---|---|---|
| YTD Return | 13.22% | 17.11% |
| 1Y Return | 21.93% | 29.24% |
| 3Y Return (Ann) | 4.77% | 4.50% |
| 5Y Return (Ann) | 8.46% | 10.57% |
| 10Y Return (Ann) | 7.65% | 9.35% |
| Sharpe Ratio | 3.45 | 2.83 |
| Sortino Ratio | 4.95 | 3.93 |
| Omega Ratio | 1.69 | 1.53 |
| Calmar Ratio | 3.27 | 2.40 |
| Martin Ratio | 22.33 | 19.22 |
| Ulcer Index | 0.96% | 1.48% |
| Daily Std Dev | 6.24% | 10.03% |
| Max Drawdown | -28.49% | -48.78% |
| Current Drawdown | 0.00% | 0.00% |
Correlation
The correlation between VTMFX and AAGTX is 0.95, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Performance
VTMFX vs. AAGTX - Performance Comparison
In the year-to-date period, VTMFX achieves a 13.22% return, which is significantly lower than AAGTX's 17.11% return. Over the past 10 years, VTMFX has underperformed AAGTX with an annualized return of 7.65%, while AAGTX has yielded a comparatively higher 9.35% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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VTMFX vs. AAGTX - Expense Ratio Comparison
VTMFX has a 0.09% expense ratio, which is lower than AAGTX's 0.33% expense ratio.
Risk-Adjusted Performance
VTMFX vs. AAGTX - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Tax-Managed Balanced Fund Admiral Shares (VTMFX) and American Funds 2040 Target Date Retirement Fund (AAGTX). 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.
Dividends
VTMFX vs. AAGTX - Dividend Comparison
VTMFX's dividend yield for the trailing twelve months is around 1.99%, more than AAGTX's 1.25% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VTMFX Vanguard Tax-Managed Balanced Fund Admiral Shares | 1.99% | 1.94% | 1.85% | 1.38% | 1.73% | 2.06% | 2.22% | 2.00% | 2.13% | 2.06% | 2.00% | 2.06% |
AAGTX American Funds 2040 Target Date Retirement Fund | 1.25% | 1.47% | 1.08% | 0.77% | 0.78% | 1.01% | 1.09% | 0.89% | 1.00% | 0.80% | 4.84% | 3.35% |
Drawdowns
VTMFX vs. AAGTX - Drawdown Comparison
The maximum VTMFX drawdown since its inception was -28.49%, smaller than the maximum AAGTX drawdown of -48.78%. Use the drawdown chart below to compare losses from any high point for VTMFX and AAGTX. For additional features, visit the drawdowns tool.
Volatility
VTMFX vs. AAGTX - Volatility Comparison
The current volatility for Vanguard Tax-Managed Balanced Fund Admiral Shares (VTMFX) is 1.98%, while American Funds 2040 Target Date Retirement Fund (AAGTX) has a volatility of 2.70%. This indicates that VTMFX experiences smaller price fluctuations and is considered to be less risky than AAGTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.