Build a portfolio with Vanguard funds

Start with asset allocation

In a well-diversified portfolio, research shows that how you divide your money among stocks, bonds, and cash has a bigger impact on your long-term returns than any specific funds you pick.

Find the allocation that's right for you

Then choose your funds

You have a wide selection to choose from, including index and actively managed funds, both domestic and international, spanning all the major asset classes.

Choose from more than 100 Vanguard mutual funds

Consider a few core funds

Research also shows that index funds' historical performance has benefited thanks in part to their broad diversification, low costs, and potential for tax efficiency.* Below we've highlighted four of our broadest index funds, each representing an entire asset class.

When combined with our Prime Money Market Fund, you have the potential building blocks you need for a complete, easy-to-manage, and well-diversified portfolio.

All investing is subject to risk, including possible loss of principal. In a diversified portfolio, gains from some investments may help offset losses from others. However, diversification does not ensure a profit or protect against a loss.

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Answer a few questions and we'll give you specific asset allocation and fund recommendations.

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Prime Money Market Fund (VMMXX) Detailed fund profile


Total Bond Market Index Fund (VBMFX) Detailed fund profile

Bond funds are subject to the risk that an issuer will fail to make payments on time and that bond prices will decline because of rising interest rates or negative perceptions of an issuer's ability to make payments.

Total International Bond Index Fund (VTIBX) Detailed fund profile

Total International Bond Index Fund is subject to currency hedging risk, which is the chance that currency hedging transactions may not perfectly offset the fund's foreign currency exposures and may eliminate any chance for a fund to benefit from favorable fluctuations in those currencies. The Fund will incur expenses to hedge its currency exposures.

Total Stock Market Index Fund (VTSMX) Detailed fund profile

Prices of mid- and small-cap stocks often fluctuate more than those of large-company stocks.

Total International Stock Index Fund (VGTSX) Detailed fund profile

Investments in stocks issued by non-U.S. companies are subject to risks including country or regional risk, which is the chance that political upheaval, financial troubles, or natural disasters will adversely affect the value of securities issued by companies in foreign countries or regions; and currency risk, which is the chance that the value of a foreign investment, measured in U.S. dollars, will decrease because of unfavorable changes in currency exchange rates.

The performance data shown represent past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, so that investors' shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited.

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although a money market fund seeks to preserve the value of your investment at $1 per share, it is possible to lose money by investing in such a fund.

*Vanguard research: "The case for indexing," Christopher B. Philips, CFA, February 2011.

Industry average expense ratios and performance are based on the most recent data available for Morningstar's Average Money Market, Intermediate-Term Bond, Large Blend, and Foreign Large Blend Fund categories, respectively. © 2013 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; (3) does not constitute investment advice offered by Morningstar; and (4) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.