2
•
Fund Family Shareholder Association
THISMONTH’SCHANGES
None.
About ourModel Portfolios
The
Growth
portfolio is aimed at investorswith long
time horizonswho canwithstand a certain
amount of monthly volatility in exchange for
above-average returns.Most appropriate for
younger investorswho continue to addmoney
asmarkets gyrate. Since inception themodel
has been slightly less volatile than the stock
market. The
ConservativeGrowth
portfolio
is appropriate for investors seeking tomatch
themarket’s risk-adjusted returns over time.
Since inception it has been just 80% as volatile
as the stockmarket. The
Income
portfolio is
designed for investorswho desire a higher
level of income plus the opportunity for capital
growthwith low risk, such as retirees or near-
retirees. Since inception themodel has been
only two-thirds as volatile as the stockmarket.
Returns have been substantially higher than
the bondmarket. The
Growth Index
model is
designed for young investorswhowish to index
exclusively. AllModel relative volatility figures
aremeasured against the stockmarket.
When trades are recommendedwewill
announce them on our Hotline and theywill
also appear on this page.
Our AverageVanguard Investor index
(see
page 1) measures themonthly performance of
the typical Vanguard fund investor. The aver-
age Vanguard Investor index (VII) is a dollar-
weighted performancemeasure for the entire
Vanguard fund group, including stock, bond,
balanced andmoneymarket funds. It provides
a yardstick against which tomeasure an indi-
vidual portfolio’s performance.
NOTE:
All returns are total returnswith distri-
butions reinvested. Flagship investorsmay open
new accounts in all closed funds in themodel
portfolios to amaximum of $25,000 per year. If
you don’t qualify, here are some alternatives.
With
Capital Opportunity
(and PRIMECAP
Odyssey AggressiveGrowth) closed I recom-
mend investors consider PRIMECAPOdyssey
Growth (POGRX) as a replacement. PRIMECAP
Odyssey Stock (POSKX) is the preferred
replacement for
PRIMECAPCore
. Both can be
purchased directly at
or for a fee through Vanguard Brokerage.
MODEL PORTFOLIOS
TheAlternative Funds
in the table to the left
are both current and past recommendations
I’vemade for Vanguard funds that either closed
or were saddledwith highminimums. Some
of these funds have subsequently closed, but
many of you own them, so I’ve provided this
performance data for your interest. Note that
HGHAX is typically soldwith a front-end load,
though clients of privatemoneymanagers can
sometimes buy the fund no-load.
Please refer
to thenoteabove formy current alternative
recommendations
.
PASTALTERNATIVESTOCLOSED/HIGHMINIMUM FUNDS
Fund
Ticker
3/31
Price
March
Return
YTD
Return
12-Mo.
Return
3-Year
Return
5-Year
Return
Alternative For
ArtisanMidCap
ARTMX $48.80
-4.1% 2.5% 29.5% 15.4% 26.2%
Capital Opp.
ArtisanMidCap Value
ARTQX $27.48
1.9% 1.8% 18.8% 14.1% 23.1% Selected Value
Polaris Global Value
PGVFX
$21.55
0.0% 4.4% 27.9% 14.1% 25.2% Global Equity
Fidelity International SmallCap
FISMX
$26.79
-1.8% 0.0% 22.7% 9.8% 22.5% International Expl.
Fidelity International SmallCapOpp.
FSCOX $14.62
0.7% 4.7% 23.0% 12.2% 23.7% International Expl.
T. Rowe International Discovery
PRIDX
$57.17
-0.7% 2.6% 20.3% 10.7% 23.0% International Expl.
HartfordHealthcare
HGHAX $32.44
-3.2% 7.2% 38.3% 24.0% 24.1%
Health Care
ICONHealthcare
ICHCX
$19.99
-1.4% 4.4% 32.2% 22.5% 22.1%
Health Care
PRIMECAPOdyssey Growth
POGRX $24.62
-2.0% 4.3% 25.6% 16.0% 23.0%
PRIMECAP
PRIMECAPOdysseyAggressiveGrowth POAGX $31.03
-3.5% 4.7% 39.8% 21.8% 30.1%
Capital Opp.
PRIMECAPOdyssey Stock
POSKX $21.97
1.2% 3.8% 24.4% 15.5% 21.1% PRIMECAP Core
Fidelity High Income
SPHIX
$9.47
0.1% 2.4% 5.7% 7.5% 16.1% High-Yield Corporate
GROWTHMODEL
Ticker
Shares
NAV
Value % Mo. Return
Selected Value
VASVX
6,064
$28.80
$174,646
24% 1.2%
S&PMidCap 400Growth ETF
IVOG
1,773
$94.10
$166,866
23% -0.5%
DividendGrowth
VDIGX
6,918
$21.71
$150,186
20% 1.6%
Capital Opportunity
VHCOX
2,914
$48.62
$141,696
19% -1.9%
Health Care
VGHCX
250
$195.23
$48,741
7% -2.0%
International Growth
VWIGX
1,146
$23.16
$26,549
4% -0.2%
Short-Term Inv.-Grade
VFSTX
2,281
$10.73
$24,476
3% -0.1%
TOTAL
$733,159
PAST
PERFORMANCE
2013:
34.2%
2001:
-6.4%
2012:
14.3%
2000:
20.4%
2011:
-1.4%
1999:
36.3%
2010:
14.3%
1998:
23.5%
2009:
34.4%
1997:
23.2%
2008:
-38.4%
1996:
16.6%
2007:
10.0%
1995
26.1%
2006:
18.4%
1994:
-0.2%
2005:
11.4%
1993:
16.6%
2004:
15.7%
1992:
6.1%
2003:
32.0%
1991:
28.9%
2002:
-17.8%
CURRENT
PERFORMANCE
Mar.
0.0%
YTD
2.9%
1-yr
23.8%
3-yr
14.0%
5-yr
20.6%
Risk last 24months
0.97
Risk since inception
0.97
Beg. Value:
$50,000 (1/1/91)
CONSERVATIVE GROWTHMODEL
Ticker
Shares
NAV
Value % Mo. Return
DividendGrowth
VDIGX
5,191
$21.71
$112,688
22% 1.6%
Capital Opportunity
VHCOX
2,210
$48.62
$107,442
21% -1.9%
S&PMidCap 400 ETF
IVOO
835
$92.65
$77,336
15% 0.3%
Selected Value
VASVX
2,435
$28.80
$70,126
14% 1.2%
High-Yield Corporate
VWEHX 6,761
$6.11
$41,311
8% 0.1%
Health Care
VGHCX
178
$195.23
$34,838
7% -2.0%
International Growth
VWIGX
1,468
$23.16
$33,997
7% -0.2%
Short-Term Inv.-Grade
VFSTX
2,861
$10.73
$30,698
6% -0.1%
TOTAL
$508,436
PAST
PERFORMANCE
2013:
29.8%
2001:
-3.5%
2012:
13.8%
2000:
14.0%
2011:
1.0%
1999:
19.7%
2010:
12.0%
1998:
15.2%
2009:
29.1%
1997:
22.6%
2008:
-33.6%
1996:
17.6%
2007:
8.6%
1995
21.5%
2006:
15.8%
1994:
1.1%
2005:
8.8%
1993:
14.9%
2004:
13.0%
1992:
6.5%
2003:
28.9%
1991:
26.0%
2002:
-16.4%
CURRENT
PERFORMANCE
Mar.
0.0%
YTD
3.0%
1-yr
21.3%
3-yr
13.7%
5-yr
18.7%
Risk last 24months
0.86
Risk since inception
0.83
Beg. Value:
$50,000 (1/1/91)
INCOMEMODEL
Ticker
Shares
NAV
Value % Mo. Return
DividendGrowth
VDIGX
4,135
$21.71
$89,777
25% 1.6%
PRIMECAP Core
VPCCX
3,873
$20.45
$79,208
22% 0.7%
Int-Term Investment-Grade
VFICX
7,162
$9.81
$70,259
19% -0.0%
High-Yield Corporate
VWEHX 6,316
$6.11
$38,593
10% 0.1%
Short-Term Inv.-Grade
VFSTX
2,673
$10.73
$28,679
8% -0.1%
Health Care
VGHCX
118
$195.23
$22,947
6% -2.0%
MidCap Index
VIMSX
672
$30.98
$20,806
6% -0.3%
International Growth
VWIGX
601
$23.16
$13,919
4% -0.2%
TOTAL
$364,188
PAST
PERFORMANCE
2013:
18.6%
2001:
-1.1%
2012:
11.5%
2000:
-3.5%
2011:
5.1%
1999:
9.9%
2010:
11.2%
1998:
18.2%
2009:
21.9%
1997:
22.5%
2008:
-24.1%
1996:
18.4%
2007:
3.8%
1995
28.4%
2006:
10.6%
1994:
-1.2%
2005:
6.2%
1993:
10.8%
2004:
8.4%
1992:
6.3%
2003:
19.1%
1991:
22.4%
2002:
-4.5%
CURRENT
PERFORMANCE
Mar.
0.4%
YTD
3.1%
1-yr
14.6%
3-yr
11.5%
5-yr
15.1%
Risk last 24months
0.60
Risk since inception
0.61
Beg. Value:
$50,000 (1/1/91)
GROWTH INDEXMODEL
Ticker
Shares
NAV
Value % Mo. Return
S&PMidCap400GrowthETF
IVOG
910
$94.10
$85,587
28% -0.5%
S&PMidCap 400Value ETF
IVOV
790
$90.94
$71,841
24% 1.2%
DividendAppreciation ETF
VIG
798
$75.23
$60,020
20% 0.8%
S&P 500Growth ETF
VOOG
490
$89.36
$43,803
14% -0.7%
HealthCare ETF
VHT
191
$106.92
$20,425
7% -2.0%
Short-TermCorporate ETF
VCSH
135
$79.98
$10,778
4% -0.3%
Total International Stock ETF
VXUS
205
$52.20
$10,706
3% 0.5%
TOTAL
$303,160
CURRENT
PERFORMANCE
Mar.
0.1%
YTD
2.2%
1-yr
20.6%
3-yr
12.8%
5-yr
21.2%
Risk last 24months
0.98
Risk since inception
1.04
Beg. Value:
$50,000 (3/1/95)
PAST
PERFORMANCE
2013:
30.7%
2004:
15.1%
2012:
14.8%
2003:
28.2%
2011:
-0.3%
2002:
-16.9%
2010:
18.8%
2001:
-2.4%
2009:
33.2%
2000:
-15.6%
2008:
-40.3%
1999:
21.4%
2007:
11.7%
1998:
26.7%
2006:
16.0%
1997:
25.8%
2005:
12.1%
1996:
19.9%
