Vanguard Ditches RS Investments

Vanguard is shaking up the management of its $3.1 billion Mid-Cap Growth fund, removing Victory Capital affiliate RS Investments as subadviser and transferring its portion to Frontier Capital Management.

The realignment leaves 60% of the fund in the hands of Frontier, while Wellington Management Company subadvises the other 40%.

Frontier and Wellington have been advising the fund since 2018, and RS Investments had been managing a portion of the fund since 2016.

Performance has clearly been an issue.

Mid-Cap Growth was down 26.1% over the past 12 months according to data from Morningstar, underperforming its benchmark for the past one-, three- and five-year periods.

Given that track record, a manager shake-up might not be the worst thing in the world for the fund. But we’re not convinced that this move will be enough to change Mid-Cap Growth’s trajectory.

Chart of the Week: Gas Prices Shake Off Ukraine Shock

 By Jeff DeMaso, Portfolio Manager

When Russia invaded Ukraine, oil prices rose as high as $120 per barrel. Gasoline prices followed suit. And when the cost to fuel up rises as fast as it did earlier this year, it’s impossible not to notice. Heck, prices were posted in giant type all over town.

But while the media eagerly announces the climbing cost of living in headlines, how about when prices are falling? It may surprise you to see that U.S. gasoline prices, on average, have returned to levels we saw before Russia invaded Ukraine.

Inflation has been a pain point all year long—for consumers and investors. At least when it comes to filling up the tank, higher prices are a thing of the past.

Podcast: The One Number You Need

From smart watches that monitor our sleep to apps that track our spending and whereabouts, it can sometimes seem like there isn’t a single second of our day that is left unexamined. Often, though, we end up floundering in that sea of data when it comes time to make a decision, especially in our financial lives.

Fortunately, there’s a simple way to find our focus. In this episode of The Adviser You Can Talk To Podcast, Andrew Busa and Jeff DeMaso each stake out their one key metric to ensure that your portfolio and your financial plan stay on track. Listen today!

Adviser Takeaways

In recent Takeaways, Wealth Adviser Diana Linn talked about the best way to give cash, while Senior Research Analyst Liz Laprade discussed the fall of FTX and the future of crypto.

We hope you find these videos engaging and accessible, and please let us know if there are any topics you’d like us to address by sending an email to info@adviserinvestments.com.

About Adviser

Adviser is a full-service wealth management firm, offering investment management, financial and tax planning, managed individual bond portfolios, and 401(k) advisory services. We’ve been helping individuals, trusts, institutions and foundations since 1994. Adviser Investments and its subsidiaries have over 5,000 clients across the country and over $8 billion in assets under management. Our portfolios encompass actively managed funds, ETFs, socially responsible investments and tactical asset allocation strategies, and we’re experts on Fidelity and Vanguard mutual funds. We take pride in being The Adviser You Can Talk To. To see a full list of our awards and recognitions, click here, and for more information, please visit www.adviserinvestments.com or call 800-492-6868.