Here at Vanguard, we try to encourage our investors to use our wide range of mutual funds for the reasons we just discussed.

For someone in your position, I recommend the following portfolio: $($shown to the right$)$

Sean

Ok$.$ How should I think about standard deviation?

It's essentially a measure of risk and the typical range we can expect to see the price fluctuate up or down.

Say that VFIAX is trading at $$50$ at the beginning of the year. What is the range in which it will most likely finish the year?

$$41\mathrm{.}20-$$$58\mathrm{.}81$

$$32\mathrm{.}39-$$$67\mathrm{.}61$

$$38\mathrm{.}70-$$$61\mathrm{.}31$

$$40\mathrm{.}22-$$$59\mathrm{.}78$

Submit

$\backslash$table$[[$Ticker$,$Description,Allocation,Historic Return,Expense Ratio,Standard Deviation$],[$VFIAX$,$S&P $500$ Fund,$50\%,13\mathrm{.}61\%,0\mathrm{.}04\%,17\mathrm{.}6\%$