Vanguard's Primecap Mutual Funds Reopen to Investors: What to Know
In June, Vanguard fully reopened Vanguard Primecap and Vanguard Primecap Core.

For the first time in at least 15 years, new investors can buy shares in two of Vanguard’s best-regarded actively managed mutual funds. In June, Vanguard fully reopened Vanguard Primecap (VPMCX) and Vanguard Primecap Core (VPCCX). Both funds are run by Primecap Management, described by Jeff DeMaso, editor of The Independent Vanguard Adviser newsletter, as, “arguably, one of the best active managers out there.”
Vanguard locked new investors out of Primecap in 2004 and out of Core in 2009, limiting existing investors to adding no more than $25,000 a year. The funds’ strong performances had attracted more money than the managers felt they could put to work in the long-term, value-priced growth opportunities they seek.
But in recent years, performance — especially at Primecap — has been lumpy. Investors have withdrawn more than $38 billion from Primecap since 2019 (leaving it with assets of $76.1 billion), and nearly $5 billion from Core (now with $13.2 billion). And, says Ryan Barksdale, who oversees Vanguard’s active stock funds, “the market has evolved,” creating new investment opportunities for additional cash. Both funds require a minimum initial investment of $3,000 for investor-class shares.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The two funds hold many of the same stocks. Both are tilted toward health care and industrial firms, and have benefited from a boom in Eli Lilly, which makes up more than 10% of each portfolio. Lilly has returned 94% over the past 12 months.
Although it can invest in stocks of any size, Primecap is currently weighted slightly more toward large companies. Charging an expense ratio of 0.38%, it has returned 27.5% over the past 12 months, beating the 24.6% return of the S&P 500. The fund gained 15.5% annualized over the past 15 years, compared with 14.8% for the S&P 500. Core, with expenses of 0.46%, has returned 25.4% over the past year; 14.7% over the past 15 years.
Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.
Related Content
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
Kim Clark is a veteran financial journalist who has worked at Fortune, U.S News & World Report and Money magazines. She was part of a team that won a Gerald Loeb award for coverage of elder finances, and she won the Education Writers Association's top magazine investigative prize for exposing insurance agents who used false claims about college financial aid to sell policies. As a Kiplinger Fellow at Ohio State University, she studied delivery of digital news and information. Most recently, she worked as a deputy director of the Education Writers Association, leading the training of higher education journalists around the country. She is also a prize-winning gardener, and in her spare time, picks up litter.
-
Stock Market Today: Markets Celebrate Trump's Tariff Détente
Consumer discretionary stocks led the 11 S&P 500 sector groups well into the green.
By David Dittman Published
-
It Just Got More Expensive to Get Into a United Lounge
United Airlines announced a new tiered membership scheme for United Club, which gets you into airport lounges.
By Alexandra Svokos Published
-
Stock Market Today: Markets Celebrate Trump's Tariff Détente
Consumer discretionary stocks led the 11 S&P 500 sector groups well into the green.
By David Dittman Published
-
Social Security Fairness Act: Five Financial Planning Issues to Revisit
More money as a public-sector retiree is great, but there could be unintended consequences with taxes, Medicare and more if you're not careful.
By Daniel Goodman, CFP®, CLU® Published
-
Social Security Warning: Five Missteps Too Many Women Make
Claiming Social Security is complicated, and for women the stakes are high. What you don't know can cost you, so make sure you do know these five things.
By Daniela Dubach Published
-
To Buck the Third-Generation Curse, Focus on the Family Story
The key is to motivate the next generations to contribute to the family business in a productive way. You can look to Lawrence Welk's family as a prime example.
By John M. Goralka Published
-
Walmart's Transformative Ways Spark a 100,000% Stock Return
Walmart's strategic store expansion and relentless cost-cutting have catapulted its share price over the years.
By Louis Navellier Published
-
20 Ways to Clean Up Your Finances This Spring
Spring cleaning is therapeutic and stops costly problems from building up around the home. Why not tackle the dusty corners of your finances at the same time?
By Lisa Gerstner Published
-
How Roth Accounts Can Ease Your Tax Burden in Retirement
Strategic Roth IRA conversions can set you up for tax-free income in retirement and a tax-free inheritance for the people you love.
By Jim Hanna Published
-
Are You a High Earner But Still Broke? Five Fixes for That
If you're a HENRY (a higher earner, not rich yet) but feel like you still live paycheck to paycheck, there are steps you can take to get control of your financial future.
By Mallon FitzPatrick, CFP®, AEP®, CLU® Published