VPMAX worth it? [Vanguard PRIMECAP]

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badbreath
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VPMAX worth it? [Vanguard PRIMECAP]

Post by badbreath »

I have +$50K in Vanguard PRIMECAP Fund Admiral Shares in a inherited 401k that I am not drawing down yet due to using other funds to take RMD. The other funds suck so I am getting out of them ASAP.

The question I had was is Vanguard PRIMECAP Fund Admiral Shares still worth investing in?
“While money can’t buy happiness, it certainly lets you choose your own form of misery.” Groucho Marx
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cfs
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Re: VPMAX worth it?

Post by cfs »

Proceed with caution.

Primecap, is a closed fund, so, if you sell your will be out for good. This fund is concentrated in a few sectors, such as technology [about 36%] and health care [about 28%]. Overall, good management, good fund. Good luck with your investments.

Thanks for reading.
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jmndu99
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by jmndu99 »

badbreath wrote:I have +$50K in Vanguard PRIMECAP Fund Admiral Shares in a inherited 401k that I am not drawing down yet due to using other funds to take RMD. The other funds suck so I am getting out of them ASAP.

The question I had was is Vanguard PRIMECAP Fund Admiral Shares still worth investing in?
If you decide to SELL some, I would like to PURCHASE, perhaps just 1 share would do. I am in the accumulation phase.

Private message (PM) me if interested
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badbreath
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by badbreath »

why one?

yes I know it is a closed fund

This should be the other way in order :oops: :oops:
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sperry8
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by sperry8 »

I've owned this fund for a long time. It's a large cap fund so it doesn't rise as fast as the small caps - but it also doesn't drop as much when times are bad. I find it better than the S&P 500 Index but similar in that it is active and large cap. Worth holding imo. Good management team.

Also although Primecap via Vanguard is closed - you can still buy it direct (just not from VG). They sell funds now outside VG and renamed them (Primecap Odyssey). POAGX for example. Same management team - and really nice funds. So you can sell - and then buy in that way if you'd like.
BH contest results: 2019: #233 of 645 | 18: #150 of 493 | 17: #516 of 647 | 16: #121 of 610 | 15: #18 of 552 | 14: #225 of 503 | 13: #383 of 433 | 12: #366 of 410 | 11: #113 of 369 | 10: #53 of 282
elderwise
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by elderwise »

sperry8 wrote:I've owned this fund for a long time. It's a large cap fund so it doesn't rise as fast as the small caps - but it also doesn't drop as much when times are bad. I find it better than the S&P 500 Index but similar in that it is active and large cap. Worth holding imo. Good management team.

Also although Primecap via Vanguard is closed - you can still buy it direct (just not from VG). They sell funds now outside VG and renamed them (Primecap Odyssey). POAGX for example. Same management team - and really nice funds. So you can sell - and then buy in that way if you'd like.
actually i just checked this fund is closed even on prime cap own website unless you know a broker thru which we cna still get this fund.

I have this open to me via my old 403B, pity i only have 10K i left there so cant add more.

I think its a good fund..but maybe thats just me.
jdb
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by jdb »

My favorite Vanguard managed equity fund. Have held for many years and each year buy the maximum allowable $25K. So guess that my suggestion would be not to sell.
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JoMoney
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by JoMoney »

I don't own it, but I've watched it for a long time.
It's currently a large-cap fund, but if you look back a few years it might look more like a mid-cap fund. They are an active fund, and don't track any particular style or index. They have multiple managers who have changed over time. There are definitely risks unique to this fund with it's active style and potentially large bets in relatively few sectors and stocks. I don't know how you gauge those risks relative to your objectives... but for an active growth fund, it has relatively low costs, low portfolio turnover, and a great track record. But despite their record, if I wanted my portfolio to have more of an 'active share', I'd probably be picking stocks myself.
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jay22
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by jay22 »

If you sell it, can you sell one share to me?
sheroo
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by sheroo »

Would you sell 1 share to me too? :-)
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sperry8
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by sperry8 »

elderwise wrote:
sperry8 wrote:I've owned this fund for a long time. It's a large cap fund so it doesn't rise as fast as the small caps - but it also doesn't drop as much when times are bad. I find it better than the S&P 500 Index but similar in that it is active and large cap. Worth holding imo. Good management team.

Also although Primecap via Vanguard is closed - you can still buy it direct (just not from VG). They sell funds now outside VG and renamed them (Primecap Odyssey). POAGX for example. Same management team - and really nice funds. So you can sell - and then buy in that way if you'd like.
actually i just checked this fund is closed even on prime cap own website unless you know a broker thru which we cna still get this fund.

I have this open to me via my old 403B, pity i only have 10K i left there so cant add more.

I think its a good fund..but maybe thats just me.
Actually Primecap Odyssey Growth is the alternative for Vanguard PRIMECAP. And you can buy it.
Primecap Odyssey Aggressive Growth (which is closed) is the alternative for another Vanguard PRIMECAP fund, Capital Opportunity.
And Primecap Odyssey Stock is the alternative for PRIMECAP Core.

So if you solely want a replacement for PRIMECAP then you can buy it direct.
BH contest results: 2019: #233 of 645 | 18: #150 of 493 | 17: #516 of 647 | 16: #121 of 610 | 15: #18 of 552 | 14: #225 of 503 | 13: #383 of 433 | 12: #366 of 410 | 11: #113 of 369 | 10: #53 of 282
larmewar
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by larmewar »

There is currently a $25K limit per account per year limit on new purchases. If you are comfortable with any overweight to tech and healthcare sectors and the associated additional risk, yes VPMAX is "worth it" IMO. I stopped adding to my VPMAX in Apr 2014 and reduced VGHCX to ease overweight to the HC sector.

Lar
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cfs
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by cfs »

Good article.

Good article. Primecap in the Spotlight. And I found this very interesting [on the launching of Vanguard Primecap]:

By 1983, Schow was gone, taking with him Kolokotrones and Milias, a jovial, politically connected investor whose family was said to own vast swathes of garlic fields a few hours south of San Francisco. They opened an office 20 minutes away from Capital’s headquarters. Vanguard chief Jack Bogle, no enthusiast of active management, was a fan of Schow’s. A year after Primecap set up shop, they launched Vanguard Primecap, seeded with $100,000 from Bogle.

Good luck with your investments, with or without PRIMECAP.

Thanks for reading.

Edit 1 - IF the link is not working, just do a Google search for Primecap in the Spotlight [the article is from Barron's].
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TomatoTomahto
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by TomatoTomahto »

Curious. I've never before heard of selling shares of a civilian's mutual fund directly to another civilian. Were you guys just joking? If you're not kidding, I've got loads to sell for a small premium :twisted:
I get the FI part but not the RE part of FIRE.
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badbreath
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by badbreath »

Good to know its heavy in health care. I do have some VGHCX and have been trying to get more bonds in my portfolio and that guy was a candidate since its in a IRA. I will keep it and let it grow and take inherited RMD out a Fidelity account that I also got.
“While money can’t buy happiness, it certainly lets you choose your own form of misery.” Groucho Marx
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cfs
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Re: VPMAX worth it? [Vanguard PRIMECAP]

Post by cfs »

TomatoTomahto wrote:. . . Were you guys just joking? . . .
NO. This forum is for serious investors. This is not a joke.

Check this article from Dan Wiener on "How to Invest in Closed Mutual Funds."

Good luck with your invesments [with or without PRIMECAP]

Thanks for reading.
~ Member of the Active Retired Force since 2014 ~
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