The price of oil has finally seen a bit of an upside as summer approaches. While it hovered under the $50 mark for a month, it is now heading to over $60. As investors, it is only natural to look at this as an investment opportunity. This week, we have chosen the Vanguard Energy fund (VGENX) as our fund of the week.
Inside the Fund
The fund was launched in 1984 and is currently managed by Karl E. Bandtel, with approximately $11.6 billion in assets under management (AUM).
The fund is composed almost entirely of energy stocks based in the U.S. and Europe.
Historical Performance
| 2010 | 2011 | 2012 | 2013 | 2014 |
|---|---|---|---|---|
| 13.43% | -1.74% | 2.67% | 18.14% | -14.26% |
Largest Holdings
| Symbol | Stock | Portfolio Weight | YTD Performance |
|---|---|---|---|
| XOM | Exxon | 9.57% | -4% |
| CVX | Chevron | 5.53% | -3% |
| RDS-A | Royal Dutch Shell | 4.94% | -5% |
| PXD | Pioneer Natural Resources | 4.22% | +9% |
| SLB | Schlumberger NV | 3.43% | +9% |
The Bottom Line
Investors seeking exposure to the big names in the oil and gas industry may consider this fund for diversification.
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