Launched in 1929, it has navigated almost a century of market cycles, delivering an 8.33% annualized return since inception.This fund has survived and thrived through major , including the Great Depression, Black Monday in 1987, the dot-com bubble, the , and the COVID-19 market crash.Unlike traditional index funds, this Vanguard fund is actively managed and does not track a benchmark. Instead, it holds a carefully selected portfolio made up of two-thirds high-quality, dividend-paying stocks screened for value and stability, and one-third investment-grade bonds, providing a balance of growth and income.This allocation helps the fund weather market downturns better than pure stock funds, making it a strong choice for investors who want lower volatility without sacrificing returns.That said, this mutual fund isn’t the most tax-efficient option due to its mix of stocks and bonds, which can generate taxable distributions. And although its 0.26% expense ratio is reasonable for an actively managed fund, it’s higher than low-cost . Like other Vanguard Admiral Shares funds, it has a $3,000 minimum investment requirement., A first-rate mutual fund portfolio is diversified. It holds funds focusing on U.S. stocks and bonds as well as international securities. It offers both growth and value stocks as well as passively , A staple in employer-sponsored retirement plans, mutual funds can offer instant diversity for a portfolio. Here's a look at the best overall mutual funds for 2025..