The Vanguard 500 Index Fund, known as the first and largest consumer index fund, was formed 25 years ago today with a modest $11.4 million in assets, the Vanguard Group said.
The fund is chartered to mirror performance of the S&P 500 Index, a large-cap stock benchmark.
The Vanguard Group launched the product Aug. 31, 1976. Known then as the First Index Investment Trust, it raised modest assets during its initial underwriting, but has since grown to $90.6 billion. Since its launch, the fund has garnered average returns of 14.05% compared to average equity fund returns of 13.84%, the company said in a statement.
Vanguard now offers 32 index funds tracking 21 benchmarks and manages some $234 billion in index assets, the statement said.