Are there any downsides to vanguard mutual funds? are there any better no-load fund co.'s out there?

The downside that I have found with vanguard is that even though they have really low expense ratio's, their funds are mostly index, which means that they are not looked after like an actively managed fund which may have a team of research analysts, and fund managers. The expense ratio may be slightly higher, but the rate of return should be greater to offset the amount the fund has to pay for the management. Also I feel that the quality of the fund should be greater and the chances of the fund remaining on-top of the market is higher than with an index fund that is simply trying to mirror the market.

In my opinion the biggest downside is Vanguard's size. It is tough to beat the market when you are the market. Report It

overall they are the industries lowest cost funds. that does not mean that each fund on its own outperforms other funds. you need to research and compare. however if you are buying index funds, lowest cost ususally equates to best performance. i use index funds so they are the winner for me.

as with any investment you can lose money =downside
if you are going to trade stocks, then they are not the cheapest place to do it.

I do like Vanguard best. However, Fidelity.com does not have bad funds.

1) Yes
2) Yes