Vanguard Offers 3 New Index Funds

Vanguard Group, the nation’s leading marketer of “index” mutual funds, on Monday unveiled three funds that will mimic the performance of key small- and mid-cap stock indexes.

The company said it opened funds to track the Standard & Poor’s mid-cap 400 index, the S&P; small-cap 600/Barra value index and the S&P; small-cap 600/Barra growth index.

Vanguard is perhaps best known for its Index 500 Trust, which tracks the blue-chip S&P; 500 index.

The firm already offers a small-cap fund that tracks the Russell 2,000 index, a “value”-oriented index.

While many financial advisors favor blue-chip index funds, some argue that actively managed small-stock funds are better choices for investors seeking small-stock exposure.