Vanguard is one of the world’s largest asset management corporations that manage around $3 trillion in assets. It offers nearly 160 domestic funds and 120 funds for foreign markets (as of Dec 31, 2014). It offers asset management and financial planning services to clients across the world. Unlike other mutual fund companies, Vanguard is owned by the funds themselves, which helps its management focus better on shareholder interests. Among other advantages, it claims to offer low-cost, no-load funds. Vanguard was founded by John C. Bogle in 1975.

Below we share with you 5 top-rated Vanguard mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and we expect the fund to outperform its peers in the future. To view the Zacks Rank and past performance of all Vanguard mutual funds, investors can click here to see the complete list of Vanguard funds .

Vanguard Health Care Investor (VGHCX – MF report) invests a major portion of its assets in securities of companies primarily involved in operations related to the health care domain. VGHCX invests in health care companies including pharmaceutical firms, medical supply companies and companies engaged in operations related to medical and biochemical. VGHCX may invest a maximum of half of its assets in companies located in foreign lands. The Vanguard Health Care Investor fund has returned 10.3% in the year-to-date frame.

Jean M. Hynes is the fund manager of VGHCX since 2008.

Vanguard Morgan Growth Investor (VMRGX – MF report) seeks capital appreciation over the long run. VMRGX uses multiple advisors to invest in domestic companies that are believed to provide above-average revenues and earnings growth. VMRGX invests in securities of companies having large and medium sized market capitalizations. The Vanguard Morgan Growth Investor fund has returned 7.1% in the year-to-date frame.

VMRGX has an expense ratio of 0.40% as compared to the category average of 1.19%.