Growth stocks advance as rising yields challenge bonds
Equities generally outperformed fixed income in the third quarter of 2026, though results varied widely across market segments. Large-cap growth stocks were supported by continued enthusiasm for AI, while higher energy prices and rising bond yields pressured more rate-sensitive areas.
Performance of key Vanguard index funds
Fund name(Inception date) |
Q4 2025 |
Q1 2026 |
Q2 2026 |
Q3 2026 |
1-year |
|---|---|---|---|---|---|
Vanguard Morningstar Total Stock Market Index Fund (07/07/1997) |
2.44% | -3.96% | 15.65% | 1.36% | 15.33% |
Vanguard Total International Stock Index Fund (11/29/2010) |
4.51% | 1.75% | 12.01% | -0.53% | 18.48% |
Vanguard Total Bond Market Index Fund (09/18/1995) |
0.99% | 0.06% | 0.70% | -3.44% | -1.74% |
Vanguard Total International Bond Index Fund (05/31/2013) |
0.51% |
-0.42% | 1.70% | -2.65% | -0.91% |
Vanguard Short-Term Inflation-Protected Securities Index Fund (10/17/2012) |
0.39% | 0.97% | 0.69% | -0.67% | 1.37% |
Source of performance figures: Vanguard, Institutional share class, as of September 30, 2026.
The performance data shown represent past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, so investors' shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited. For performance data current to the most recent month-end, visit our website at workplace.vanguard.com. Standard performance of the funds can be located in the Quarterly Review Appendix.
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