Is The Vanguard Short Term Corporate Bond ETF (VCSH) A Good ETF to Buy?

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as the Vanguard Short Term Corporate Bond ETF (NASDAQ:VCSH) but similarly valued. These stocks are Red Hat, Inc. (NYSE:RHT), Mead Johnson Nutrition CO (NYSE:MJN), Essex Property Trust Inc (NYSE:ESS), and Palo Alto Networks Inc (NYSE:PANW). This group of stocks’ market valuations are closest to VCSH’s market valuation.

As you can see these stocks had an average of 30 hedge funds with bullish positions and the average amount invested in these stocks was $841 million. That figure was just $22 million in VCSH’s case. Palo Alto Networks Inc (NYSE:PANW) is the most popular stock in this table. On the other hand Essex Property Trust Inc (NYSE:ESS) is the least popular one with only 19 bullish hedge fund positions. Compared to these stocks, the Vanguard Short Term Corporate Bond ETF (NASDAQ:VCSH) is even less popular than ESS. Considering that hedge funds aren’t fond of this ETF in relation to other stocks analyzed in this article, it may be a good idea to study it in detail and understand why the smart money isn’t behind this ETF with much conviction.

Disclosure: None