What Is a Value Fund?

By Jeremy Bowman – Updated Nov 16, 2025 at 1:27 AM EST

Key Points

Value funds invest in stocks trading below intrinsic value, ideal for diversified, low-risk market beating.
Value funds like Vanguard Value ETF focus on profitable blue chips, offering stability and dividends.
Recent performance shows value funds underperform in bull markets but excel in bear conditions.

If you prefer the convenience and diversification of funds versus buying individual stocks, you have many different options. You can invest in a fund based on geography, such as China, a sector, such as technology, or investing style, including growth, dividend, or value.

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Risk Management

The process of identifying, assessing, and mitigating potential threats to minimize their impact on an organization’s goals.

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A fiduciary is someone who manages money, assets, or property for a client or beneficiary.

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About the Author

Jeremy Bowman has been a contributing Motley Fool stock market analyst, covering technology, consumer goods, and macroeconomic trends since 2011. Before The Motley Fool, Jeremy was a newspaper reporter, restaurant manager, and English teacher abroad. He holds a bachelor’s degree in English from Colorado College and a master’s degree in business administration from American University. One of his Motley Fool headlines was briefly featured on Late Night with Stephen Colbert.

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JPMorgan Chase is an advertising partner of Motley Fool Money. Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway and JPMorgan Chase. The Motley Fool recommends Johnson & Johnson and UnitedHealth Group. The Motley Fool has a disclosure policy.