Vanguard Admiral Shares expansion: Lower fund costs for ...
[Pages:6]Vanguard Admiral Shares expansion: Lower fund costs for nearly 2 million Vanguard clients
October 6, 2010
Vanguard Admiral Shares expansion
What are Admiral shares?
Admiral Shares are a class of Vanguard mutual funds offered at a lower expense ratio than Investor Shares. Admiral Shares were first offered to shareholders in 2000.
Asset minimum in fund Index funds Active funds
Today $10,000 $50,000
Previous $100,000 $100,000
Admiral By The Numbers
$90 billion: 2 million: 1.03%: 0.07%:
Additional assets that will qualify for Admiral Shares. In total, today, $340 billion is invested in Vanguard Admiral Shares, representing nearly 25% of Vanguard's total assets under management.
The number of additional shareholders that now qualify for Admiral Shares. In total, 2.4 million clients -- nearly half of Vanguard's individual investor client base -- can take advantage of these lower-cost shares.
The spread between the average expense Admiral Share expense ratio (0.16%) and the industry average expense ratio (1.19%), according to Lipper Inc., 2009.
The expense ratio of Vanguard's flagship index funds -- the $138 billion Vanguard Total Stock Market Index Fund and the $94 billion Vanguard 500 Index Fund. The Admiral Shares of these two funds feature lower expense ratios than comparable funds at Fidelity and Schwab.
Admiral By The Numbers (continued)
52 Vanguard funds offer Admiral Shares at new eligibility requirements:
Index funds: 17 Stock: 13 Bond: 3 Balanced: 1
Active funds: 35 Stock: 12 Bond: 20 Balanced: 3
*new eligibility requirements exclude Vanguard's 10 sector index funds and 3 Tax-Managed funds, which will continue to offer Admiral Shares using the previous asset minimum criteria.
What does this mean to Joe & Jane investor?
An investor rolling over a $60,000 401(k) can realize substantial annual savings by building an IRA portfolio at Vanguard.
Portfolio: 60% equities/ 40% bonds (with domestic /international equity segment split 70%/30%)
Domestic Equity Fund International Equity Fund Bond Fund TOTAL COST
Assets: $25,200 Assets: $10,800 Assets: $24,000
One-Year Cost of Fund (in Dollars)
Vanguard $17.64
Fidelity $25.20
$21.60
$21.60
$28.80
$76.80*
$68.04
$123.60
Schwab $22.68* $20.52*
$132.00* $175.20
*expense ratio artificially reduced by temporary fee waiver
Funds used: Vanguard Total Stock Market Index Fund (Admiral Shares), Vanguard Total International (Admiral Shares), Vanguard Total Bond Market Index Fund (Admiral Shares), Fidelity Spartan Total Market Index Fund, Fidelity Spartan International Index Fund, Fidelity U.S. Bond Index Fund, Schwab Total Stock Market Index Fund, Schwab International Index Fund, Schwab Total Bond Market Index Fund.
Vanguard ? the clear low cost winner for a complete portfolio
Vanguard Total Stock Market Index Fund (Admiral Shares)
Fidelity Spartan Total Market Index Fund
Schwab Total Stock Market Index Fund
Expense Ratio
Minimum Investment
Index Tracked
0.07%
0.10%
* 0.09% (0.12%)
$10,000 $10,000
$100
MSCI? US Broad Market Index
Dow Jones U.S. Total Stock Market Index
Dow Jones U.S. Total Stock Market Index
Vanguard Total Bond Market Index Fund (Admiral Shares)
Fidelity U.S. Bond Index Fund
Schwab Total Bond Market Index Fund.
0.12%
* 0.32% (0.38%) * 0.55% (0.63%)
$10,000 $10,000
$100
Barclays Capital U.S. Aggregate Bond Index
Barclays Capital U.S. Aggregate Bond Index
Barclays Capital U.S. Aggregate Bond Index
Vanguard Total International (Admiral Shares)
0.20%
$10,000
Fidelity Spartan International Index Fund
* 0.10% (0.20%)
$10,000
Schwab International Index Fund
* 0.19% (0.23%)
$100
*Fidelity and Schwab artificially reduce these funds' expense ratios via temporary fee
waiver; gross expenses noted in parentheses.
MSCI All Country World Index ex USA (Includes 6000 developed and emerging markets stocks)
MSCI EAFE Index (includes developed market stocks only)
Schwab International Index (includes only 350 stocks)
................
................
In order to avoid copyright disputes, this page is only a partial summary.
To fulfill the demand for quickly locating and searching documents.
It is intelligent file search solution for home and business.
Related download
- vanguard tax managed funds prospectus admiral shares
- take a look at horace mann s retirement advantage mutual
- fidelity versus vanguard comparing the performance of the
- vanguard real estate index funds
- vanguard admiral shares expansion lower fund costs for
- december 2018 q1 i understand fidelity is making
- vanguard municipal bond funds
- hsa investment list
Related searches
- vanguard admiral shares vs investor shares
- vanguard admiral shares list
- vanguard admiral shares vs investor sha
- vanguard investor shares vs admiral sha
- vanguard investor shares vs admiral shares
- admiral shares vanguard funds
- vanguard 500 index fund admiral shares report
- vanguard admiral shares minimum
- vanguard admiral shares vs etf
- gnma fund admiral shares vanguard
- vanguard admiral shares price
- vanguard reit admiral shares price