VanguardTax-Exempt Bond ETF Prospectus - Vanguard …



Vanguard Funds

Supplement Dated October 3, 2023, to the Prospectuses and Summary Prospectuses

Important Changes to the Funds

Effective immediately, Vanguard is making changes to the portfolio managers of each Fund listed in the table below (each, an "impacted Fund," and collectively, the "impacted Funds") as a result of an internal realignment of the municipal bond team.

The impacted Funds' investment objectives, strategies, and policies remain unchanged.

Prospectus and Summary Prospectus Text Changes The following table lists each impacted Fund and the corresponding portfolio manager changes:

Vanguard Fund

Vanguard California IntermediateTerm Tax-Exempt Fund Vanguard California Long-Term Tax-Exempt Fund Vanguard California Municipal Money Market Fund Vanguard High-Yield Tax-Exempt Fund Vanguard Intermediate-Term TaxExempt Fund Vanguard Limited-Term TaxExempt Fund Vanguard Long-Term Tax-Exempt Fund Vanguard Massachusetts TaxExempt Fund Vanguard Municipal Money Market Fund Vanguard New Jersey Long-Term Tax-Exempt Fund Vanguard New York Municipal Money Market Fund Vanguard Ohio Long-Term TaxExempt Fund Vanguard Pennsylvania Long-Term Tax-Exempt Fund

Portfolio Manager(s) prior to October 3

Adam M. Ferguson Stephen M. McFee John M. Carbone Mathew M. Kiselak James M. D'Arcy Adam M. Ferguson Mathew M. Kiselak Stephen M. McFee Justin A. Schwartz Adam M. Ferguson

John P. Grimes Stephen M. McFee James M. D'Arcy

Portfolio Manager(s) as of October 3

Adam M. Ferguson James M. D'Arcy Stephen M. McFee Adam M. Ferguson John M. Carbone John P. Grimes Mathew M. Kiselak Adam M. Ferguson James M. D'Arcy Mathew M. Kiselak Adam M. Ferguson James M. D'Arcy Mathew M. Kiselak Stephen M. McFee Stephen M. McFee

Grace Boraas Justin A. Schwartz

John P. Grimes Adam M. Ferguson

Grace Boraas John P. Grimes John M. Carbone Stephen M. McFee Grace Boraas James M. D'Arcy Grace Boraas

Vanguard Short-Term Tax-Exempt Bond ETF Vanguard Tax-Exempt Bond Index Fund Vanguard Tax-Managed Balanced Fund

Vanguard Ultra-Short-Term TaxExempt Fund

Stephen M. McFee

Stephen M. McFee

James M. D'Arcy Walter Nejman Aur?lie Denis Michael R. Roach

Justin A. Schwartz

Justin A. Schwartz

Justin A. Schwartz

James M. D'Arcy Grace Boraas Walter Nejman Aur?lie Denis

Michael R. Roach Stephen M. McFee Adam M. Ferguson

References to portfolio managers who no longer manage an impacted Fund are removed.

The following text is added under the heading "Investment Advisor" in the Fund Summary section for each impacted Fund, as appropriate:

Grace Boraas, Portfolio Manager at Vanguard. She has co-managed the Fund since October 2023.

John M. Carbone, Principal of Vanguard. He has co-managed the Fund since October 2023.

James M. D'Arcy, CFA, Portfolio Manager at Vanguard. He has co-managed the Fund since October 2023.

Adam M. Ferguson, CFA, Portfolio Manager at Vanguard. He has co-managed the Fund since October 2023.

John P. Grimes, CFA, Portfolio Manager at Vanguard. He has co-managed the Fund since October 2023.

Mathew M. Kiselak, Principal of Vanguard. He has co-managed the Fund since October 2023.

Stephen M. McFee, CFA, Portfolio Manager at Vanguard. He has co-managed the Fund since October 2023.

Justin A. Schwartz, CFA, Portfolio Manager at Vanguard and Head of Municipal Index and Money Markets. He has managed the Fund since October 2023.

Prospectus Text Changes References to portfolio managers who no longer manage an impacted Fund are removed. The following text is added under the heading "Investment Advisor" in the More on the Fund(s) section for each impacted Fund, as appropriate: Grace Boraas, Portfolio Manager at Vanguard. She has been with Vanguard since 2013, and has co-managed the Fund since October 2023. Education: B.S., Stetson University. John M. Carbone, Principal and Portfolio Manager at Vanguard. He has managed investment portfolios since 1991, has been with Vanguard since 1996, and has co-managed the Fund since October 2023. Education: B.S., Babson College; M.S., Grand Canyon University; M.B.A., Southern Methodist University. James M. D'Arcy, CFA, Portfolio Manager at Vanguard. He has worked in investment management since 1996, has managed investment portfolios since 1999, has been with Vanguard since 2011, and has co-managed the Fund since October 2023. Education: B.A., University of Colorado. Adam M. Ferguson, CFA, Portfolio Manager at Vanguard. He has been with Vanguard since 2004, has worked in investment management since 2008, and has co-managed the Fund since October 2023. Education: B.S., Wilmington University; M.B.A., Drexel University. John P. Grimes, CFA, Portfolio Manager at Vanguard. He has been with Vanguard since 1998, has worked in investment management since 2008, and has co-managed the Fund since October 2023. Education: B.A., Marquette University; M.B.A., Saint Joseph's University. Mathew M. Kiselak, Principal and Portfolio Manager at Vanguard. He has worked in investment management since 1987, has managed investment portfolios since 1990, and has co-managed the Fund since October 2023. Education: B.S., Pace University. Stephen M. McFee, CFA, Portfolio Manager and co-lead of the municipal revenue team in Vanguard's Fixed Income Group. He has been with Vanguard since 2005, has worked in investment management since 2007, and has co-managed the Fund since October 2023. Education: B.A./B.S., East Stroudsburg University; M.S., St. Joseph's University. Justin A. Schwartz, CFA, Portfolio Manager at Vanguard and Head of Municipal Index and Money Markets in Vanguard's Fixed Income Group. He has been with Vanguard since 2004, has worked in investment management since 2004, has managed investment portfolios since 2010, and has managed the Fund since October 2023. Education: B.S., University of Richmond.

CFA? is a registered trademark owned by CFA Institute. ? 2023 The Vanguard Group, Inc. All rights reserved. Vanguard Marketing Corporation, Distributor.

PS PMC 102023

Vanguard Tax-Exempt Bond ETF Prospectus

February 27, 2023 Exchange-traded fund shares that are not individually redeemable and are listed on NYSE Arca Vanguard Tax-Exempt Bond Index Fund ETF Shares (VTEB)

This prospectus contains financial data for the Fund through the fiscal year ended October 31, 2022. The Securities and Exchange Commission (SEC) has not approved or disapproved these securities or passed upon the adequacy of this prospectus. Any representation to the contrary is a criminal offense.

Contents

ETF Summary

?

Investing in Vanguard ETF Shares Investing in Index Funds Investing in Tax-Exempt Funds

1 More on the Fund and ETF Shares

12

8 The Fund and Vanguard

25

10 Investment Advisor

25

11 Dividends, Capital Gains, and Taxes

26

Share Price and Market Price

29

Additional Information

31

Financial Highlights

32

Glossary of Investment Terms

34

ETF Summary

Investment Objective The Fund seeks to track the performance of a benchmark index that measures the investment-grade segment of the U.S. municipal bond market.

Fees and Expenses The following table describes the fees and expenses you may pay if you buy, hold, and sell ETF Shares of the Fund. You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the table and example below.

Shareholder Fees (Fees paid directly from your investment)

Transaction Fee on Purchases and Sales Transaction Fee on Reinvested Dividends Transaction Fee on Conversion to ETF Shares

* None through Vanguard (Broker fees vary)

None* None* None*

Annual Fund Operating Expenses (Expenses that you pay each year as a percentage of the value of your investment)

Management Fees 12b-1 Distribution Fee Other Expenses Total Annual Fund Operating Expenses

0.04% None 0.01% 0.05%

1

Example

The following example is intended to help you compare the cost of investing in the Fund's ETF Shares with the cost of investing in other funds. It illustrates the hypothetical expenses that you would incur over various periods if you were to invest $10,000 in the Fund's shares. This example assumes that the shares provide a return of 5% each year and that total annual fund operating expenses remain as stated in the preceding table. You would incur these hypothetical expenses whether or not you were to sell your shares at the end of the given period. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

1 Year $5

3 Years $16

5 Years $28

10 Years $64

This example does not include the brokerage commissions that you may pay to buy and sell ETF Shares of the Fund.

Portfolio Turnover

The Fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in more taxes when Fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the previous expense example, reduce the Fund's performance. During the most recent fiscal year, the Fund's portfolio turnover rate was 23% of the average value of its portfolio.

Principal Investment Strategies The Fund employs an indexing investment approach designed to track the Standard & Poor's National AMT-Free Municipal Bond Index, which measures the performance of the investment-grade segment of the U.S. municipal bond market as determined by the Index Provider, S&P Dow Jones Indices LLC. This Index includes municipal bonds from issuers that are primarily state or local governments or agencies whose interest is exempt from U.S. federal income taxes and the federal alternative minimum tax (AMT) (excluding bonds issued by U.S. territories and commonwealths and certain other bonds as determined by the Index Provider). To be eligible for inclusion in the Index, each bond must have a rating of at least investment-grade, as determined by a nationally recognized statistical rating organization (NRSRO) (e.g., at least BBB? by Fitch Ratings, Inc), the lowest rating will be used in determining if the bond is investment grade. Each bond must also be denominated in U.S. dollars; generally must be a constituent of a deal where the original offering amount was at least $100 million; and generally

2

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