VALLEY FORGE, Pa.--(EON: Enhanced Online News)--Vanguard today filed a registration statement with the U.S. Securities and Exchange Commission for Vanguard® Global Minimum Volatility Fund.
“The new fund features the hallmarks of a Vanguard offering – low costs, broad diversification, and a disciplined approach. The fund is designed to provide long-term investors exposure to the broad global equity market with less expected volatility”
The new actively managed equity fund will seek to provide long-term capital appreciation with lower volatility relative to the global equity market. The fund is expected to invest approximately half of its assets in stocks of U.S. companies and approximately half in stocks of foreign companies. To mitigate currency risk and lower the volatility of the overall fund, a significant portion of the fund’s exposure to foreign currencies will be hedged to the U.S. dollar through the use of forward currency contracts.
“The new fund features the hallmarks of a Vanguard offering – low costs, broad diversification, and a disciplined approach. The fund is designed to provide long-term investors exposure to the broad global equity market with less expected volatility,” said Vanguard Chairman and CEO Bill McNabb.
Expected to be available in the fourth quarter of 2013, the fund will offer two low-cost share classes—Investor Shares and Admiral Shares. The fund’s Investor Shares will have an estimated expense ratio of 0.30% and require a minimum initial investment of $3,000. The Admiral Shares will have an estimated expense ratio of 0.20% and require a minimum initial investment of $50,000.
The fund will be managed by Vanguard’s Equity Investment Group, which oversees more than $13 billion in traditional active quantitative equity strategies, including hedged global equity assets.
Vanguard, headquartered in Valley Forge, Pennsylvania, is one of the world’s largest investment management companies and a leading provider of company-sponsored retirement plan services. Vanguard manages more than $2.25 trillion in U.S. mutual fund assets, including more than $290 billion in ETF assets. The firm offers more than 160 funds to U.S. investors and more than 100 additional funds in non-U.S. markets. For more information, visit vanguard.com.
All asset figures are as of August 31, 2013, unless otherwise noted.
For more information about Vanguard funds, visit vanguard.com or call 800-662-7447 to obtain a prospectus. Investment objectives, risks, charges, expenses, and other important information about a fund are contained in the prospectus; read and consider it carefully before investing. Copies of the final prospectus can be obtained from Vanguard. Please note that a preliminary prospectus is subject to change.
All investments are subject to risk, including the possible loss of the money you invest. Investments in stocks issued by non-U.S. companies are subject to risks including country/regional risk and currency risk. Diversification does not ensure a profit or protect against a loss.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This communication shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
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