has slammed the doors closed on two of its popular funds because of their growing size. The two funds are the $12 billion Vanguard Explorer and the $3.3 billion Vanguard Precious Metals and Mining Fund.
In both cases, the funds will remain open to retirement plan participants. However, in the case of Explorer, Vanguard is taking the extra step of limiting existing retail shareholders of the funds to $25,000. Typically, existing shareholders are not limited in purchasing new shares.
John J. Brennan
, Vanguard's chairman and CEO said that the move was made to preemptively "restrict cash flows and maintain fund assets at reasonable levels to protect shareholders."
All counted, Vanguard now carries six funds in its 130 fund lineup that are closed to new investors> Those funds include: Vanguard PRIMECAP Fund ($30 billion in assets), Vanguard Health Care Fund ($26 billion), Vanguard Capital Opportunity Fund ($8.9 billion), and Vanguard International Explorer Fund ($2.5 billion).
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