launched three new index funds: the Vanguard Mega Cap 300 Index Fund
, the Vanguard Mega Cap 300 Growth Index Fund
, and the Vanguard Mega Cap 300 Value Index Fund
. ETF Shares of the new funds have begun trading on NYSE Arca
"This is really recognition that Vanguard sees the ETF market as meeting investor demand and also that ETFs are in demand from brokerages and advisors," Dan Wiener
, editor of The Independent Adviser for Vanguard Investors
, told the MFWire
The ETF shares will have an expense ratio of 13 bps , below the 17 bps cost of the average large-cap ETF. Institutional Shares of the funds will carry an expense of 8 bps for investments of $5 million or more.
Wiener said in the future to expect to see a small-cap overseas ETF and a global bond index ETF from Vanguard to fill in the gaps in their product lines. The company already offers a global bond fund to it's overseas clients.
Vanguard currently has 37 exchange-traded funds.
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