Company Press Release

VANGUARD TO OFFER LOW-COST GLOBAL MINIMUM VOLATILITY FUND

VALLEY FORGE, PA, (September 27, 2013)—Vanguard today filed a registration statement with the U.S. Securities and Exchange Commission for Vanguard® Global Minimum Volatility Fund. 

 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. 

About Vanguard 

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.