|
|
Post by yogibearbull on Jul 29, 2021 23:11:23 GMT
finance.yahoo.com/news/vanguard-announces-plans-launch-two-131500155.htmlFINALLY! ".....Vanguard today filed initial registration statements with the U.S. Securities and Exchange Commission to introduce two new active fixed income funds: Vanguard Core-Plus Bond Fund and Vanguard Multi-Sector Income Bond Fund.....Core-Plus Bond will consist of a broadly diversified portfolio invested primarily in Treasury, mortgage-backed, and other U.S. investment-grade securities. In addition, the fund may invest beyond the U.S. investment-grade bond market in areas such as high-yield corporate securities and emerging markets debt of all credit quality ratings.....The fund will have an estimated expense ratio of 0.30% for Investor Shares and 0.20% for Admiral Shares.....Multi-Sector Income Bond will offer exposure primarily to U.S. investment-grade securities, U.S. high-yield corporate securities, and emerging markets debt of all credit quality ratings. Multi-Sector Income Bond will have an estimated expense ratio of 0.40% for Investor Shares and 0.30% for Admiral Shares....." SEC/Edgar filing for both, www.sec.gov/Archives/edgar/data/836906/000168386321004333/f9375d1.htm
|
|
|
|
Post by anitya on Jul 29, 2021 23:44:47 GMT
Thanks, Yogi. Ditto.
Good news, especially in the multi space where the market ER is sky high. If VUSFX is any indication, I expect them to do well in the multi space. It likely will not be available until 2022 though. Core plus becomes available in Q4.
I hope there will be an update in this forum when the funds launch.
|
|
|
|
Post by chang on Jul 30, 2021 1:39:38 GMT
The proof will be in the pudding. I am more skeptical of MS than most people. MS is not an asset class, it's just a strategy. Many MS funds are not much different than a "fund of funds". RPSIX is an example of a true fund-of-funds, but many MS are similar when you look under the hood. Many MS fund managers just take ideas from the various funds (HY, mortgages, EM, etc.) offered under the same roof. This being the case, MS funds should "be in the right place at the right time", and MS as a category should sit at the top of the FI world almost all the time. But I observed several times, back when M* used to show Fund Category rankings over 1-3-5 year periods, that MS seemed more often than not to live in the bottom half. Why? I'm not against "best idea" funds ... I rather like them. But I am cautious and require proof of clear, sustainable outperformance, especially when fees are higher than average. I realize that "outperformance" can be difficult to demonstrate, because "best idea" funds by their very nature do not track any benchmark, and the categories in which they reside are extremely diverse and inhomogenous. Hence, views and opinions will differ. It will be interesting to see VG's take on MS. It will certainly be cheaper than most. What it delivers will have to be seen. |
|
|
|
Post by roi2020 on Jul 30, 2021 1:42:49 GMT
Well, it sure took Vanguard a long time to offer active core-plus and multisector funds! Since I'm not a fan of most passive bond funds, this is a welcome development. Three co-managers of the new core-plus fund currently manage the Vanguard Core Bond Fund (VCOBX).
They've done a decent job (vs. intermediate core bond funds) during their short tenure.
|
|
|
|
Post by roi2020 on Sept 15, 2021 1:03:11 GMT
Vanguard Core-Plus Bond Fund will officially launch on October 25. There is a subscription period which will start around October 12. Link |
|
|
|
Post by yogibearbull on Sept 15, 2021 2:12:12 GMT
I have never understood this Vanguard subscription stuff for its new mutual funds (OEFs).
Basically, investors can buy the OEF during the subscription period, but that money is kept in money-market until the launch date (so, the NAV will be flat during the subscription period), and then deployed gradually. This is not a CEF launch where early investors can experience a post-IPO bounce. I can see the benefit for Vanguard (of using other people's money (OPM) for free) but don't see what the investors gain from simply handing over the money to Vanguard to be kept in money-market. Why not just buy on or after the launch date?
Other firms handle new launches differently. They either do a launch without any seed money (and the OEF starts with a very tiny base) or initially put in a decent chunk of their own money (several millions) as seed funds that they withdraw some years later or have an institutional supporter that is willing to put in the seed money.
|
|
|
|
Post by mrbilbobaggins on Oct 12, 2021 13:32:15 GMT
|
|
|
|
Post by yogibearbull on Oct 12, 2021 17:56:05 GMT
Update in the MFO thread refers to SEC/Edgar filing only on the start of the subscription period Oct 12-22. I am not sure of the benefits of buying during the subscription period and letting Vanguard just sit on cash to be deployed on/after 10/22/21.
|
|
|
|
Post by Capital on Oct 12, 2021 17:59:12 GMT
Update in the MFO thread refers to SEC/Edgar filing only on the start of the subscription period Oct 12-22. I am not sure of the benefits of buying during the subscription period and letting Vanguard just sit on cash to be deployed on/after 10/22/21. I agree. Wait to buy until the Fund is in full operation. I am interested; however, I personally would like an ETF option. |
|
|
|
Post by roi2020 on Oct 13, 2021 22:09:24 GMT
I received an email invitation today from Vanguard to "Enhance your portfolio with our new active fund."The email contained this link with more details about the Vanguard Core-Plus Bond Fund. I am considering the fund but will wait until the subscription period ends before making a purchase. |
|
