Vanguard to Lower Target Retirement Fund Costs

[roi2020]

"The firm will consolidate its lineup with the planned mergers of Vanguard Institutional Target Retirement Funds into Vanguard Target Retirement Funds (TRFs), which is expected to result in a lower expense ratio of 0.08% (8 basis points) for each TRF following completion of the mergers."

"In addition, Vanguard will launch a new retirement income solution, Vanguard Target Retirement Income and Growth Trust for each of its Target Retirement Trust programs. The new trust’s higher (50%) equity allocation in retirement is intended for participants whose wealth, risk tolerance, and/or additional sources of income allow for higher discretionary spending in retirement."

Link

[yogibearbull]

Hopefully, this will simplify some things. Now some funds only appear at Vanguard Institutional, not at the general/investor Vanguard site that shows only Investor and Admiral classes.

Those "Trusts" appear to be CITs. And Price did something similar a while ago with its TDFs - i.e. offer higher equity% income-TDFs.

[galeno]

We use VTWNX (Vanguard TRF 2020) as our benchmark. ER = 0.13%.