Just about a month after slashing dozens of fund fees, Vanguard has dropped the fees on 15 more of its mutual funds and exchange-traded funds — and raised the expense ratio on one, the Vanguard Precious Metals Fund Investor Shares (MUTF:VGPMX), from 0.27% to 0.29%.
The most significant cuts came to two yield-focused funds: the Vanguard Dividend Appreciation Index Fund Investor Shares (MUTF:VDAIX) and Vanguard Dividend Appreciation ETF (NYSE:VIG), both of which dropped 5 basis points to 0.25% and 0.13%, respectively.
| Fund | Ticker | Old expenses |
New expenses |
Effective Date |
| Vanguard Dividend Appreciation Index Fund (Investor) |
VDAIX | 0.30% | 0.25% | 5/29/12 |
| Vanguard Dividend Appreciation ETF | VIG | 0.18% | 0.13% | 5/29/12 |
| Vanguard Dividend Growth Fund (Investor) |
VDIGX | 0.34% | 0.31% | 5/29/12 |
| Vanguard REIT Index Fund (Investor) | VGSIX | 0.26% | 0.24% | 5/29/12 |
| Vanguard REIT Index Fund (Admiral) | VGSLX | 0.12% | 0.1% | 5/29/12 |
| Vanguard REIT Index ETF | VNQ | 0.12% | 0.1% | 5/29/12 |
| Vanguard GNMA Fund (Investor) | VFIIX | 0.23% | 0.21% | 5/30/12 |
| Vanguard High-Yield Corporate Fund (Investor) |
VWEHX | 0.25% | 0.23% | 5/30/12 |
| Vanguard Intermediate-Term Investment-Grade Fund (Investor) |
VFICX | 0.22% | 0.2% | 5/30/12 |
| Vanguard Intermediate-Term Treasury Fund (Investor) |
VFITX | 0.22% | 0.2% | 5/30/12 |
| Vanguard Long-Term Investment-Grade Fund (Investor) | VWESX | 0.24% | 0.22% | 5/30/12 |
| Vanguard Long-Term Treasury Fund (Investor) |
VUSTX | 0.22% | 0.2% | 5/30/12 |
| Vanguard Short-Term Federal Fund (Investor) |
VSGBX | 0.22% | 0.2% | 5/30/12 |
| Vanguard Short-Term Investment-Grade Fund (Investor) | VFSTX | 0.22% | 0.2% | 5/30/12 |
| Vanguard Short-Term Treasury Fund (Investor) | VFISX | 0.22% | 0.2% | 5/30/12 |
As always, never ignore the importance of the expense ratio. While they’re often just fractions of a percent, they represent real money out of your pocket. Performance is important — but gaudy fees can take a significant bite out of returns.
The fee changes, as well as other funds with updated prospectuses, can be viewed here.
Kyle Woodley is the assistant editor of InvestorPlace.com. As of this writing, he did not hold a position in any of the aforementioned securities. Follow him on Twitter at @KyleWoodley. Check out recaps from previous trading days here.
