Overview |
||
|---|---|---|
| Unit Price as of | $ | |
| Change | $ | % |
| Yield as of | % | |
| Expense Ratio as of | ||
| Inception Date | ||
Investment Objective
The Portfolio seeks to provide capital appreciation and low to moderate current income.
Investment Strategy
The Portfolio invests in two Vanguard stock index funds and two Vanguard bond index funds, resulting in an allocation of 52.50% of its assets to U.S. stocks, 35% of its assets to non-U.S. stocks, 8.75% of its assets to investment-grade U.S. bonds, and 3.75% of its assets to investment-grade non-U.S. bonds. The percentages of the Portfolio's assets allocated to each Underlying Fund are:
Vanguard Total Stock Market Index Fund 52.50%
Vanguard Total International Stock Index Fund 35%
Vanguard Total Bond Market II Index Fund 8.75%
Vanguard Total International Bond Index Fund 3.75%
Through its investment in Vanguard Total Stock Market Index Fund, the Portfolio indirectly invests in primarily large-capitalization U.S. stocks and, to a lesser extent, mid-, small-, and micro-capitalization U.S. stocks. The Fund's target index represents approximately 100% of the investable U.S. stock market.
Through its investment in Vanguard Total International Stock Index Fund, the Portfolio indirectly invests in international stocks. The Fund is designed to track the performance of the FTSE Global All Cap ex US Index, a float-adjusted market-capitalization-weighted index designed to measure equity market performance of companies located in developed and emerging markets, excluding the United States. The Index includes more than 5,800 stocks of companies located in over 45 countries.
Through its investment in Vanguard Total Bond Market II Index Fund, the Portfolio indirectly invests in a broadly diversified collection of securities that, in the aggregate, approximates the Bloomberg Barclays U.S. Aggregate Float Adjusted Index in terms of key risk factors and other characteristics. The Index represents a wide spectrum of public, investment-grade, taxable, fixed income securities in the United States—including government, corporate, and international dollar-denominated bonds, as well as mortgage-backed and asset-backed securities—all with maturities of more than 1 year. The Fund maintains a dollar-weighted average maturity consistent with that of the Index, which generally ranges between 5 and 10 years.
Through its investment in Vanguard Total International Bond Index Fund, the Portfolio indirectly invests in government, government agency, corporate, and securitized non-U.S. investment-grade fixed income investments, all issued in currencies other than the U.S. dollar and with maturities of more than one year. To minimize the currency risk associated with investments in bonds denominated in currencies other than the U.S. dollar, the Fund will attempt to hedge its currency exposures.
Investment Risks
Because it invests mainly in stock funds, the Portfolio primarily is subject to stock market risk. Through its bond fund holdings, the Portfolio has moderate levels of interest rate risk, income risk, call risk, prepayment risk, and extension risk. The Portfolio also has low to moderate levels of investment style risk, country/regional risk, currency risk, and emerging markets risk, and low levels of credit risk, index sampling risk, currency hedging risk, nondiversification risk, liquidity risk, and derivatives risk.
Average Annual Returns - Updated Monthly as of
| Name | 1 year | 3 year | 5 year | 10 year | Since Inception |
|---|---|---|---|---|---|
**Consists of the CRSP US Total Market Index (52.5%), the FTSE Global All Cap ex US Index (35%), the Bloomberg Barclays U.S. Aggregate Float Adjusted Index (8.75%), and the Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (USD Hedged) (3.75%).
Annual Investment Returns
| Year Ended | |
|---|---|
Index performance is provided as a benchmark but is not illustrative of any particular investment. An investment cannot be made in an index.
The performance data shown represents past performance. Past performance - especially short-term past performance - is not a guarantee of future results. Investment returns and principal value will fluctuate, so that investors' units, when sold, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data cited.
