Semiannual
Report | April
30, 2023
Vanguard
High Dividend Yield Index Fund
| • | Based on actual fund return. This section helps you to estimate the actual expenses that you paid over the period. The ”Ending Account Value“ shown is derived from the fund’s actual return, and the third column shows the dollar amount that would have been paid by an investor who started with $1,000 in the fund. You may use the information here, together with the amount you invested, to estimate the expenses that you paid over the period. |
| • | Based on hypothetical 5% yearly return. This section is intended to help you compare your fund‘s costs with those of other mutual funds. It assumes that the fund had a yearly return of 5% before expenses, but that the expense ratio is unchanged. In this case—because the return used is not the fund’s actual return—the results do not apply to your investment. The example is useful in making comparisons because the Securities and Exchange Commission requires all mutual funds to calculate expenses based on a 5% return. You can assess your fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds. |
| Six Months Ended April 30, 2023 | |||
| Beginning Account Value 10/31/2022 |
Ending Account Value 4/30/2023 |
Expenses Paid During Period | |
| Based on Actual Fund Return | |||
| High Dividend Yield Index Fund | |||
| ETF Shares | $1,000.00 | $1,020.30 | $0.30 |
| Admiral™ Shares | 1,000.00 | 1,020.30 | 0.40 |
| Based on Hypothetical 5% Yearly Return | |||
| High Dividend Yield Index Fund | |||
| ETF Shares | $1,000.00 | $1,024.50 | $0.30 |
| Admiral Shares | 1,000.00 | 1,024.40 | 0.40 |
| Basic Materials | 2.4% |
| Consumer Discretionary | 9.3 |
| Consumer Staples | 13.8 |
| Energy | 10.9 |
| Financials | 19.1 |
| Health Care | 13.2 |
| Industrials | 11.7 |
| Real Estate | 0.0 |
| Technology | 6.7 |
| Telecommunications | 4.9 |
| Utilities | 8.0 |
| Futures Contracts | ||||
| ($000) | ||||
| Expiration | Number
of Long (Short) Contracts |
Notional Amount |
Value
and Unrealized Appreciation (Depreciation) | |
| Long Futures Contracts | ||||
| E-mini S&P 500 Index | June 2023 | 437 | 91,519 | 4,870 |
| Over-the-Counter Total Return Swaps | ||||||
| Reference Entity | Termination Date |
Counterparty | Notional Amount ($000) |
Floating Interest Rate Received (Paid)1 (%) |
Value
and Unrealized Appreciation ($000) |
Value
and Unrealized (Depreciation) ($000) |
| Clorox Co. | 8/31/23 | BANA | 16,299 | (4.827) | 827 | — |
| Paramount Global Class B | 8/31/23 | BANA | 13,297 | (4.827) | 706 | — |
| 1,533 | — | |||||
| 1 | Based on USD Overnight Bank Funding Rate as of the most recent reset date. Floating interest payment received/paid monthly. |
| BANA—Bank of America, N.A. |
| ($000s, except shares, footnotes, and per-share amounts) | Amount |
| Assets | |
| Investments in Securities, at Value1 | |
| Unaffiliated Issuers (Cost $53,100,331) | 61,925,671 |
| Affiliated Issuers (Cost $96,534) | 96,540 |
| Total Investments in Securities | 62,022,211 |
| Investment in Vanguard | 2,171 |
| Cash | 16,207 |
| Cash Collateral Pledged—Futures Contracts | 4,900 |
| Receivables for Accrued Income | 96,036 |
| Receivables for Capital Shares Issued | 4,616 |
| Variation Margin Receivable—Futures Contracts | 759 |
| Unrealized Appreciation—Over-the-Counter Swap Contracts | 1,533 |
| Total Assets | 62,148,433 |
| Liabilities | |
| Payables for Investment Securities Purchased | 25,640 |
| Collateral for Securities on Loan | 69,818 |
| Payables for Capital Shares Redeemed | 10,484 |
| Payables to Vanguard | 1,627 |
| Total Liabilities | 107,569 |
| Net Assets | 62,040,864 |
| 1 Includes $67,132,000 of securities on loan. | |
| Statement of Assets and Liabilities (continued)
| |
|
At April 30, 2023, net assets consisted of: |
|
| ($000s, except shares, footnotes, and per-share amounts) | Amount |
| Paid-in Capital | 54,251,546 |
| Total Distributable Earnings (Loss) | 7,789,318 |
| Net Assets | 62,040,864 |
| ETF Shares—Net Assets | |
| Applicable
to 465,925,492 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
49,782,790 |
| Net Asset Value Per Share—ETF Shares | $106.85 |
| Admiral Shares—Net Assets | |
| Applicable
to 380,463,890 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
12,258,074 |
| Net Asset Value Per Share—Admiral Shares | $32.22 |
| Six
Months Ended April 30, 2023 | |
| ($000) | |
| Investment Income | |
| Income | |
| Dividends1 | 1,014,828 |
| Interest2 | 501 |
| Securities Lending—Net | 1,379 |
| Total Income | 1,016,708 |
| Expenses | |
| The Vanguard Group—Note B | |
| Investment Advisory Services | 729 |
| Management and Administrative—ETF Shares | 12,089 |
| Management and Administrative—Admiral Shares | 4,317 |
| Marketing and Distribution—ETF Shares | 1,131 |
| Marketing and Distribution—Admiral Shares | 277 |
| Custodian Fees | 471 |
| Shareholders’ Reports—ETF Shares | 638 |
| Shareholders’ Reports—Admiral Shares | 114 |
| Trustees’ Fees and Expenses | 13 |
| Other Expenses | 7 |
| Total Expenses | 19,786 |
| Expenses Paid Indirectly | (2) |
| Net Expenses | 19,784 |
| Net Investment Income | 996,924 |
| Realized Net Gain (Loss) | |
| Investment Securities Sold2,3 | 1,717,392 |
| Futures Contracts | 760 |
| Swap Contracts | 5,002 |
| Realized Net Gain (Loss) | 1,723,154 |
| Change in Unrealized Appreciation (Depreciation) | |
| Investment Securities2 | (1,495,473) |
| Futures Contracts | 3,163 |
| Swap Contracts | (62) |
| Change in Unrealized Appreciation (Depreciation) | (1,492,372) |
| Net Increase (Decrease) in Net Assets Resulting from Operations | 1,227,706 |
| 1 | Dividends are net of foreign withholding taxes of $871,000. |
| 2 | Interest income, realized net gain (loss), and change in unrealized appreciation (depreciation) from an affiliated company of the fund were $403,000, $3,000, and ($1,000), respectively. Purchases and sales are for temporary cash investment purposes. |
| 3 | Includes $2,124,750,000 of net gain (loss) resulting from in-kind redemptions. |
| Six
Months Ended April 30, 2023 |
Year
Ended October 31, 2022 | ||
| ($000) | ($000) | ||
| Increase (Decrease) in Net Assets | |||
| Operations | |||
| Net Investment Income | 996,924 | 1,684,583 | |
| Realized Net Gain (Loss) | 1,723,154 | 639,561 | |
| Change in Unrealized Appreciation (Depreciation) | (1,492,372) | (1,659,684) | |
| Net Increase (Decrease) in Net Assets Resulting from Operations | 1,227,706 | 664,460 | |
| Distributions | |||
| ETF Shares | (779,132) | (1,318,564) | |
| Admiral Shares | (193,285) | (352,553) | |
| Total Distributions | (972,417) | (1,671,117) | |
| Capital Share Transactions | |||
| ETF Shares | 887,862 | 9,692,470 | |
| Admiral Shares | 9,799 | 1,017,487 | |
| Net Increase (Decrease) from Capital Share Transactions | 897,661 | 10,709,957 | |
| Total Increase (Decrease) | 1,152,950 | 9,703,300 | |
| Net Assets | |||
| Beginning of Period | 60,887,914 | 51,184,614 | |
| End of Period | 62,040,864 | 60,887,914 | |
| ETF Shares | ||||||
| For a Share Outstanding Throughout Each Period |
Six Months Ended April 30, 2023 |
Year Ended October 31, | ||||
| 2022 | 2021 | 2020 | 2019 | 2018 | ||
| Net Asset Value, Beginning of Period | $106.42 | $108.42 | $79.49 | $89.60 | $83.26 | $82.46 |
| Investment Operations | ||||||
| Net Investment Income1 | 1.730 | 3.232 | 3.010 | 2.950 | 2.891 | 2.623 |
| Net Realized and Unrealized Gain (Loss) on Investments | .392 | (2.016) | 28.887 | (10.184) | 6.251 | .731 |
| Total from Investment Operations | 2.122 | 1.216 | 31.897 | (7.234) | 9.142 | 3.354 |
| Distributions | ||||||
| Dividends from Net Investment Income | (1.692) | (3.216) | (2.967) | (2.876) | (2.802) | (2.554) |
| Distributions from Realized Capital Gains | — | — | — | — | — | — |
| Total Distributions | (1.692) | (3.216) | (2.967) | (2.876) | (2.802) | (2.554) |
| Net Asset Value, End of Period | $106.85 | $106.42 | $108.42 | $79.49 | $89.60 | $83.26 |