About Your Fund’s Expenses
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1 |
Financial Statements
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4 |
Trustees Approve Advisory Arrangement
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71 |
Liquidity Risk Management
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73 |
• | 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 June 30, 2022 | |||
Beginning Account Value 12/31/2021 |
Ending Account Value 6/30/2022 |
Expenses Paid During Period | |
Based on Actual Fund Return | |||
Developed Markets Index Fund | |||
Investor Shares | $1,000.00 | $807.10 | $0.72 |
FTSE Developed Markets ETF Shares | 1,000.00 | 807.40 | 0.22 |
Admiral™ Shares | 1,000.00 | 807.40 | 0.31 |
Institutional Shares | 1,000.00 | 807.70 | 0.22 |
Institutional Plus Shares | 1,000.00 | 807.50 | 0.18 |
Based on Hypothetical 5% Yearly Return | |||
Developed Markets Index Fund | |||
Investor Shares | $1,000.00 | $1,024.00 | $0.80 |
FTSE Developed Markets ETF Shares | 1,000.00 | 1,024.55 | 0.25 |
Admiral Shares | 1,000.00 | 1,024.45 | 0.35 |
Institutional Shares | 1,000.00 | 1,024.55 | 0.25 |
Institutional Plus Shares | 1,000.00 | 1,024.60 | 0.20 |
Japan | 20.5% |
United Kingdom | 13.7 |
Canada | 10.5 |
France | 8.2 |
Switzerland | 8.0 |
Australia | 7.1 |
Germany | 6.3 |
South Korea | 4.6 |
Netherlands | 3.2 |
Hong Kong | 2.9 |
Sweden | 2.9 |
Denmark | 2.1 |
Spain | 2.1 |
Italy | 2.0 |
Singapore | 1.2 |
Finland | 1.1 |
Other | 3.6 |
Futures Contracts | ||||
($000) | ||||
Expiration | Number
of Long (Short) Contracts |
Notional Amount |
Value
and Unrealized Appreciation (Depreciation) | |
Long Futures Contracts | ||||
Euro Stoxx 50 Index | September 2022 | 14,944 | 538,880 | (6,942) |
FTSE 100 Index | September 2022 | 3,567 | 309,202 | (763) |
S&P TSX 60 Index | September 2022 | 1,221 | 216,748 | (13,910) |
SPI 200 Index | September 2022 | 2,011 | 224,212 | (3,357) |
Topix Index | September 2022 | 2,961 | 408,207 | (15,747) |
(40,719) |
Forward Currency Contracts | |||||||
Contract Settlement Date |
Contract Amount (000) | Unrealized Appreciation ($000) |
Unrealized Depreciation ($000) | ||||
Counterparty | Receive | Deliver | |||||
Toronto-Dominion Bank | 9/21/22 | AUD | 366,396 | USD | 265,703 | — | (12,623) |
HSBC Bank plc | 9/21/22 | AUD | 148,441 | USD | 102,639 | — | (106) |
JPMorgan Chase Bank, N.A. | 9/21/22 | AUD | 9,696 | USD | 6,688 | 9 | — |
BNP Paribas | 9/21/22 | CAD | 128,018 | USD | 101,533 | — | (2,064) |
UBS AG | 9/21/22 | CAD | 122,998 | USD | 97,567 | — | (1,999) |
HSBC Bank plc | 9/21/22 | CAD | 72,830 | USD | 57,918 | — | (1,330) |
Morgan Stanley Capital Services Inc. | 9/21/22 | EUR | 157,642 | USD | 170,105 | — | (3,919) |
Toronto-Dominion Bank | 9/21/22 | EUR | 157,642 | USD | 169,790 | — | (3,604) |
State Street Bank & Trust Co. | 9/21/22 | EUR | 155,289 | USD | 167,743 | — | (4,038) |
Toronto-Dominion Bank | 9/21/22 | EUR | 77,578 | USD | 81,766 | 17 | — |
JPMorgan Chase Bank, N.A. | 9/21/22 | EUR | 40,200 | USD | 43,258 | — | (879) |
State Street Bank & Trust Co. | 9/21/22 | GBP | 123,742 | USD | 155,466 | — | (4,592) |
BNP Paribas | 9/21/22 | GBP | 106,210 | USD | 133,774 | — | (4,276) |
Standard Chartered Bank | 9/21/22 | GBP | 21,437 | USD | 27,009 | — | (871) |
State Street Bank & Trust Co. | 9/21/22 | JPY | 16,000,000 | USD | 118,078 | 544 | — |
BNP Paribas | 9/21/22 | JPY | 13,208,451 | USD | 102,240 | — | (4,314) |
HSBC Bank plc | 9/21/22 | JPY | 9,325,819 | USD | 72,247 | — | (3,106) |
State Street Bank & Trust Co. | 9/21/22 | JPY | 5,754,539 | USD | 42,875 | — | (212) |
JPMorgan Chase Bank, N.A. | 9/21/22 | JPY | 4,362,886 | USD | 33,098 | — | (752) |
JPMorgan Chase Bank, N.A. | 9/21/22 | JPY | 1,381,313 | USD | 10,194 | 47 | — |
UBS AG | 9/21/22 | KRW | 7,509,098 | USD | 5,783 | 13 | — |
BNP Paribas | 9/21/22 | USD | 28,078 | AUD | 40,273 | 260 | — |
Bank of America, N.A. | 9/21/22 | USD | 13,838 | AUD | 19,836 | 137 | — |
Bank of New York | 9/21/22 | USD | 10,484 | AUD | 15,027 | 104 | — |
HSBC Bank plc | 9/21/22 | USD | 106,996 | CHF | 103,806 | — | (2,395) |
UBS AG | 9/21/22 | USD | 102,831 | CHF | 99,736 | — | (2,270) |
Bank of America, N.A. | 9/21/22 | USD | 11,796 | DKK | 81,202 | 285 | — |
BNP Paribas | 9/21/22 | USD | 24,889 | GBP | 20,259 | 189 | — |
HSBC Bank plc | 9/21/22 | USD | 12,267 | GBP | 9,978 | 101 | — |
Bank of New York | 9/21/22 | USD | 9,293 | GBP | 7,559 | 76 | — |
Toronto-Dominion Bank | 9/21/22 | USD | 3,648 | HKD | 28,545 | 2 | — |
BNP Paribas | 9/21/22 | USD | 34,166 | KRW | 42,550,893 | 1,326 | — |
Forward Currency Contracts (continued) | |||||||
Contract Settlement Date |
Contract Amount (000) | Unrealized Appreciation ($000) |
Unrealized Depreciation ($000) | ||||
Counterparty | Receive | Deliver | |||||
Bank of America, N.A. | 9/21/22 | USD | 1,063 | SEK | 10,330 | 50 | — |
JPMorgan Chase Bank, N.A. | 9/21/22 | USD | 25,884 | SGD | 35,764 | 127 | — |
3,287 | (53,350) |
AUD—Australian dollar. |
CAD—Canadian dollar. |
CHF—Swiss franc. |
DKK—Danish krone. |
EUR—euro. |
GBP—British pound. |
HKD—Hong Kong dollar. |
JPY—Japanese yen. |
KRW—Korean won. |
SEK—Swedish krona. |
SGD—Singapore dollar. |
USD—U.S. dollar. |
($000s, except shares and per-share amounts) | Amount |
Assets | |
Investments in Securities, at Value1 | |
Unaffiliated Issuers (Cost $133,248,955) | 136,699,501 |
Affiliated Issuers (Cost $3,842,853) | 3,843,106 |
Total Investments in Securities | 140,542,607 |
Investment in Vanguard | 5,525 |
Cash Collateral Pledged—Futures Contracts | 132,692 |
Cash Collateral Pledged—Forward Currency Contracts | 54,480 |
Foreign Currency, at Value (Cost $76,889) | 76,955 |
Receivables for Investment Securities Sold | 27,835 |
Receivables for Accrued Income | 516,957 |
Receivables for Capital Shares Issued | 58,376 |
Unrealized Appreciation—Forward Currency Contracts | 3,287 |
Total Assets | 141,418,714 |
Liabilities | |
Due to Custodian | 45,355 |
Payables for Investment Securities Purchased | 12,064 |
Collateral for Securities on Loan | 2,880,300 |
Payables for Capital Shares Redeemed | 82,115 |
Payables to Vanguard | 2,975 |
Variation Margin Payable—Futures Contracts | 26,994 |
Unrealized Depreciation—Forward Currency Contracts | 53,350 |
Total Liabilities | 3,103,153 |
Net Assets | 138,315,561 |
1 Includes $2,625,375 of securities on loan. |
Statement of Assets and Liabilities (continued)
| |
At June 30, 2022, net assets consisted of: | |
($000s, except shares and per-share amounts) | Amount |
Paid-in Capital | 139,933,409 |
Total Distributable Earnings (Loss) | (1,617,848) |
Net Assets | 138,315,561 |
Investor Shares—Net Assets | |
Applicable
to 2,099,421 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
21,268 |
Net Asset Value Per Share—Investor Shares | $10.13 |
ETF Shares—Net Assets | |
Applicable
to 2,245,598,291 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
91,367,867 |
Net Asset Value Per Share—ETF Shares | $40.69 |
Admiral Shares—Net Assets | |
Applicable
to 1,580,827,584 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
20,678,630 |
Net Asset Value Per Share—Admiral Shares | $13.08 |
Institutional Shares—Net Assets | |
Applicable
to 977,510,554 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
12,804,080 |
Net Asset Value Per Share—Institutional Shares | $13.10 |
Institutional Plus Shares—Net Assets | |
Applicable
to 656,644,708 outstanding $.001 par value shares of beneficial interest (unlimited authorization) |
13,443,716 |
Net Asset Value Per Share—Institutional Plus Shares | $20.47 |
Six
Months Ended June 30, 2022 | |
($000) | |
Investment Income | |
Income | |
Dividends1 | 3,061,190 |
Interest2 | 2,458 |
Securities Lending—Net | 23,834 |
Total Income | 3,087,482 |
Expenses | |
The Vanguard Group—Note B | |
Investment Advisory Services | 1,284 |
Management and Administrative—Investor Shares | 17 |
Management and Administrative—ETF Shares | 16,613 |
Management and Administrative—Admiral Shares | 5,642 |
Management and Administrative—Institutional Shares | 2,245 |
Management and Administrative—Institutional Plus Shares | 1,773 |
Marketing and Distribution—Investor Shares | 1 |
Marketing and Distribution—ETF Shares | 1,148 |
Marketing and Distribution—Admiral Shares | 561 |
Marketing and Distribution—Institutional Shares | 259 |
Marketing and Distribution—Institutional Plus Shares | 275 |
Custodian Fees | 2,328 |
Shareholders’ Reports—Investor Shares | — |
Shareholders’ Reports—ETF Shares | 1,029 |
Shareholders’ Reports—Admiral Shares | 125 |
Shareholders’ Reports—Institutional Shares | 50 |
Shareholders’ Reports—Institutional Plus Shares | 42 |
Trustees’ Fees and Expenses | 40 |
Professional Services | 6,877 |
Other Expenses | 18 |
Total Expenses | 40,327 |
Expenses Paid Indirectly | (1) |
Net Expenses | 40,326 |
Net Investment Income | 3,047,156 |
Realized Net Gain (Loss) | |
Investment Securities Sold2,3,4 | (686,455) |
Futures Contracts | (162,226) |
Forward Currency Contracts | (71,650) |
Foreign Currencies | (58,939) |
Realized Net Gain (Loss) | (979,270) |
Statement of Operations (continued) | |
Six
Months Ended June 30, 2022 | |
($000) | |
Change in Unrealized Appreciation (Depreciation) | |
Investment Securities2 | (34,933,134) |
Futures Contracts | (65,189) |
Forward Currency Contracts | (54,524) |
Foreign Currencies | (14,895) |
Change in Unrealized Appreciation (Depreciation) | (35,067,742) |
Net Increase (Decrease) in Net Assets Resulting from Operations | (32,999,856) |
1 | Dividends are net of foreign withholding taxes of $193,596,000. |
2 | Interest income, realized net gain (loss), and change in unrealized appreciation (depreciation) from an affiliated company of the fund were $2,293,000, ($333,000), and ($102,000), respectively. Purchases and sales are for temporary cash investment purposes. |
3 | Realized gain (loss) is net of foreign capital gain taxes of $28,000. |
4 | Includes $470,772,000 of net gain (loss) resulting from in-kind redemptions. |
Six
Months Ended June 30, 2022 |
Year
Ended December 31, 2021 | ||
($000) | ($000) | ||
Increase (Decrease) in Net Assets | |||
Operations | |||
Net Investment Income | 3,047,156 | 4,194,482 | |
Realized Net Gain (Loss) | (979,270) | 726,433 | |
Change in Unrealized Appreciation (Depreciation) | (35,067,742) | 11,293,186 | |
Net Increase (Decrease) in Net Assets Resulting from Operations | (32,999,856) | 16,214,101 | |
Distributions | |||
Investor Shares | (302) | (1,404) | |
ETF Shares | (1,371,360) | (3,293,465) | |
Admiral Shares | (305,718) | (750,682) | |
Institutional Shares | (190,411) | (476,451) | |
Institutional Plus Shares | (202,092) | (528,259) | |
Total Distributions | (2,069,883) | (5,050,261) | |
Capital Share Transactions | |||
Investor Shares | (9,913) | (16,666) | |
ETF Shares | 4,517,417 | 15,456,013 | |
Admiral Shares | 1,090,393 | 1,864,044 | |
Institutional Shares | 751,836 | 47,662 | |
Institutional Plus Shares | 28,983 | 106,182 | |
Net Increase (Decrease) from Capital Share Transactions | 6,378,716 | 17,457,235 | |
Total Increase (Decrease) | (28,691,023) | 28,621,075 | |
Net Assets | |||
Beginning of Period | 167,006,584 | 138,385,509 | |
End of Period | 138,315,561 | 167,006,584 |
Investor Shares | ||||||
For a Share Outstanding Throughout Each Period |
Six Months Ended June 30, 2022 |
Year Ended December 31, | ||||
2021 | 2020 | 2019 | 2018 | 2017 | ||
Net Asset Value, Beginning of Period | $12.73 | $11.79 | $10.95 | $9.26 | $11.16 | $9.09 |
Investment Operations | ||||||
Net Investment Income1 | .211 | .331 | .235 | .361 | .312 | .284 |
Net Realized and Unrealized Gain (Loss) on Investments | (2.666) | .996 | .834 | 1.651 | (1.914) | 2.086 |
Total from Investment Operations | (2.455) | 1.327 | 1.069 | 2.012 | (1.602) | 2.370 |
Distributions | ||||||
Dividends from Net Investment Income | (.145) | (.387) | (.229) | (.322) | (.298) | (.300) |
Distributions from Realized Capital Gains | — | — | — | — | — | — |
Total Distributions | (.145) | (.387) | (.229) | (.322) | (.298) | (.300) |
Net Asset Value, End of Period | $10.13 | $12.73 | $11.79 | $10.95 | $9.26 | $11.16 |
Total Return2 | -19.29% | 11.35% | 10.11% | 21.96% | -14.56% | 26.31% |
Ratios/Supplemental Data | ||||||
Net Assets, End of Period (Millions) | $21 | $37 | $49 | $59 | $731 | $950 |
Ratio of Total Expenses to Average Net Assets | 0.16%3 | 0.16% | 0.16% | 0.16% | 0.16% | 0.17% |
Ratio of Net Investment Income to Average Net Assets | 3.56% | 2.61% | 2.34% | 3.56% | 2.89% | 2.71% |
Portfolio Turnover Rate4 | 2% | 3% | 3% | 2% | 3% | 3% |
The expense ratio and net investment income ratio for the current period have been annualized. |
1 | Calculated based on average shares outstanding. |
2 | Total returns do not include account service fees that may have applied in the periods shown. Fund prospectuses provide information about any applicable account service fees. |
3 | The ratio of expenses to average net assets for the period net of reduction from custody fee offset arrangements was 0.16%. |
4 | Excludes the value of portfolio securities received or delivered as a result of in-kind purchases or redemptions of the fund’s capital shares, including ETF Creation Units. |
FTSE Developed Markets ETF Shares | ||||||
For a Share Outstanding Throughout Each Period |
Six Months Ended June 30, 2022 |
Year Ended December 31, | ||||
2021 | 2020 | 2019 | 2018 | 2017 | ||
Net Asset Value, Beginning of Period | $51.14 | $47.36 | $43.98 | $37.20 | $44.83 | $36.51 |
Investment Operations | ||||||
Net Investment Income1 | .909 | 1.370 | .982 | 1.289 | 1.291 | 1.166 |
Net Realized and Unrealized Gain (Loss) on Investments | (10.746) | 4.024 | 3.363 | 6.831 | (7.677) | 8.397 |
Total from Investment Operations | (9.837) | 5.394 | 4.345 | 8.120 | (6.386) | 9.563 |
Distributions | ||||||
Dividends from Net Investment Income | (.613) | (1.614) | (.965) | (1.340) | (1.244) | (1.243) |
Distributions from Realized Capital Gains | — | — | — | — | — | — |
Total Distributions | (.613) | (1.614) | (.965) | (1.340) | (1.244) | (1.243) |
Net Asset Value, End of Period | $40.69 | $51.14 | $47.36 | $43.98 | $37.20 | $44.83 |
Total Return | -19.26% | 11.49% | 10.29% | 22.08% | -14.47% | 26.44% |
Ratios/Supplemental Data | ||||||
Net Assets, End of Period (Millions) | $91,368 | $110,103 | $87,578 | $78,752 | $65,139 | $68,406 |
Ratio of Total Expenses to Average Net Assets | 0.05%2 | 0.05% | 0.05% | 0.05% | 0.05% | 0.07% |
Ratio of Net Investment Income to Average Net Assets | 3.84% | 2.69% | 2.43% | 3.13% | 3.00% | 2.81% |
Portfolio Turnover Rate3 | 2% | 3% | 3% | 2% | 3% | 3% |
The expense ratio and net investment income ratio for the current period have been annualized. |
1 | Calculated based on average shares outstanding. |
2 | The ratio of expenses to average net assets for the period net of reduction from custody fee offset arrangements was 0.05%. |
3 | Excludes the value of portfolio securities received or delivered as a result of in-kind purchases or redemptions of the fund’s capital shares, including ETF Creation Units. |
Admiral Shares | ||||||
For a Share Outstanding Throughout Each Period |
Six Months Ended June 30, 2022 |
Year Ended December 31, | ||||
2021 | 2020 | 2019 | 2018 | 2017 | ||
Net Asset Value, Beginning of Period | $16.44 | $15.23 | $14.14 | $11.96 | $14.41 | $11.74 |
Investment Operations | ||||||
Net Investment Income1 | .291 | .438 | .313 | .410 | .412 | .375 |
Net Realized and Unrealized Gain (Loss) on Investments | (3.455) | 1.287 | 1.085 | 2.198 | (2.464) | 2.695 |
Total from Investment Operations | (3.164) | 1.725 | 1.398 | 2.608 | (2.052) | 3.070 |
Distributions | ||||||
Dividends from Net Investment Income | (.196) | (.515) | (.308) | (.428) | (.398) | (.400) |
Distributions from Realized Capital Gains | — | — | — | — | — | — |
Total Distributions | (.196) | (.515) | (.308) | (.428) | (.398) | (.400) |
Net Asset Value, End of Period | $13.08 | $16.44 | $15.23 | $14.14 | $11.96 | $14.41 |
Total Return2 | -19.26% | 11.43% | 10.26% | 22.05% | -14.46% | 26.40% |
Ratios/Supplemental Data | ||||||
Net Assets, End of Period (Millions) | $20,679 | $24,782 | $21,207 | $20,143 | $15,209 | $15,180 |
Ratio of Total Expenses to Average Net Assets | 0.07%3 | 0.07% | 0.07% | 0.07% | 0.07% | 0.07% |
Ratio of Net Investment Income to Average Net Assets | 3.82% | 2.68% | 2.41% | 3.10% | 2.98% | 2.81% |
Portfolio Turnover Rate4 | 2% | 3% | 3% | 2% | 3% | 3% |
The expense ratio and net investment income ratio for the current period have been annualized. |
1 | Calculated based on average shares outstanding. |
2 | Total returns do not include account service fees that may have applied in the periods shown. Fund prospectuses provide information about any applicable account service fees. |
3 | The ratio of expenses to average net assets for the period net of reduction from custody fee offset arrangements was 0.07%. |
4 | Excludes the value of portfolio securities received or delivered as a result of in-kind purchases or redemptions of the fund’s capital shares, including ETF Creation Units. |
Institutional Shares | ||||||
For a Share Outstanding Throughout Each Period |
Six Months Ended June 30, 2022 |
Year Ended December 31, | ||||
2021 | 2020 | 2019 | 2018 | 2017 | ||
Net Asset Value, Beginning of Period | $16.46 | $15.25 | $14.16 | $11.97 | $14.43 | $11.75 |
Investment Operations | ||||||
Net Investment Income1 | .293 | .442 | .315 | .417 | .416 | .379 |
Net Realized and Unrealized Gain (Loss) on Investments | (3.456) | 1.287 | 1.086 | 2.205 | (2.475) | 2.701 |
Total from Investment Operations | (3.163) | 1.729 | 1.401 | 2.622 | (2.059) | 3.080 |
Distributions | ||||||
Dividends from Net Investment Income | (.197) | (.519) | (.311) | (.432) | (.401) | (.400) |
Distributions from Realized Capital Gains | — | — | — | — | — | — |
Total Distributions | (.197) | (.519) | (.311) | (.432) | (.401) | (.400) |
Net Asset Value, End of Period | $13.10 | $16.46 | $15.25 | $14.16 | $11.97 | $14.43 |
Total Return | -19.23% | 11.44% | 10.27% | 22.14% | -14.49% | 26.46% |
Ratios/Supplemental Data | ||||||
Net Assets, End of Period (Millions) | $12,804 | $15,219 | $14,020 | $12,449 | $10,361 | $11,998 |
Ratio of Total Expenses to Average Net Assets | 0.05%2 | 0.05% | 0.05% | 0.05% | 0.05% | 0.06% |
Ratio of Net Investment Income to Average Net Assets | 3.84% | 2.70% | 2.42% | 3.15% | 3.00% | 2.82% |
Portfolio Turnover Rate3 | 2% | 3% | 3% | 2% | 3% | 3% |
The expense ratio and net investment income ratio for the current period have been annualized. |
1 | Calculated based on average shares outstanding. |
2 | The ratio of expenses to average net assets for the period net of reduction from custody fee offset arrangements was 0.05%. |
3 | Excludes the value of portfolio securities received or delivered as a result of in-kind purchases or redemptions of the fund’s capital shares, including ETF Creation Units. |
Institutional Plus Shares | ||||||
For a Share Outstanding Throughout Each Period |
Six Months Ended June 30, 2022 |
Year Ended December 31, | ||||
2021 | 2020 | 2019 | 2018 | 2017 | ||
Net Asset Value, Beginning of Period | $25.73 | $23.83 | $22.13 | $18.72 | $22.56 | $18.37 |
Investment Operations | ||||||
Net Investment Income1 | .457 | .693 | .495 | .647 | .643 | .597 |
Net Realized and Unrealized Gain (Loss) on Investments | (5.407) | 2.022 | 1.693 | 3.439 | (3.855) | 4.223 |
Total from Investment Operations | (4.950) | 2.715 | 2.188 | 4.086 | (3.212) | 4.820 |
Distributions | ||||||
Dividends from Net Investment Income | (.310) | (.815) | (.488) | (.676) | (.628) | (.630) |
Distributions from Realized Capital Gains | — | — | — | — | — | — |
Total Distributions | (.310) | (.815) | (.488) | (.676) | (.628) | (.630) |
Net Asset Value, End of Period | $20.47 | $25.73 | $23.83 | $22.13 | $18.72 | $22.56 |
Total Return | -19.25% | 11.49% | 10.27% | 22.07% | -14.45% | 26.49% |
Ratios/Supplemental Data | ||||||
Net Assets, End of Period (Millions) | $13,444 | $16,866 | $15,531 | $13,790 | $9,265 | $10,102 |
Ratio of Total Expenses to Average Net Assets | 0.04%2 | 0.04% | 0.04% | 0.04% | 0.04% | 0.05% |
Ratio of Net Investment Income to Average Net Assets | 3.84% | 2.71% | 2.43% | 3.12% | 3.01% | 2.83% |
Portfolio Turnover Rate3 | 2% | 3% | 3% | 2% | 3% | 3% |
The expense ratio and net investment income ratio for the current period have been annualized. |
1 | Calculated based on average shares outstanding. |
2 | The ratio of expenses to average net assets for the period net of reduction from custody fee offset arrangements was 0.04%. |
3 | Excludes the value of portfolio securities received or delivered as a result of in-kind purchases or redemptions of the fund’s capital shares, including ETF Creation Units. |
A. | The following significant accounting policies conform to generally accepted accounting principles for U.S. investment companies. The fund consistently follows such policies in preparing its financial statements. |
B. | In accordance with the terms of a Funds' Service Agreement (the “FSA”) between Vanguard and the fund, Vanguard furnishes to the fund investment advisory, corporate management, administrative, marketing, and distribution services at Vanguard’s cost of operations (as defined by the FSA). These costs of operations are allocated to the fund based on methods and guidelines approved by the board of trustees and are generally settled twice a month. |
C. | The fund’s custodian bank has agreed to reduce its fees when the fund maintains cash on deposit in the non-interest-bearing custody account. For the six months ended June 30, 2022, custodian fee offset arrangements reduced the fund’s expenses by $1,000 (an annual rate of less than 0.01% of average net assets). |
D. | Various inputs may be used to determine the value of the fund’s investments and derivatives. These inputs are summarized in three broad levels for financial statement purposes. The inputs or methodologies used to value securities are not necessarily an indication of the risk associated with investing in those securities. |
Level
1 ($000) |
Level
2 ($000) |
Level
3 ($000) |
Total ($000) | |
Investments | ||||
Assets | ||||
Common Stocks—North and South America | 14,281,996 | 65,579 | — | 14,347,575 |
Common Stocks—Other | 31,855 | 122,302,675 | 17,396 | 122,351,926 |
Temporary Cash Investments | 3,843,106 | — | — | 3,843,106 |
Total | 18,156,957 | 122,368,254 | 17,396 | 140,542,607 |
Derivative Financial Instruments | ||||
Assets | ||||
Forward Currency Contracts | — | 3,287 | — | 3,287 |
Liabilities | ||||
Futures Contracts1 | 40,719 | — | — | 40,719 |
Forward Currency Contracts | — | 53,350 | — | 53,350 |
Total | 40,719 | 53,350 | — | 94,069 |
1 | Includes cumulative appreciation (depreciation) on futures contracts and centrally cleared swaps, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statement of Assets and Liabilities. |
E. | At June 30, 2022, the fair values of derivatives were reflected in the Statement of Assets and Liabilities as follows: |
Statement of Assets and Liabilities | Equity Contracts ($000) |
Foreign Exchange Contracts ($000) |
Total ($000) |
Unrealized Appreciation—Forward Currency Contracts | — | 3,287 | 3,287 |
Total Assets | — | 3,287 | 3,287 |
Unrealized Depreciation—Futures Contracts1 | 40,719 | — | 40,719 |
Unrealized Depreciation—Forward Currency Contracts | — | 53,350 | 53,350 |
Total Liabilities | 40,719 | 53,350 | 94,069 |
1 | Includes cumulative appreciation (depreciation) on futures contracts and centrally cleared swaps, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statement of Assets and Liabilities. |
Realized Net Gain (Loss) on Derivatives | Equity Contracts ($000) |
Foreign Exchange Contracts ($000) |
Total ($000) |
Futures Contracts | (162,226) | — | (162,226) |
Forward Currency Contracts | — | (71,650) | (71,650) |
Realized Net Gain (Loss) on Derivatives | (162,226) | (71,650) | (233,876) |
Change in Unrealized Appreciation (Depreciation) on Derivatives | |||
Futures Contracts | (65,189) | — | (65,189) |
Forward Currency Contracts | — | (54,524) | (54,524) |
Change in Unrealized Appreciation (Depreciation) on Derivatives | (65,189) | (54,524) | (119,713) |
F. | As of June 30, 2022, gross unrealized appreciation and depreciation for investments and derivatives based on cost for U.S. federal income tax purposes were as follows: |
Amount ($000) | |
Tax Cost | 138,636,852 |
Gross Unrealized Appreciation | 22,544,343 |
Gross Unrealized Depreciation | (20,729,370) |
Net Unrealized Appreciation (Depreciation) | 1,814,973 |
G. | During the six months ended June 30, 2022, the fund purchased $10,639,617,000 of investment securities and sold $3,921,258,000 of investment securities, other than temporary cash investments. Purchases and sales include $4,150,182,000 and $868,542,000, respectively, in connection with in-kind purchases and redemptions of the fund's capital shares. |
H. | Capital share transactions for each class of shares were: |
Six Months Ended June 30, 2022 |
Year Ended December 31, 2021 | ||||
Amount ($000) |
Shares (000) |
Amount ($000) |
Shares (000) | ||
Investor Shares | |||||
Issued | 1,416 | 122 | 8,102 | 645 | |
Issued in Lieu of Cash Distributions | 302 | 29 | 1,404 | 112 | |
Redeemed | (11,631) | (933) | (26,172) | (2,048) | |
Net Increase (Decrease)—Investor Shares | (9,913) | (782) | (16,666) | (1,291) | |
ETF Shares | |||||
Issued | 4,517,417 | 92,593 | 15,456,013 | 303,914 | |
Issued in Lieu of Cash Distributions | — | — | — | — | |
Redeemed | — | — | — | — | |
Net Increase (Decrease)—ETF Shares | 4,517,417 | 92,593 | 15,456,013 | 303,914 | |
Admiral Shares | |||||
Issued | 3,453,974 | 231,459 | 5,398,666 | 330,877 | |
Issued in Lieu of Cash Distributions | 240,105 | 18,143 | 592,710 | 36,704 | |
Redeemed | (2,603,686) | (176,125) | (4,127,332) | (252,978) | |
Net Increase (Decrease)—Admiral Shares | 1,090,393 | 73,477 | 1,864,044 | 114,603 | |
Institutional Shares | |||||
Issued | 2,488,386 | 166,216 | 3,635,178 | 223,000 | |
Issued in Lieu of Cash Distributions | 173,557 | 13,094 | 436,044 | 26,962 | |
Redeemed | (1,910,107) | (126,193) | (4,023,560) | (245,046) | |
Net Increase (Decrease)—Institutional Shares | 751,836 | 53,117 | 47,662 | 4,916 | |
Institutional Plus Shares | |||||
Issued | 2,456,459 | 102,369 | 4,068,197 | 157,723 | |
Issued in Lieu of Cash Distributions | 187,622 | 9,039 | 498,151 | 19,715 | |
Redeemed | (2,615,098) | (110,190) | (4,460,166) | (173,701) | |
Net Increase (Decrease)—Institutional Plus Shares | 28,983 | 1,218 | 106,182 | 3,737 |
I. | Management has determined that no events or transactions occurred subsequent to June 30, 2022, that would require recognition or disclosure in these financial statements. |