16
•
Fund Family Shareholder Association
DAN’S DO-IT-NOW ACTION RECOMMENDATIONS
4
Vanguard keeps adding managers to funds and then celebrating their predictably index-like perfor-
mance. But I’d steer clear of the likes of
Explorer
and
Morgan Growth
. (See pages 1 and 14)
4
Vanguard’s foreign bond index funds may now have a year under their belts, but there’s still no
need to pile into either
Emerging Markets Government Bond
or
Total International Bond
.
(See page 12)
4
Reinvestment is what saves bond investors in a rising interest rate environment. And do you
really need
Inflation-Protected Securities
? (See page 4)
Never Use a
PIN
Again
AdviserOnline.com
is more streamlined
and easier to use than ever. But there’s one
thing that can make it even better: Setting up
your unique username and password. Instead
of looking for a new PIN on page 1 of the
newsletter each month, you can simply use
your own personalized login.
If you don’t have your own unique login, you
should set it up now, as
we’ll be discon-
tinuing the PIN on September 1
. Here
are a few tips to help you set up or modify a
unique login:
Create a username and password
at
.
You’ll need your account number, or if you
just joined, your order number. Both can be
found on correspondence you receive such as
the Hotline emails.
Modify your username and password
at
.
php. All you need is your current personal
login information.
Forgot your username or password?
No
problem. Reset it at
/
password/forgot.php. Again, you should have
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Set up or modify your login at AdviserOnline.
com today. If you have any questions or prob-
lems, call us at 800-211-7641 or email us at
.
Daniel P. Wiener
is America’s leading expert on
the Vanguard family of funds. He is founder of
the Fund Family Shareholder Association and
chairman and chief executive officer of Adviser
Investments, LLC, a Newton, Massachusetts,
investment advisory firm (800-492-6868). As
editor of
The Independent Adviser for Vanguard Investors
, he is
a five-time recipient of the Newsletter Publishers Foundation’s
Editorial Excellence Award. He also edits the annual
Independent Guide to the Vanguard Funds.
Mr. Wiener is often
quoted in the nation’s leading financial publications.
Jeffrey D. DeMaso,
Editor/Director of
Research, works directly with Dan Wiener
researching and writing the multiple-award
winning
Independent Adviser for Vanguard
Investors
newsletter. He also leads the analyst
team for Adviser Investments, LLC, helping to
oversee $2.7 billion in assets. Jeff graduated
magna cum laude
from Tufts University with a B.A. in economics in 2006, holds
the Chartered Financial Analyst designation and is a member
of the CFA Institute and the Boston Security Analysts Society.
Interestingly, Jack Bogle, who took
great umbrage at having his compensa-
tion calculated so many years ago by
yours truly, has had quite the change of
heart. In fact, he told Reuters in May that
leaders of mutual fund firms, including
Vanguard, should disclose their compen-
sation. I couldn’t agree more—but I’m
not going to hold my breath.
Finally, last year, I said I thought
2013’s
Partnership Plan
payout could
reflect another windfall, given the
strong asset growth at the firm. A 12%
increase is good, but if most employees’
payouts are capped, as I’ve been told
they are, then the real windfall lands on
the handful of managers at the very top
of the Vanguard pyramid.
For those who want to see more on
the subject of the
Partnership Plan
, I rec-
ommend the updated version of Lewis
Braham’s book,
The House that Bogle
Built
, which goes into some detail on
the Vanguard plan and some of the more
controversial aspects of how “profits” at
this “non-profit” are calculated.
n
Funds
500 Index
$0.762
Admiral T-M Balanced
$0.125
Balanced Index
$0.117
Convertible Securities
$0.073
Developed Markets Index
$0.125
Dividend Appreciation Index $0.156
Dividend Growth
$0.199
Emerging Markets Stock Index $0.252
Equity Income
$0.195
European Index
$0.516
Financials Index
$0.119
Global ex-U.S. R.E. Index
$0.122
Growth & Income
$0.317
Growth Index
$0.124
High Dividend Yield Index
$0.183
Inflation-Protected Securities $0.112
LargeCap Index
$0.148
Pacific Index
$0.085
REIT Index
$0.223
STAR
$0.187
STAR Cons. Gro.
$0.100
STAR Growth
$0.302
STAR Income
$0.076
STAR Mod. Growth
$0.245
Target Retirement Income $0.056
Total Int’l Stock Index
$0.191
Total Stock Market Index
$0.190
Total World Stock Index
$0.183
Utilities Index
$0.373
Value Index
$0.166
Wellesley Income
$0.181
Wellington
$0.234
Windsor
$0.145
Windsor II
$0.453
World ex-U.S. Index
$0.233
World ex-U.S. SmallCap Index $0.249
ETFs
Developed Markets
$0.513
Dividend Appreciation
$0.408
Emerging Markets Stock
$0.418
Europe
$0.984
Extended Duration Treasury
$0.878
Financials
$0.237
Global ex-U.S. Real Estate
$0.352
Growth
$0.275
High Dividend Yield
$0.476
LargeCap
$0.394
MegaCap
$0.306
MegaCap Growth
$0.256
MegaCap Value
$0.316
Pacific
$0.472
REIT
$0.695
Russell 1000
$0.392
Russell 1000 Growth
$0.365
Russell 1000 Value
$0.453
Russell 3000
$0.383
S&P 500
$0.809
S&P 500 Growth
$0.339
S&P 500 Value
$0.435
Total International Stock
$0.604
Total Stock Market
$0.420
Total World Stock
$0.463
Utilities
$0.743
Value
$0.454
World ex-U.S.
$0.610
World ex-U.S. SmallCap
$0.748
JUNE SPECIAL DISTRIBUTIONS
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