VALLEY FORGE, PA — Vanguard has introduced three new exchange-traded funds (ETFs), bolstering its suite of fixed income offerings with options designed to address a variety of investor needs in the U.S. Treasury market. The new launches include the actively managed Vanguard Government Securities Active ETF (VGVT) and two index ETFs: Vanguard Total Treasury ETF (VTG) and Vanguard Total Inflation-Protected Securities ETF (VTP). All three are managed by the Vanguard Fixed Income Group.
VGVT is built to offer a flexible, high-quality mix of U.S. government and agency bonds, supplemented by select securitized credit. It aims to outperform the broad Treasury market while preserving the diversification and risk-mitigating properties of Treasuries. “VGVT is built to serve as a resilient core bond holding—one that adapts to changing market conditions while preserving the diversification and risk-buffering qualities investors expect from Treasuries,” said Roger Hallam, Global Head of Rates for Vanguard Fixed Income Group. The fund carries an expense ratio of 0.10% and becomes the eighth active ETF in Vanguard’s bond lineup.
On the index side, VTG offers broad exposure to the U.S. Treasury market at an ultra-low expense ratio of 0.03%. It provides all-curve exposure, making it a straightforward and cost-effective solution for investors looking to access the largest and most liquid segment of the fixed income universe.
VTP, meanwhile, is designed to help investors hedge against long-term inflation risk. With an expense ratio of 0.05%, it offers exposure to the full spectrum of the U.S. Treasury Inflation-Protected Securities (TIPS) market and complements Vanguard’s existing short-term TIPS product (VTIP). VTP features a longer duration profile, making it a strategic option for those focused on protecting purchasing power over extended periods.
The addition of VGVT, VTG, and VTP brings Vanguard Fixed Income Group’s total ETF offerings to 36, including 28 index products. With these new ETFs, Vanguard continues to leverage its deep expertise and decades-long presence in the Treasury and inflation-protected securities markets, providing investors with diversified, cost-efficient tools for managing risk and building resilient portfolios.
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