What You Need to Know
- Vanguard PAS expects to add three new active equity fund options in the fourth quarter of 2021.
- They include the Vanguard Advice Select Dividend Growth Fund and Vanguard Advice Select Global Value Fund.
- Vanguard Advice Select International Growth Fund is the third fund. All three have relatively low fees.
Vanguard Personal Advisor Services, the mutual fund giant’s digital advisor service that includes human advisors, is planning to add three new active equity mutual funds to its investment options in the fourth quarter.
Vanguard PAS has filed a registration statement with the Securities and Exchange Commission to launch the Vanguard Advice Select Dividend Growth Fund, Vanguard Advice Select Global Value Fund and Vanguard Advice Select International Growth Fund.
Once added, the funds will be part of a five-fund equity offer from Vanguard Personal Advisor Services, which requires a $50,000 minimum and charges a 0.30% annual fee. Vanguard International Core Fund and Vanguard Capital Opportunity Fund are the other active equity funds offered as part of PAS.
In a press release, Vanguard said the funds will complement diversified and lost-cost index core portfolio holdings in PAS accounts. It believes “the funds’ concentrated, higher-alpha strategies … are an ideal fit for PAS clients with sufficient risk tolerance and patience for active exposure as they can materially impact portfolio performance even at a relatively small allocation.” PAS will assess the suitability of the funds for client portfolios.