Vanguard Tax-Exempt Bond ETF

Frequently Asked Questions About VTEB

What are the top holdings of VTEB?

Vanguard Tax-Exempt Bond ETF holds 2 securities in total. The largest positions and their portfolio weights are listed on the Holdings tab.

How many holdings does VTEB have?

VTEB holds 2 positions as reported by the fund's most recent disclosure.

What sectors does VTEB invest in?

Vanguard Tax-Exempt Bond ETF (VTEB) allocates across the sectors shown above. The largest exposure tops the list; the rest follow in descending weight order.

What sector is VTEB most exposed to?

VTEB's full sector breakdown is on the Sectors tab. The largest sector weight is shown there along with the rest of the allocation.

Is VTEB a US-only fund?

The country allocation card on this page shows VTEB's geographic exposure. Funds with > 95% US weight are effectively US-only; international or global funds will show meaningful weights across multiple countries.

What does VTEB invest in?

This index-tracking fund aims to mirror the performance of a specific benchmark, the Standard & Poor's National AMT-Free Municipal Bond Index, which represents the investment-grade segment of the U.S. municipal bond market. It achieves this by employing a sampling strategy, carefully selecting a portion of the index's holdings to replicate its overall characteristics. A minimum of 80% of its assets will be invested in securities included in this target index. Crucially, under typical market conditions, at least 80% of the fund's portfolio will consist of bonds generating income that is exempt from both federal income tax and the federal alternative minimum tax (AMT). A primary risk is its sensitivity to interest rate fluctuations: rising rates can lead to a decrease in bond prices, while falling rates may eventually reduce the income distributed by the fund. This fund is designed for investors seeking potentially tax-free federal income who are comfortable with moderate swings in both investment value and distributed income. To maintain diversification, for 75% of its total assets, the fund generally restricts its holdings: it won't acquire more than 10% of an issuer's voting securities, nor will it invest more than 5% of its total assets in a single issuer's securities. Exceptions to these limits apply when necessary to match the target index's composition or when investing in U.S. government or agency obligations.