Vanguard California Tax-Exempt Bond ETF

Frequently Asked Questions About VTEC

What does VTEC invest in?

This index measures the performance of the investment-grade segment of the California municipal bond market as determined by the index provider, S&P Dow Jones Indices LLC. All of the fund’s investments will be selected through the sampling process, and at least 80% of the fund’s assets will be invested in securities held in the index. It is non-diversified.

What is the expense ratio of VTEC?

Vanguard California Tax-Exempt Bond ETF (VTEC) charges an expense ratio of 0.06%. This is the annual fee deducted from fund assets to cover management and operations.

What is VTEC's dividend yield?

VTEC's trailing-twelve-month yield is 3.23%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of VTEC?

Effective duration measures VTEC's sensitivity to interest-rate changes: a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. VTEC's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of VTEC?

VTEC's credit quality breakdown (the share of holdings rated AAA through CCC and below) is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.

What is the yield to maturity of VTEC?

Yield to maturity (YTM) is the total return you'd earn from VTEC if every bond in the portfolio is held to maturity at the current price. VTEC's YTM is published on the fund's factsheet on the issuer's website. It differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.