Vanguard Long-Term Treasury Fund Admiral Shares

Frequently Asked Questions About VUSUX

What does VUSUX invest in?

This fund primarily allocates at least 80% of its assets to fixed-income securities issued directly by the U.S. government. These include Treasury bills, notes, bonds, and inflation-protected securities (TIPS). Additionally, the fund may hold debt issued by federal agencies that are sponsored, guaranteed, or owned by the U.S. government. A principal risk associated with this fund is its sensitivity to interest rate fluctuations. Changes in interest rates, whether rising or falling, can adversely affect the fund's value by leading to lower bond prices or a reduction in its overall income stream. It is designed for investors who seek to generate interest income and are prepared to accept significant interest rate volatility.

What is the expense ratio of VUSUX?

Vanguard Long-Term Treasury Fund Admiral Shares (VUSUX) charges an expense ratio of 0.10%. This is the annual fee deducted from fund assets to cover management and operations.

What is VUSUX's dividend yield?

VUSUX's trailing-twelve-month yield is 4.91%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of VUSUX?

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

What is the credit quality of VUSUX?

VUSUX'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 VUSUX?

Yield to maturity (YTM) is the total return you'd earn from VUSUX if every bond in the portfolio is held to maturity at the current price. VUSUX'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.