- What does VWIUX invest in?
- The Vanguard Intermediate-Term Tax-Exempt Fund Admiral Shares aims to deliver a steady and moderate level of current income, which is exempt from federal personal income taxes. While the fund has no restrictions on the maturity of individual securities, its dollar-weighted average maturity is typically maintained between 6 and 12 years. The portfolio primarily consists of high-quality municipal bonds: at least 75% must be rated among the top three categories by a recognized credit agency, or deemed of comparable quality by the advisor if unrated. Up to 20% of its assets may be invested in medium-grade bonds, as determined by a rating organization or the advisor. A small portion, specifically the remaining 5%, can be allocated to securities with lower credit ratings or those assessed as equivalent by the advisor if unrated. A key risk to consider is that changes in interest rates can impact the fund; rising rates may lead to a decrease in bond prices, while falling rates could eventually reduce the fund's income. This fund may appeal to investors seeking federal tax-exempt interest income who are comfortable with moderate fluctuations in both price and income. It's crucial to understand that the Vanguard Intermediate-Term Tax-Exempt Fund is a standalone product, separate and distinct from the Vanguard Intermediate-Term Tax-Exempt Bond ETF (VTEI). Variations in their scale, investment processes, and underlying holdings mean their investment returns are expected to differ.
- What is the expense ratio of VWIUX?
- Vanguard Intermediate-Term Tax-Exempt Fund Admiral Shares (VWIUX) charges an expense ratio of 0.09%. This is the annual fee deducted from fund assets to cover management and operations.
- What is VWIUX's dividend yield?
- VWIUX's trailing-twelve-month yield is 3.38%, calculated from the sum of dividends over the past year divided by the current price.
- What is the duration of VWIUX?
- Effective duration measures VWIUX's sensitivity to interest-rate changes — a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. VWIUX's current duration is published on the fund's factsheet on the issuer's website.
- What is the credit quality of VWIUX?
- VWIUX'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 VWIUX?
- Yield to maturity (YTM) is the total return you'd earn from VWIUX if every bond in the portfolio is held to maturity at the current price. VWIUX'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.
