Vanguard Reopens the Door of Strategic Equity Fund to New Investors

If you look to add some mid-cap funds into your portfolio. Here's the good news. According to Morningstar.com, Vanguard Strategic Equity Fund (VSEQX) (a Mid-blend fund with an EP of 0.82% and YTD return 10.31%, 3-year return 14.89% and 5-year return 14.50%), which was closed to new investers in April 2006 due to asset size concerns, has reopned its door to new accounts.

Vanguard Strategic Equity (VSEQX) has reopened to new investors, and  Vanguard Windsor II (VWNFX) and Vanguard Wellington (VWELX) have lifted their maximum annual investment limits. All three funds still will have higher, $10,000 minimum investments, though. Vanguard closed Strategic Equity and imposed the investment restrictions on Windsor II and Wellington in April 2006 because the funds had attracted a lot of assets due to strong performance. Too much asset growth too fast can hamper a fund manager's efforts to execute his or her strategy. 

The previous annual investment limits on VWNFX and VWELX imposed in April were $25,000. For more information, click here.

This article was originally written or modified on . If you enjoyed reading this post, please consider subscribing to my full RSS feed. Or you can also choose to have free daily updates delivered right to your inbox.


Author Info

This post was written by Sun You can find out more about Sun and his activities on Facebook , or follow him on Twitter .

Comments are closed.