Vanguard’s future participation in the Principles for Responsible Investment (PRI)

Vanguard serves the needs of more than 50 million individual investors globally. We have businesses in 10 countries and offer over 400 funds which are managed by more than two dozen highly respected, third-party investment advisors. In each country where Vanguard operates, we stay attuned to the needs of our clients while remaining compliant with all relevant regulations. And, as a provider of passively managed index funds and ETFs that enable millions of people to own broadly diversified investment portfolios at a low cost, we are vigilant about maintaining the passivity of these funds’ approach.

Vanguard routinely assesses our participation in external organizations to ensure alignment with our mission as well as our approach in each region in which we operate. Going forward, Vanguard’s U.S. business will no longer be a signatory to the Principles for Responsible Investment (PRI), while Vanguard’s Europe- and Australia-based businesses will remain members of the PRI.

This decision does not reflect any change in Vanguard’s global approach to investment management. Vanguard provides investors with the information and products they need to make sound investment choices that help them meet their financial goals and reflect their personal preferences. We report regularly on sustainability-related risks and opportunities to inform our investors and meet regulatory expectations in the markets in which Vanguard operates. In addition to a broad selection of low-cost, high-quality investment products, Vanguard leads the way in empowering millions of individual investors to have a greater voice on matters of corporate governance.

Through Investor Choice, investors in certain Vanguard mutual funds and ETFs have the opportunity to participate more directly in the proxy voting process, having more say over how their assets are stewarded.  We are exploring ways to make Investor Choice available in more funds and markets.