News release

Vanguard Modifies Management Teams of Several Funds

VALLEY FORGE, PA (July 15, 2016)—Vanguard today announced new investment advisory arrangements for the $21 billion Vanguard International Growth Fund and $2 billion Vanguard Variable Insurance Fund (VVIF)-International Portfolio, as well as a change in the manager structure of the nearly $1 billion Vanguard Capital Value Fund.

Vanguard International Growth Fund and the International Portfolio of VVIF will now be managed by Baillie Gifford Overseas Ltd. and Schroder Investment Management North America Inc. M&G Investment Management Limited will no longer serve as an advisor to the funds. Following the transition, the new allocation of each fund is expected to be as follows: Baillie Gifford, 60%; and Schroders, 40%. Previously, M&G managed approximately 11.5% of International Growth and 14.3% of VVIF-International.

Separately, David Palmer of Wellington Management Company LLP will now serve as sole portfolio manager of the Capital Value Fund. Previously, Peter Higgins of Wellington served as co-manager of the fund. 

The investment objectives and primary investment strategies of each of the funds will remain the same, and the expense ratios of the funds are not expected to be affected by the changes. Vanguard considers many factors in the ongoing evaluation of current and prospective investment advisors. After careful consideration, the funds’ board of trustees determined that the advisor teams are now configured to a combination of investment approach, expertise, and resources to better serve shareholders going forward.  

About Vanguard

Vanguard is one of the world’s largest investment management companies. As of June 30, 2016, Vanguard managed more than $3.6 trillion in global assets. The firm, headquartered in Valley Forge, Pennsylvania, offers more than 350 funds to its more than 20 million investors worldwide. For more information, visit


All asset figures as of June 30, 2016, unless otherwise noted.

For more information on Vanguard funds, visit, or call 800-662-7447 to obtain a prospectus. Investment objectives, risks, charges, expenses, and other important information are contained in the prospectus; read and consider it carefully before investing.

All investing is subject to risk, including the possible loss of the money you invest. Diversification does not ensure a profit or protect against a loss.

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