News release

Vanguard Returns Value to Shareholders with Lower Costs for Target Retirement Funds

VALLEY FORGE, PA (February 14, 2022)—Effective today, the newly merged Vanguard Target Retirement Funds will have a lower expense ratio of 0.08%. At less than one-fifth the cost of the average target-date fund,1 Vanguard Target Retirement Funds will retain the same investment strategy, asset allocations, and glide path, informed by more than four decades of client insights and investment management expertise.

Aligned to its mission to give investors the best chance for success, Vanguard is committed to returning value to clients through lower costs, innovative enhancements, and greater access to world-class investment solutions. Vanguard’s unique investor-owned structure enables the firm to consistently lower the cost of investing and expand access to the firm’s full range of investment strategies.2 Since its founding in 1975, Vanguard has returned value to shareholders by lowering expense ratios and investment minimums more than 2,000 times across asset classes, product types, and strategies.

Vanguard Target Retirement Funds are a leading choice for millions of retirement savers. The series provides investors with a single, low-cost solution that offers diverse exposure—covering 89% of the global, publicly traded market—along a research-based glide path that rebalances over time. The investor-focused design of the Target Retirement Funds blends investment strategy and behavioral insights to deliver a target-date lineup that helps investors reach their retirement goals while balancing risk at each stage of the life cycle.

The year in the Target Retirement Fund name refers to the approximate year (the target date) when an investor in the fund would retire and leave the workforce. The fund will gradually shift its emphasis from more aggressive investments to more conservative ones based on its target date. An investment in a Target Retirement Fund is not guaranteed at any time, including on or after the target date, and is subject to the risks of their underlying funds.


About Vanguard
Vanguard is one of the world’s largest investment management companies. As of December 31, 2021, Vanguard managed $8.5 trillion in global assets. The firm, headquartered in Valley Forge, Pennsylvania, offers 422 funds to its more than 30 million investors worldwide. For more information, visit

All figures as of December 31, 2021 unless stated otherwise.

For more information about Vanguard funds, visit to obtain a prospectus or, if available, a summary prospectus. Investment objectives, risks, charges, expenses, and other important information about a fund 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.

There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income. Diversification does not ensure a profit or protect against a loss.

Vanguard Marketing Corporation, Distributor.


1 Morningstar, as of December 31, 2020

2 Vanguard is investor-owned, meaning the fund shareholders own the funds, which in turn own Vanguard.