Morningstar designated eight Vanguard ETFs as 5-star ETFs with risk-adjusted returns in the top 10% of their peer groups and 36 Vanguard ETFs as 4-star ETFs with risk-adjusted returns in the top third of their peer groups (September 2021).
The Morningstar Rating™ for funds, or "star rating," is calculated for funds with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. Past performance is no guarantee of future results. Results are as of September 30, 2021, and will vary for other time periods. 1,512 ETFs were included in this analysis.
Morningstar also named Vanguard Australia its Multisector Fund Manager of the Year (February 2021). Award was based on various criteria, including low costs, risk-adjusted performance, and stewardship.