The Chicago Entrepreneur

: Vanguard to liquidate 1 fund, merge 2 others

Investment management giant Vanguard said Tuesday that it will liquidate its Vanguard Alternative Strategies Fund VASFX, given that it “has not gained broad acceptance among investors.” The fund, which was launched in 2015, had $97.6 million in total assets, and had declined 2.8% over the past three months while the S&P 500 SPX has gained 4.5%. Vanguard also said Tuesday it will merge its Vanguard Managed Allocation Fund VPGDX into its Vanguard LifeStrategy Moderate Growth Fund VSMGX, as they have similar asset class exposure with comparable asset allocations and similar risk profiles. The managed allocation fund has $1.22 billion in total net assets while the LifeStrategy fund has $18.87 billion in net assets. The liquidation of the one fund and merger of two others are expected to take place in the second quarter of 2023. “We continually monitor our funds to ensure that they’re serving our clients well, and we refine and evolve our lineup to better position investors to succeed,” said Dan Reyes, head of Vanguard’s portfolio review department.

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