Vanguard® Global Minimum Volatility Fund
Schedule of Investments (unaudited)
As of July 31, 2023
The fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The fund’s Form N-PORT reports are available on the SEC’s website at www.sec.gov.
Shares | Market Value ($000) | ||
Common Stocks (98.8%) | |||
Australia (4.0%) | |||
Wesfarmers Ltd. | 577,556 | 19,297 | |
Transurban Group | 1,688,501 | 16,303 | |
Telstra Group Ltd. | 4,843,862 | 13,864 | |
Medibank Pvt Ltd. | 3,293,479 | 7,776 | |
Coles Group Ltd. | 602,044 | 7,362 | |
Brambles Ltd. | 675,235 | 6,388 | |
Insurance Australia Group Ltd. | 739,314 | 2,951 | |
Atlas Arteria Ltd. | 300,830 | 1,272 | |
Aurizon Holdings Ltd. | 308,200 | 790 | |
APA Group | 111,946 | 753 | |
Washington H Soul Pattinson & Co. Ltd. | 30,785 | 683 | |
Steadfast Group Ltd. | 161,235 | 633 | |
carsales.com Ltd. | 31,641 | 529 | |
78,601 | |||
Belgium (0.1%) | |||
Etablissements Franz Colruyt NV | 52,119 | 1,987 | |
Brazil (1.5%) | |||
Itau Unibanco Holding SA ADR | 3,178,587 | 19,103 | |
Banco Bradesco SA ADR | 3,165,386 | 11,174 | |
1 | Centrais Eletricas Brasileiras SA ADR | 60,600 | 492 |
30,769 | |||
Canada (3.3%) | |||
Intact Financial Corp. | 85,407 | 12,618 | |
Dollarama Inc. | 163,885 | 10,795 | |
2 | Hydro One Ltd. | 365,187 | 10,302 |
BCE Inc. | 190,829 | 8,243 | |
1 | Emera Inc. | 168,445 | 6,833 |
Fortis Inc. (XTSE) | 117,802 | 5,022 | |
Enbridge Inc. | 108,021 | 3,971 | |
Metro Inc. | 62,402 | 3,358 | |
Thomson Reuters Corp. | 17,092 | 2,307 | |
Capital Power Corp. | 26,491 | 826 | |
Brookfield Infrastructure Corp. Class A | 13,272 | 621 | |
Atco Ltd. Class I | 19,934 | 569 | |
TMX Group Ltd. | 21,250 | 472 | |
Definity Financial Corp. | 16,587 | 418 | |
66,355 | |||
China (3.2%) | |||
China Shenhua Energy Co. Ltd. Class H | 3,234,500 | 9,695 | |
Tencent Holdings Ltd. | 206,200 | 9,477 | |
*,1,2 | East Buy Holding Ltd. | 1,693,021 | 8,279 |
Shares | Market Value ($000) | ||
2 | Nongfu Spring Co. Ltd. Class H | 858,400 | 5,005 |
ZTE Corp. Class H | 1,188,200 | 4,349 | |
Sinopharm Group Co. Ltd. Class H | 1,162,000 | 3,659 | |
China Pacific Insurance Group Co. Ltd. Class H | 1,295,200 | 3,492 | |
Tsingtao Brewery Co. Ltd. Class H | 388,000 | 3,489 | |
China Resources Land Ltd. | 662,000 | 3,089 | |
ENN Energy Holdings Ltd. | 230,800 | 2,805 | |
ZTO Express Cayman Inc. | 83,800 | 2,321 | |
Yum China Holdings Inc. | 34,500 | 2,125 | |
Anhui Conch Cement Co. Ltd. Class H | 636,914 | 1,923 | |
New China Life Insurance Co. Ltd. Class H | 451,200 | 1,308 | |
China Resources Power Holdings Co. Ltd. | 354,000 | 768 | |
China Resources Gas Group Ltd. | 140,800 | 488 | |
Shanghai Fudan Microelectronics Group Co. Ltd. Class H | 182,000 | 485 | |
Yankuang Energy Group Co. Ltd. Class H | 219,000 | 330 | |
63,087 | |||
Finland (0.3%) | |||
Sampo OYJ Class A | 117,779 | 5,190 | |
Elisa OYJ | 13,533 | 706 | |
5,896 | |||
France (1.3%) | |||
Orange SA | 1,530,292 | 17,298 | |
Edenred | 85,548 | 5,556 | |
Vivendi SE | 248,821 | 2,222 | |
Bollore SE | 109,320 | 691 | |
25,767 | |||
Germany (0.1%) | |||
SAP SE | 6,501 | 887 | |
Fielmann AG | 12,212 | 627 | |
1,514 | |||
Hong Kong (1.4%) | |||
CLP Holdings Ltd. | 1,390,105 | 11,331 | |
Power Assets Holdings Ltd. | 1,426,270 | 7,475 | |
MTR Corp. Ltd. | 864,500 | 3,984 | |
BOC Hong Kong Holdings Ltd. | 488,500 | 1,491 | |
Chow Tai Fook Jewellery Group Ltd. | 828,200 | 1,446 | |
Want Want China Holdings Ltd. | 1,732,000 | 1,208 | |
26,935 | |||
India (3.8%) | |||
ICICI Bank Ltd. ADR | 1,375,612 | 33,799 | |
3 | Infosys Ltd. ADR | 1,356,242 | 22,595 |
Dr Reddy's Laboratories Ltd. ADR | 225,313 | 15,474 | |
2 | Reliance Industries Ltd. GDR | 33,558 | 2,108 |
Wipro Ltd. ADR | 131,102 | 641 | |
74,617 | |||
Indonesia (0.2%) | |||
Telkom Indonesia Persero Tbk PT ADR | 160,059 | 3,926 | |
Israel (0.0%) | |||
Elbit Systems Ltd. | 3,607 | 767 | |
Italy (0.1%) | |||
UnipolSai Assicurazioni SpA | 589,372 | 1,515 | |
Japan (10.9%) | |||
Softbank Corp. | 2,804,100 | 31,138 | |
East Japan Railway Co. | 425,200 | 24,072 |
Shares | Market Value ($000) | ||
Canon Inc. | 893,400 | 23,090 | |
Central Japan Railway Co. | 152,400 | 19,421 | |
Yamada Holdings Co. Ltd. | 3,438,600 | 10,389 | |
Japan Post Holdings Co. Ltd. | 1,271,400 | 9,285 | |
West Japan Railway Co. | 218,000 | 8,956 | |
* | Skylark Holdings Co. Ltd. | 664,100 | 8,593 |
Japan Tobacco Inc. | 345,400 | 7,664 | |
Kyushu Railway Co. | 235,600 | 5,166 | |
Takeda Pharmaceutical Co. Ltd. | 162,700 | 4,975 | |
Osaka Gas Co. Ltd. | 305,600 | 4,809 | |
McDonald's Holdings Co. Japan Ltd. | 121,000 | 4,763 | |
Tobu Railway Co. Ltd. | 178,600 | 4,726 | |
Hankyu Hanshin Holdings Inc. | 141,500 | 4,701 | |
Tokyu Corp. | 339,600 | 4,309 | |
Kagome Co. Ltd. | 166,200 | 3,705 | |
Tokyo Gas Co. Ltd. | 158,600 | 3,596 | |
Zensho Holdings Co. Ltd. | 58,600 | 3,123 | |
Toho Co. Ltd. | 74,500 | 2,904 | |
Japan Post Bank Co. Ltd. | 301,500 | 2,508 | |
Sawai Group Holdings Co. Ltd. | 97,700 | 2,433 | |
Kintetsu Group Holdings Co. Ltd. | 63,700 | 2,137 | |
ENEOS Holdings Inc. | 489,400 | 1,776 | |
Takashimaya Co. Ltd. | 119,700 | 1,740 | |
ABC-Mart Inc. | 30,200 | 1,672 | |
Keisei Electric Railway Co. Ltd. | 35,300 | 1,465 | |
Yamato Holdings Co. Ltd. | 62,100 | 1,163 | |
MOS Food Services Inc. | 49,900 | 1,148 | |
Shimamura Co. Ltd. | 11,100 | 1,099 | |
KDDI Corp. | 36,100 | 1,063 | |
Obayashi Corp. | 109,400 | 1,012 | |
Odakyu Electric Railway Co. Ltd. | 58,300 | 852 | |
Oracle Corp. Japan | 10,200 | 715 | |
Seven Bank Ltd. | 275,300 | 598 | |
Kyorin Pharmaceutical Co. Ltd. | 47,800 | 596 | |
Haseko Corp. | 44,100 | 574 | |
Chubu Electric Power Co. Inc. | 45,000 | 564 | |
Iwatani Corp. | 10,300 | 550 | |
Citizen Watch Co. Ltd. | 83,700 | 547 | |
Nagoya Railroad Co. Ltd. | 31,700 | 510 | |
Alfresa Holdings Corp. | 30,600 | 488 | |
Shimizu Corp. | 70,900 | 488 | |
Shizuoka Financial Group Inc. | 54,000 | 451 | |
COMSYS Holdings Corp. | 22,500 | 450 | |
Keio Corp. | 13,100 | 435 | |
Kyocera Corp. | 7,500 | 404 | |
216,823 | |||
Mexico (0.5%) | |||
Fomento Economico Mexicano SAB de CV ADR | 55,343 | 6,267 | |
America Movil SAB de CV ADR | 123,213 | 2,578 | |
Coca-Cola Femsa SAB de CV ADR | 9,013 | 760 | |
Grupo Aeroportuario del Sureste SAB de CV ADR | 2,095 | 593 | |
10,198 | |||
New Zealand (0.1%) | |||
Fisher & Paykel Healthcare Corp. Ltd. | 70,901 | 1,082 | |
Infratil Ltd. | 81,484 | 504 | |
* | Auckland International Airport Ltd. | 85,786 | 448 |
2,034 |
Shares | Market Value ($000) | ||
Norway (0.5%) | |||
Orkla ASA | 1,008,282 | 7,956 | |
DNB Bank ASA | 48,737 | 1,005 | |
8,961 | |||
Singapore (0.7%) | |||
Oversea-Chinese Banking Corp. Ltd. | 971,261 | 9,720 | |
Singapore Exchange Ltd. | 671,326 | 4,907 | |
14,627 | |||
South Korea (2.5%) | |||
KT&G Corp. | 262,380 | 16,978 | |
Samsung Electronics Co. Ltd. (XKRX) | 267,585 | 14,651 | |
Samsung Electronics Co. Ltd. Preference Shares | 269,035 | 12,117 | |
Samsung Fire & Marine Insurance Co. Ltd. | 13,242 | 2,531 | |
Korea Zinc Co. Ltd. | 4,741 | 1,837 | |
Samsung Life Insurance Co. Ltd. | 20,362 | 1,114 | |
Maeil Dairies Co. Ltd. | 21,317 | 682 | |
Samsung C&T Corp. | 8,289 | 672 | |
50,582 | |||
Spain (0.8%) | |||
Iberdrola SA (XMAD) | 1,176,232 | 14,681 | |
Enagas SA | 96,726 | 1,717 | |
16,398 | |||
Sweden (0.0%) | |||
Saab AB Class B | 8,698 | 459 | |
Switzerland (2.8%) | |||
Swisscom AG (Registered) | 48,561 | 31,227 | |
Novartis AG (Registered) | 167,642 | 17,552 | |
2 | Galenica AG | 32,533 | 2,618 |
Banque Cantonale Vaudoise (Registered) | 17,241 | 1,935 | |
Allreal Holding AG (Registered) | 5,243 | 963 | |
Roche Holding AG (Bearer) | 1,736 | 576 | |
54,871 | |||
Taiwan (2.5%) | |||
Taiwan Semiconductor Manufacturing Co. Ltd. ADR | 219,143 | 21,728 | |
1 | United Microelectronics Corp. ADR | 1,828,771 | 13,734 |
ASE Technology Holding Co. Ltd. ADR | 1,086,574 | 8,725 | |
Chunghwa Telecom Co. Ltd. ADR | 151,576 | 5,563 | |
49,750 | |||
United Kingdom (3.4%) | |||
BAE Systems plc | 1,927,412 | 23,050 | |
Compass Group plc | 473,281 | 12,314 | |
National Grid plc | 605,608 | 8,027 | |
Sage Group plc | 640,085 | 7,699 | |
Pearson plc | 562,436 | 6,221 | |
Halma plc | 116,748 | 3,353 | |
Reckitt Benckiser Group plc | 44,490 | 3,333 | |
Tate & Lyle plc | 132,157 | 1,267 | |
Smiths Group plc | 36,416 | 794 | |
Phoenix Group Holdings plc | 92,424 | 653 | |
Admiral Group plc | 21,650 | 591 | |
Rightmove plc | 59,118 | 433 | |
67,735 | |||
United States (54.8%) | |||
3 | International Business Machines Corp. | 233,221 | 33,626 |
Republic Services Inc. Class A | 219,944 | 33,236 |
Shares | Market Value ($000) | ||
3 | McDonald's Corp. | 113,311 | 33,223 |
3 | Cisco Systems Inc. | 629,123 | 32,740 |
3 | Johnson & Johnson | 191,972 | 32,161 |
3 | Waste Management Inc. | 195,400 | 32,005 |
Amdocs Ltd. | 340,417 | 31,877 | |
3 | Lockheed Martin Corp. | 70,806 | 31,606 |
3 | Merck & Co. Inc. | 293,505 | 31,302 |
3 | Gilead Sciences Inc. | 401,715 | 30,587 |
AptarGroup Inc. | 246,916 | 29,990 | |
3 | Church & Dwight Co. Inc. | 311,719 | 29,822 |
Amgen Inc. | 122,408 | 28,662 | |
3 | Colgate-Palmolive Co. | 351,635 | 26,816 |
Chemed Corp. | 48,609 | 25,330 | |
3 | AbbVie Inc. | 167,301 | 25,025 |
White Mountains Insurance Group Ltd. | 13,304 | 20,581 | |
Service Corp. International | 297,135 | 19,804 | |
4 | Equity Commonwealth | 1,004,583 | 19,680 |
J M Smucker Co. | 129,645 | 19,531 | |
Dolby Laboratories Inc. Class A | 219,184 | 19,422 | |
AmerisourceBergen Corp. | 102,922 | 19,236 | |
3 | Bristol-Myers Squibb Co. | 275,103 | 17,109 |
Kimberly-Clark Corp. | 126,975 | 16,392 | |
3 | General Mills Inc. | 217,937 | 16,289 |
3 | Hormel Foods Corp. | 392,321 | 16,038 |
Progressive Corp. | 124,650 | 15,703 | |
McKesson Corp. | 37,603 | 15,131 | |
3 | Oracle Corp. | 128,201 | 15,029 |
Hawaiian Electric Industries Inc. | 380,020 | 14,589 | |
Northrop Grumman Corp. | 32,496 | 14,461 | |
Electronic Arts Inc. | 103,265 | 14,080 | |
Eli Lilly & Co. | 28,793 | 13,088 | |
* | FTI Consulting Inc. | 73,906 | 12,945 |
Cboe Global Markets Inc. | 89,909 | 12,558 | |
Consolidated Edison Inc. | 130,692 | 12,397 | |
NewMarket Corp. | 27,376 | 12,366 | |
IDACORP Inc. | 115,788 | 11,905 | |
Silgan Holdings Inc. | 264,592 | 11,602 | |
General Dynamics Corp. | 49,761 | 11,126 | |
Motorola Solutions Inc. | 38,365 | 10,996 | |
3 | Flowers Foods Inc. | 402,055 | 9,935 |
* | O'Reilly Automotive Inc. | 9,956 | 9,217 |
Roper Technologies Inc. | 18,225 | 8,986 | |
Sonoco Products Co. | 148,258 | 8,694 | |
Hershey Co. | 34,656 | 8,016 | |
Quest Diagnostics Inc. | 59,206 | 8,005 | |
Texas Instruments Inc. | 41,538 | 7,477 | |
* | Check Point Software Technologies Ltd. | 55,942 | 7,396 |
Huntington Ingalls Industries Inc. | 32,023 | 7,355 | |
Commerce Bancshares Inc. | 135,817 | 7,223 | |
Premier Inc. Class A | 258,295 | 7,168 | |
Maximus Inc. | 81,632 | 6,837 | |
Kellogg Co. | 97,054 | 6,492 | |
Washington Federal Inc. | 205,369 | 6,375 | |
* | Vertex Pharmaceuticals Inc. | 16,981 | 5,983 |
Duke Energy Corp. | 61,212 | 5,731 | |
Chevron Corp. | 33,563 | 5,493 | |
* | Akero Therapeutics Inc. | 113,133 | 4,910 |
Southern Co. | 66,941 | 4,842 |
Shares | Market Value ($000) | ||
* | Insight Enterprises Inc. | 32,621 | 4,785 |
Atmos Energy Corp. | 37,873 | 4,609 | |
TJX Cos. Inc. | 48,200 | 4,171 | |
MDU Resources Group Inc. | 173,280 | 3,833 | |
Progress Software Corp. | 63,549 | 3,817 | |
3 | Coca-Cola Co. | 61,156 | 3,787 |
American States Water Co. | 39,217 | 3,467 | |
* | Grand Canyon Education Inc. | 30,171 | 3,275 |
Microsoft Corp. | 9,623 | 3,232 | |
* | Berkshire Hathaway Inc. Class B | 8,293 | 2,919 |
Procter & Gamble Co. | 16,803 | 2,626 | |
Jack Henry & Associates Inc. | 14,870 | 2,492 | |
* | Biogen Inc. | 7,948 | 2,147 |
Globe Life Inc. | 18,130 | 2,034 | |
Capitol Federal Financial Inc. | 292,642 | 1,940 | |
Rollins Inc. | 45,877 | 1,873 | |
New Jersey Resources Corp. | 41,861 | 1,871 | |
Werner Enterprises Inc. | 39,146 | 1,841 | |
TFS Financial Corp. | 114,914 | 1,667 | |
NorthWestern Corp. | 29,482 | 1,665 | |
Science Applications International Corp. | 11,974 | 1,453 | |
Gen Digital Inc. (XNGS) | 73,629 | 1,432 | |
* | Huron Consulting Group Inc. | 14,332 | 1,355 |
* | Rambus Inc. | 19,688 | 1,233 |
* | Enstar Group Ltd. | 4,732 | 1,211 |
* | NetScout Systems Inc. | 43,241 | 1,209 |
Selective Insurance Group Inc. | 11,374 | 1,174 | |
Lancaster Colony Corp. | 5,966 | 1,149 | |
* | Prestige Consumer Healthcare Inc. | 17,154 | 1,119 |
RLI Corp. | 8,364 | 1,116 | |
Genuine Parts Co. | 7,117 | 1,108 | |
* | Ryan Specialty Holdings Inc. Class A | 24,921 | 1,080 |
Chesapeake Utilities Corp. | 8,742 | 1,034 | |
* | CommVault Systems Inc. | 12,407 | 967 |
Madison Square Garden Sports Corp. | 4,200 | 893 | |
3 | PepsiCo Inc. | 4,477 | 839 |
Exxon Mobil Corp. | 7,214 | 774 | |
Avista Corp. | 19,533 | 755 | |
Cardinal Health Inc. | 7,915 | 724 | |
Laureate Education Inc. | 48,369 | 620 | |
International Bancshares Corp. | 12,025 | 597 | |
Graham Holdings Co. Class B | 921 | 540 | |
Spire Inc. | 8,085 | 514 | |
CME Group Inc. | 2,371 | 472 | |
Northwest Bancshares Inc. | 37,187 | 460 | |
* | Plexus Corp. | 4,065 | 400 |
1,088,480 | |||
Total Common Stocks (Cost $1,703,935) | 1,962,654 |
Shares | Market Value ($000) | ||
Temporary Cash Investments (1.8%) | |||
Money Market Fund (1.8%) | |||
5,6 | Vanguard Market Liquidity Fund, 5.274% (Cost $35,259) | 352,698 | 35,263 |
Total Investments (100.6%) (Cost $1,739,194) | 1,997,917 | ||
Other Assets and Liabilities—Net (-0.6%) | (12,573) | ||
Net Assets (100%) | 1,985,344 | ||
Cost is in $000. |
* | Non-income-producing security. |
1 | Includes partial security positions on loan to broker-dealers. The total value of securities on loan is $26,820,000. |
2 | Security exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be sold in transactions exempt from registration, normally to qualified institutional buyers. At July 31, 2023, the aggregate value was $28,312,000, representing 1.4% of net assets. |
3 | Securities with a value of $17,861,000 have been segregated as collateral for open forward currency contracts. |
4 | Securities with a value of $1,187,000 have been segregated as initial margin for open futures contracts. |
5 | Affiliated money market fund available only to Vanguard funds and certain trusts and accounts managed by Vanguard. Rate shown is the 7-day yield. |
6 | Collateral of $29,921,000 was received for securities on loan. |
ADR—American Depositary Receipt. | |
GDR—Global Depositary Receipt. |
Derivative Financial Instruments Outstanding as of Period End
Futures Contracts | ||||
($000) | ||||
Expiration | Number of Long (Short) Contracts | Notional Amount | Value and Unrealized Appreciation (Depreciation) | |
Long Futures Contracts | ||||
E-mini S&P 500 Index | September 2023 | 52 | 11,998 | 54 |
Euro Stoxx 50 Index | September 2023 | 32 | 1,582 | 35 |
SPI 200 Index | September 2023 | 4 | 494 | 19 |
Topix Index | September 2023 | 9 | 1,472 | 73 |
181 |
Forward Currency Contracts | |||||||
Contract Settlement Date | Contract Amount (000) | Unrealized Appreciation ($000) | Unrealized Depreciation ($000) | ||||
Counterparty | Receive | Deliver | |||||
BNP Paribas | 8/17/23 | CAD | 19,134 | USD | 14,492 | 22 | — |
JPMorgan Chase Bank, N.A. | 8/17/23 | CAD | 3,246 | USD | 2,446 | 15 | — |
UBS AG | 8/17/23 | CHF | 2,288 | USD | 2,587 | 42 | — |
BNP Paribas | 8/17/23 | EUR | 4,024 | USD | 4,424 | 4 | — |
Barclays Bank plc | 8/17/23 | GBP | 2,226 | USD | 2,850 | 7 | — |
BNP Paribas | 8/17/23 | HKD | 16,300 | USD | 2,083 | 7 | — |
BNP Paribas | 8/17/23 | JPY | 896,668 | USD | 6,376 | — | (55) |
BNP Paribas | 8/17/23 | KRW | 1,463,306 | USD | 1,124 | 25 | — |
BNP Paribas | 8/17/23 | SGD | 2,664 | USD | 1,980 | 25 | — |
BNP Paribas | 8/17/23 | USD | 77,159 | AUD | 116,141 | — | (903) |
Forward Currency Contracts (continued) | |||||||
Contract Settlement Date | Contract Amount (000) | Unrealized Appreciation ($000) | Unrealized Depreciation ($000) | ||||
Counterparty | Receive | Deliver | |||||
State Street Bank & Trust Co. | 8/17/23 | USD | 30,496 | BRL | 149,919 | — | (1,100) |
Barclays Bank plc | 8/17/23 | USD | 83,550 | CAD | 110,929 | — | (594) |
State Street Bank & Trust Co. | 8/17/23 | USD | 58,848 | CHF | 52,191 | — | (1,117) |
JPMorgan Chase Bank, N.A. | 8/17/23 | USD | 58,608 | EUR | 53,382 | — | (138) |
BNP Paribas | 8/17/23 | USD | 70,755 | GBP | 55,355 | — | (291) |
State Street Bank & Trust Co. | 8/17/23 | USD | 88,694 | HKD | 694,013 | — | (304) |
Royal Bank of Canada | 8/18/23 | USD | 4,205 | IDR | 64,142,370 | — | (48) |
JPMorgan Chase Bank, N.A. | 8/17/23 | USD | 696 | ILS | 2,576 | — | (6) |
State Street Bank & Trust Co. | 8/17/23 | USD | 71,092 | INR | 5,880,531 | — | (364) |
Deutsche Bank AG | 8/17/23 | USD | 209,202 | JPY | 29,597,265 | 557 | — |
BNP Paribas | 8/17/23 | USD | 10,873 | JPY | 1,515,429 | 189 | — |
JPMorgan Chase Bank, N.A. | 8/17/23 | USD | 5,085 | JPY | 721,348 | — | — |
BNP Paribas | 8/17/23 | USD | 50,571 | KRW | 65,935,415 | — | (1,211) |
Toronto-Dominion Bank | 8/17/23 | USD | 5,934 | MXN | 102,192 | — | (148) |
JPMorgan Chase Bank, N.A. | 8/17/23 | USD | 4,227 | MXN | 72,638 | — | (96) |
JPMorgan Chase Bank, N.A. | 8/17/23 | USD | 8,644 | NOK | 91,384 | — | (379) |
Toronto-Dominion Bank | 8/17/23 | USD | 2,946 | NZD | 4,773 | — | (18) |
Toronto-Dominion Bank | 8/17/23 | USD | 1,450 | SEK | 15,715 | — | (44) |
State Street Bank & Trust Co. | 8/17/23 | USD | 15,396 | SGD | 20,742 | — | (217) |
Toronto-Dominion Bank | 8/17/23 | USD | 48,222 | TWD | 1,514,019 | — | (63) |
JPMorgan Chase Bank, N.A. | 8/17/23 | USD | 1,657 | TWD | 51,981 | — | (1) |
893 | (7,097) |
AUD—Australian dollar. |
BRL—Brazilian real. |
CAD—Canadian dollar. |
CHF—Swiss franc. |
EUR—euro. |
GBP—British pound. |
HKD—Hong Kong dollar. |
IDR—Indonesian rupiah. |
ILS—Israeli shekel. |
INR—Indian rupee. |
JPY—Japanese yen. |
KRW—Korean won. |
MXN—Mexican peso. |
NOK—Norwegian krone. |
NZD—New Zealand dollar. |
SEK—Swedish krona. |
SGD—Singapore dollar. |
TWD—Taiwanese dollar. |
USD—U.S. dollar. |
A. Security Valuation: Securities are valued as of the close of trading on the New York Stock Exchange (generally 4 p.m., Eastern time) on the valuation date. Equity securities are valued at the latest quoted sales prices or official closing prices taken from the primary market in which each security trades; such securities not traded on the valuation date are valued at the mean of the latest quoted bid and asked prices. Securities for which market quotations are not readily available, or whose values have been affected by events occurring before the fund’s pricing time but after the close of the securities’ primary markets, are valued by methods deemed by the valuation designee to represent fair value and subject to oversight by the board of trustees. These procedures include obtaining quotations from an independent pricing service, monitoring news to
identify significant market- or security-specific events, and evaluating changes in the values of foreign market proxies (for example, ADRs, futures contracts, or exchange-traded funds), between the time the foreign markets close and the fund’s pricing time. When fair-value pricing is employed, the prices of securities used by a fund to calculate its net asset value may differ from quoted or published prices for the same securities. Investments in Vanguard Market Liquidity Fund are valued at that fund's net asset value.
B. Foreign Currency: Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars using exchange rates obtained from an independent third party as of the fund’s pricing time on the valuation date. Realized gains (losses) and unrealized appreciation (depreciation) on investment securities include the effects of changes in exchange rates since the securities were purchased, combined with the effects of changes in security prices. Fluctuations in the value of other assets and liabilities resulting from changes in exchange rates are recorded as unrealized foreign currency gains (losses) until the assets or liabilities are settled in cash, at which time they are recorded as realized foreign currency gains (losses).
C. Futures Contracts: The fund uses index futures contracts to a limited extent, with the objective of maintaining full exposure to the stock market while maintaining liquidity. The fund may purchase or sell futures contracts to achieve a desired level of investment, whether to accommodate portfolio turnover or cash flows from capital share transactions. The primary risks associated with the use of futures contracts are imperfect correlation between changes in market values of stocks held by the fund and the prices of futures contracts, and the possibility of an illiquid market. Counterparty risk involving futures is mitigated because a regulated clearinghouse is the counterparty instead of the clearing broker. To further mitigate counterparty risk, the fund trades futures contracts on an exchange, monitors the financial strength of its clearing brokers and clearinghouse, and has entered into clearing agreements with its clearing brokers. The clearinghouse imposes initial margin requirements to secure the fund’s performance and requires daily settlement of variation margin representing changes in the market value of each contract. Any securities pledged as initial margin for open contracts are noted in the Schedule of Investments.
Futures contracts are valued at their quoted daily settlement prices. Fluctuations in the value of the contracts are recorded as an asset (liability).
D. Forward Currency Contracts: The fund enters into forward currency contracts to protect the value of securities and related receivables and payables against changes in future foreign exchange rates. The fund’s risks in using these contracts include movement in the values of the foreign currencies relative to the U.S. dollar and the ability of the counterparties to fulfill their obligations under the contracts. The fund mitigates its counterparty risk by entering into forward currency contracts only with a diverse group of prequalified counterparties, monitoring their financial strength, entering into master netting arrangements with its counterparties, and requiring its counterparties to transfer collateral as security for their performance. In the absence of a default, the collateral pledged or received by the fund cannot be repledged, resold, or rehypothecated. The master netting arrangements provide that, in the event of a counterparty’s default (including bankruptcy), the fund may terminate the forward currency contracts, determine the net amount owed by either party in accordance with its master netting arrangements, and sell or retain any collateral held up to the net amount owed to the fund under the master netting arrangements. The forward currency contracts contain provisions whereby a counterparty may terminate open contracts if the fund’s net assets decline below a certain level, triggering a payment by the fund if the fund is in a net liability position at the time of the termination. The payment amount would be reduced by any collateral the fund has pledged. Any securities pledged as collateral for open contracts are noted in the Schedule of Investments. The value of collateral received or pledged is compared daily to the value of the forward currency contracts exposure with each counterparty, and any difference, if in excess of a specified minimum transfer amount, is adjusted and settled within two business days.
Forward currency contracts are valued at their quoted daily prices obtained from an independent third party, adjusted for currency risk based on the expiration date of each contract. Fluctuations in the value of the contracts are recorded as an asset (liability).
E. Various inputs may be used to determine the value of the fund’s investments and derivatives. These inputs are summarized in three broad levels for financial statement purposes. The inputs or methodologies used to value securities are not necessarily an indication of the risk associated with investing in those securities.
Level 1—Quoted prices in active markets for identical securities.
Level 2—Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3—Significant unobservable inputs (including the fund’s own assumptions used to determine the fair value of investments). Any investments and derivatives valued with significant unobservable inputs are noted on the Schedule of Investments.
The following table summarizes the market value of the fund’s investments and derivatives as of July 31, 2023, based on the inputs used to value them:
Level 1 ($000) | Level 2 ($000) | Level 3 ($000) | Total ($000) | |
Investments | ||||
Assets | ||||
Common Stocks—International | 233,507 | 640,667 | — | 874,174 |
Common Stocks—United States | 1,087,048 | 1,432 | — | 1,088,480 |
Temporary Cash Investments | 35,263 | — | — | 35,263 |
Total | 1,355,818 | 642,099 | — | 1,997,917 |
Derivative Financial Instruments | ||||
Assets | ||||
Futures Contracts1 | 181 | — | — | 181 |
Forward Currency Contracts | — | 893 | — | 893 |
Total | 181 | 893 | — | 1,074 |
Liabilities | ||||
Forward Currency Contracts | — | 7,097 | — | 7,097 |
1 | Includes cumulative appreciation (depreciation) on futures contracts and centrally cleared swaps, if any, as reported in the Schedule of Investments. |