Vanguard® Health Care Fund
Schedule of Investments (unaudited)
As of April 30, 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 (98.1%) | |||
Belgium (3.3%) | |||
1 | UCB SA | 10,923,125 | 1,015,387 |
* | Argenx SE | 1,403,357 | 541,343 |
* | Galapagos NV | 1,175,458 | 45,607 |
1,602,337 | |||
Brazil (0.0%) | |||
*,2 | Hapvida Participacoes e Investimentos SA | 8,909,471 | 4,930 |
China (1.0%) | |||
2 | WuXi AppTec Co. Ltd. Class H | 11,971,416 | 105,288 |
* | Legend Biotech Corp. ADR | 1,483,204 | 101,911 |
*,2 | Wuxi Biologics Cayman Inc. | 10,465,200 | 62,402 |
* | Zai Lab Ltd. | 16,916,600 | 59,227 |
Shenzhen Mindray Bio-Medical Electronics Co. Ltd. Class A (XSHE) | 965,017 | 43,527 | |
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 24,872,000 | 42,441 | |
* | Zai Lab Ltd. ADR | 1,085,794 | 37,981 |
*,2 | Remegen Co. Ltd. Class H | 4,397,500 | 25,843 |
478,620 | |||
Denmark (2.2%) | |||
* | Genmab A/S | 2,088,852 | 858,445 |
* | Ascendis Pharma A/S ADR | 1,636,751 | 114,507 |
*,3 | Genmab A/S ADR | 2,285,855 | 93,743 |
1,066,695 | |||
Italy (0.1%) | |||
DiaSorin SpA | 552,359 | 59,993 | |
Japan (8.3%) | |||
Daiichi Sankyo Co. Ltd. | 41,350,190 | 1,418,916 | |
1 | Eisai Co. Ltd. | 19,459,917 | 1,122,902 |
Chugai Pharmaceutical Co. Ltd. | 30,174,900 | 778,683 | |
Ono Pharmaceutical Co. Ltd. | 17,945,352 | 361,331 | |
Terumo Corp. | 6,976,400 | 208,914 | |
Nippon Shinyaku Co. Ltd. | 1,977,800 | 90,442 | |
Asahi Intecc Co. Ltd. | 2,023,500 | 36,618 | |
4,017,806 | |||
Spain (0.2%) | |||
* | Roivant Sciences Ltd. | 9,572,139 | 81,842 |
Almirall SA | 949,100 | 9,716 | |
91,558 | |||
Switzerland (5.5%) | |||
Novartis AG (Registered) | 22,583,277 | 2,310,131 | |
Alcon Inc. | 3,393,208 | 247,081 |
Shares | Market Value ($000) | ||
* | Tecan Group AG (Registered) | 236,453 | 103,040 |
2,660,252 | |||
United Kingdom (7.1%) | |||
AstraZeneca plc | 19,424,805 | 2,858,613 | |
GSK plc | 9,296,836 | 167,651 | |
*,3 | Immunocore Holdings plc ADR | 2,085,568 | 121,067 |
Hikma Pharmaceuticals plc | 5,075,715 | 117,557 | |
* | Abcam plc ADR | 7,161,997 | 116,669 |
Genus plc | 1,004,385 | 33,959 | |
* | Verona Pharma plc | 1,160,032 | 24,303 |
3,439,819 | |||
United States (70.4%) | |||
Eli Lilly & Co. | 7,429,984 | 2,941,233 | |
UnitedHealth Group Inc. | 5,901,234 | 2,903,938 | |
Merck & Co. Inc. | 19,184,851 | 2,215,275 | |
Pfizer Inc. | 53,045,161 | 2,062,926 | |
* | Biogen Inc. | 4,638,428 | 1,411,149 |
Stryker Corp. | 4,489,243 | 1,345,202 | |
Abbott Laboratories | 11,672,803 | 1,289,495 | |
* | Boston Scientific Corp. | 23,063,484 | 1,202,069 |
Elevance Health Inc. | 2,560,815 | 1,200,126 | |
Danaher Corp. | 4,820,647 | 1,142,059 | |
Thermo Fisher Scientific Inc. | 2,024,414 | 1,123,347 | |
Humana Inc. | 2,102,867 | 1,115,550 | |
* | Vertex Pharmaceuticals Inc. | 2,960,227 | 1,008,638 |
* | Alnylam Pharmaceuticals Inc. | 4,718,518 | 939,929 |
* | Regeneron Pharmaceuticals Inc. | 1,151,096 | 922,937 |
* | Edwards Lifesciences Corp. | 9,662,088 | 850,070 |
HCA Healthcare Inc. | 2,955,594 | 849,231 | |
Zoetis Inc. | 4,787,260 | 841,505 | |
* | Seagen Inc. | 3,780,620 | 756,124 |
* | Centene Corp. | 8,903,692 | 613,731 |
Agilent Technologies Inc. | 3,576,445 | 484,358 | |
* | Insulet Corp. | 1,488,014 | 473,248 |
* | Moderna Inc. | 3,493,282 | 464,222 |
* | agilon health Inc. | 14,265,479 | 346,223 |
* | Apellis Pharmaceuticals Inc. | 4,101,050 | 342,151 |
* | IQVIA Holdings Inc. | 1,797,052 | 338,259 |
Laboratory Corp. of America Holdings | 1,485,818 | 336,850 | |
Teleflex Inc. | 1,217,493 | 331,791 | |
* | Align Technology Inc. | 909,029 | 295,707 |
* | Illumina Inc. | 1,377,704 | 283,201 |
* | Waters Corp. | 811,122 | 243,629 |
* | Sarepta Therapeutics Inc. | 1,904,084 | 233,764 |
* | Molina Healthcare Inc. | 729,664 | 217,360 |
* | Acadia Healthcare Co. Inc. | 2,711,116 | 195,987 |
* | Exact Sciences Corp. | 2,807,222 | 179,859 |
* | United Therapeutics Corp. | 733,658 | 168,837 |
* | Karuna Therapeutics Inc. | 765,799 | 151,965 |
* | Alkermes plc | 4,619,968 | 131,900 |
* | Cytokinetics Inc. | 3,334,530 | 124,711 |
* | Denali Therapeutics Inc. | 5,003,477 | 124,286 |
*,3 | Reata Pharmaceuticals Inc. Class A | 1,237,211 | 122,311 |
* | Blueprint Medicines Corp. | 2,379,137 | 121,455 |
*,1 | Agios Pharmaceuticals Inc. | 5,148,413 | 117,744 |
* | Mirati Therapeutics Inc. | 2,560,960 | 113,476 |
Encompass Health Corp. | 1,753,507 | 112,487 |
Shares | Market Value ($000) | ||
* | Vaxcyte Inc. | 2,365,953 | 101,334 |
* | REVOLUTION Medicines Inc. | 3,968,987 | 93,232 |
* | TG Therapeutics Inc. | 3,066,304 | 76,136 |
* | Syneos Health Inc. | 1,911,256 | 75,036 |
* | Sage Therapeutics Inc. | 1,406,483 | 68,707 |
* | PTC Therapeutics Inc. | 1,235,744 | 68,139 |
* | Prothena Corp. plc | 1,293,898 | 68,085 |
* | Syndax Pharmaceuticals Inc. | 3,092,082 | 63,542 |
* | Evolent Health Inc. Class A | 1,734,142 | 63,140 |
* | Shockwave Medical Inc. | 214,553 | 62,255 |
* | Surgery Partners Inc. | 1,504,178 | 59,656 |
* | Intellia Therapeutics Inc. | 1,534,651 | 57,933 |
* | Ultragenyx Pharmaceutical Inc. | 1,245,879 | 54,408 |
* | Amedisys Inc. | 603,050 | 48,425 |
* | Rocket Pharmaceuticals Inc. | 2,571,100 | 46,074 |
* | Kymera Therapeutics Inc. | 1,442,019 | 45,481 |
* | Glaukos Corp. | 934,746 | 44,410 |
* | Celldex Therapeutics Inc. | 1,384,641 | 43,533 |
* | Amicus Therapeutics Inc. | 3,307,491 | 38,168 |
* | Intra-Cellular Therapies Inc. | 533,728 | 33,171 |
* | Xenon Pharmaceuticals Inc. | 620,627 | 24,999 |
* | 2seventy bio Inc. | 2,046,666 | 19,464 |
34,045,643 | |||
Total Common Stocks (Cost $28,381,266) | 47,467,653 | ||
Temporary Cash Investments (1.7%) | |||
Money Market Fund (0.0%) | |||
4,5 | Vanguard Market Liquidity Fund 4.853% | 221,693 | 22,167 |
Face Amount ($000) | |||
Repurchase Agreements (1.7%) | |||
Bank of America Securities, LLC, 4.800%, 5/1/23 (Dated 4/28/23, Repurchase Value $62,325,000, collateralized by U.S. Treasury Note/Bond 0.500%, 4/30/27, with a value of $63,546,000) | 62,300 | 62,300 | |
Bank of Nova Scotia, 4.750%, 5/1/23 (Dated 4/28/23, Repurchase Value $129,851,000, collateralized by U.S. Treasury Bill 0.000%, 6/6/23–3/21/24, U.S. Treasury Inflation Indexed Note/Bond 5.166%, 10/31/23, and U.S. Treasury Note/Bond 0.125%–5.375%, 4/30/23–11/15/48, with a value of $132,448,000) | 129,800 | 129,800 | |
Barclays Capital Inc., 4.750%, 5/1/23 (Dated 4/28/23, Repurchase Value $40,716,000, collateralized by U.S. Treasury Note/Bond 2.250%, 5/15/41, with a value of $41,514,000) | 40,700 | 40,700 | |
BNP Paribas Securities Corp., 4.760%, 5/1/23 (Dated 4/28/23, Repurchase Value $50,020,000, collateralized by U.S. Treasury Bill 0.000%, 9/14/23–9/21/23, and U.S. Treasury Note/Bond 0.250%–4.625%, 6/15/23–11/15/44, with a value of $51,000,000) | 50,000 | 50,000 | |
BNP Paribas Securities Corp., 4.800%, 5/1/23 (Dated 4/28/23, Repurchase Value $54,022,000, collateralized by Fannie Mae 3.290%–5.000%, 7/1/30–12/1/48, U.S. Treasury Bill 0.000%, 10/26/23, and U.S. Treasury Note/Bond 0.250%–6.750%, 7/31/25–8/15/49, with a value of $55,080,000) | 54,000 | 54,000 | |
Credit Agricole Securities, 4.750%, 5/1/23 (Dated 4/28/23, Repurchase Value $43,417,000, collateralized by U.S. Treasury Note/Bond 2.250%, 8/15/27, with a value of $44,268,000) | 43,400 | 43,400 |
Face Amount ($000) | Market Value ($000) | ||
HSBC Bank USA, 4.760%, 5/1/23 (Dated 4/28/23, Repurchase Value $26,811,000, collateralized by U.S. Treasury Bill 0.000%, 6/22/23, with a value of $27,336,000) | 26,800 | 26,800 | |
HSBC Bank USA, 4.800%, 5/1/23 (Dated 4/28/23, Repurchase Value $38,015,000, collateralized by Fannie Mae 2.000%–4.500%, 2/1/28–4/1/53, and Freddie Mac 1.500%–4.000%, 11/1/30–7/1/51, with a value of $38,760,000) | 38,000 | 38,000 | |
JP Morgan Securities LLC, 4.780%, 5/1/23 (Dated 4/28/23, Repurchase Value $16,006,000, collateralized by U.S. Treasury Bill 0.000%, 7/6/23, and U.S. Treasury Note/Bond 0.375%–3.000%, 9/15/24–2/15/48, with a value of $16,320,000) | 16,000 | 16,000 | |
Natixis SA, 4.750%, 5/1/23 (Dated 4/28/23, Repurchase Value $126,950,000, collateralized by Federal Home Loan Bank 3.000%, 2/24/37, U.S. Treasury Inflation Indexed Note/Bond 0.125%–1.375%, 4/15/24–2/15/49, and U.S. Treasury Note/Bond 1.250%–4.375%, 8/31/24–8/15/51, with a value of $129,438,000) | 126,900 | 126,900 | |
Nomura International plc, 4.780%, 5/1/23 (Dated 4/28/23, Repurchase Value $123,249,000, collateralized by Federal Home Loan Bank 0.000%–5.000%, 2/28/25–5/3/23, U.S. Treasury Inflation Indexed Note/Bond 0.875%, 2/15/47, and U.S. Treasury Note/Bond 0.250%–3.875%, 3/31/25–5/15/43, with a value of $125,664,000) | 123,200 | 123,200 | |
RBC Capital Markets LLC, 4.760%, 5/1/23 (Dated 4/28/23, Repurchase Value $95,038,000, collateralized by Fannie Mae 3.500%–5.000%, 2/1/43–10/1/52, Freddie Mac 4.500%, 7/1/52, U.S. Treasury Bill 0.000%, 8/17/23, and U.S. Treasury Inflation Indexed Note/Bond 5.116%–5.271%, 10/31/23–10/31/24, with a value of $96,900,000) | 95,000 | 95,000 | |
806,100 | |||
Total Temporary Cash Investments (Cost $828,268) | 828,267 | ||
Total Investments (99.8%) (Cost $29,209,534) | 48,295,920 | ||
Other Assets and Liabilities—Net (0.2%) | 82,899 | ||
Net Assets (100%) | 48,378,819 | ||
Cost is in $000. |
* | Non-income-producing security. |
1 | Considered an affiliated company of the fund as the fund owns more than 5% of the outstanding voting securities of such company. |
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 April 30, 2023, the aggregate value was $198,463,000, representing 0.4% of net assets. |
3 | Includes partial security positions on loan to broker-dealers. The total value of securities on loan is $21,407,000. |
4 | Affiliated money market fund available only to Vanguard funds and certain trusts and accounts managed by Vanguard. Rate shown is the 7-day yield. |
5 | Collateral of $22,073,000 was received for securities on loan. |
ADR—American Depositary Receipt. |
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. Temporary cash investments are valued using the latest bid prices or using valuations based on a matrix system (which considers such factors as security prices, yields, maturities, and ratings), both as furnished by independent pricing services.
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. Repurchase Agreements: The fund enters into repurchase agreements with institutional counterparties. Securities pledged as collateral to the fund under repurchase agreements are held by a custodian bank until the agreements mature, and in the absence of a default, such collateral cannot be repledged, resold, or rehypothecated. Each agreement requires that the market value of the collateral be sufficient to cover payments of interest and principal. The fund further mitigates its counterparty risk by entering into repurchase agreements only with a diverse group of prequalified counterparties, monitoring their financial strength, and entering into master repurchase agreements with its counterparties. The master repurchase agreements provide that, in the event of a counterparty's default (including bankruptcy), the fund may terminate any repurchase agreements with that counterparty, determine the net amount owed, and sell or retain the collateral up to the net amount owed to the fund. Such action may be subject to legal proceedings, which may delay or limit the disposition of collateral.
D. Various inputs may be used to determine the value of the fund’s investments. 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 valued with significant unobservable inputs are noted on the Schedule of Investments.
The following table summarizes the market value of the fund’s investments as of April 30, 2023, based on the inputs used to value them:
Level 1 ($000) | Level 2 ($000) | Level 3 ($000) | Total ($000) | |
Investments | ||||
Assets | ||||
Common Stocks—North and South America | 34,050,573 | — | — | 34,050,573 |
Common Stocks—Other | 692,023 | 12,725,057 | — | 13,417,080 |
Temporary Cash Investments | 22,167 | 806,100 | — | 828,267 |
Total | 34,764,763 | 13,531,157 | — | 48,295,920 |
E. Certain of the fund’s investments are in companies that are considered to be affiliated companies of the fund because the fund owns more than 5% of the outstanding voting securities of the company or the issuer is another member of The Vanguard Group. Transactions during the period in securities of these companies were as follows:
Current Period Transactions | ||||||||
Jan. 31, 2023 Market Value ($000) | Purchases at Cost ($000) | Proceeds from Securities Sold ($000) | Realized Net Gain (Loss) ($000) | Change in Unrealized App. (Dep.) ($000) | Income ($000) | Capital Gain Distributions Received ($000) | Apr. 30, 2023 Market Value ($000) | |
2seventy bio Inc. | 27,835 | — | — | — | (8,371) | — | — | NA1 |
Agios Pharmaceuticals Inc. | 151,775 | — | — | — | (34,031) | — | — | 117,744 |
Eisai Co. Ltd. | 1,152,216 | 47,189 | — | — | (76,503) | 10,555 | — | 1,122,902 |
Ironwood Pharmaceuticals Inc. Class A | 125,592 | — | 113,327 | (6,333) | (5,932) | — | — | — |
UCB SA | 896,839 | — | — | — | 118,548 | 11,227 | — | 1,015,387 |
Vanguard Market Liquidity Fund | 669 | NA2 | NA2 | 2 | (1) | — | — | 22,167 |
Total | 2,354,926 | 47,189 | 113,327 | (6,331) | (6,290) | 21,782 | — | 2,278,200 |
1 | Not applicable—at April 30, 2023, the security was still held, but the issuer was no longer an affiliated company of the fund. |
2 | Not applicable—purchases and sales are for temporary cash investment purposes. |