A. Security Valuation: Investments are valued at the net asset value of each underlying Vanguard fund determined as of the close of the New York Stock Exchange (generally 4 p.m., Eastern time) on the valuation date.
B. 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.
At July 31, 2024, 100% of the market value of the fund's investments was determined based on Level 1 inputs.
C. Transactions during the period in affiliated underlying Vanguard funds were as follows:
| | | Current Period Transactions | |
| | Oct. 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) | Jul. 31, 2024
Market Value
($000) |
| Vanguard Explorer Fund | 772,868 | 7,069 | 86,848 | (7,084) | 230,706 | 4,647 | 2,422 | 916,711 |
| Vanguard GNMA Fund | 2,611,263 | 73,167 | — | — | 207,492 | 73,169 | — | 2,891,922 |
| Vanguard International Growth Fund | 1,845,864 | 38,792 | 146,640 | (36,083) | 511,811 | 21,427 | 17,365 | 2,213,744 |
| Vanguard International Value Fund | 1,959,955 | 60,148 | 114,250 | 15,701 | 302,456 | 60,148 | — | 2,224,010 |
| Vanguard Long-Term Investment-Grade Fund | 2,483,609 | 102,800 | 12,949 | (3,848) | 341,743 | 102,803 | — | 2,911,355 |
| Vanguard Market Liquidity Fund | 991 | NA1 | NA1 | (2) | — | 25 | — | 3 |
| Vanguard PRIMECAP Fund | 1,250,751 | 94,760 | 226,355 | 103,624 | 161,771 | 14,542 | 80,219 | 1,384,551 |
| Vanguard Short-Term Investment-Grade Fund | 2,704,805 | 81,462 | 14,914 | (611) | 118,673 | 81,076 | — | 2,889,415 |
| Vanguard U.S. Growth Fund | 2,473,800 | 7,884 | 655,197 | 315,269 | 593,799 | 7,884 | — | 2,735,555 |
| Vanguard Windsor Fund | 1,624,611 | 144,508 | 168,032 | 9,220 | 231,422 | 38,018 | 106,490 | 1,841,729 |
| Vanguard Windsor II Fund | 2,954,631 | 165,948 | 423,620 | 116,095 | 548,670 | 55,860 | 110,088 | 3,361,724 |
| Total | 20,683,148 | 776,538 | 1,848,805 | 512,281 | 3,248,543 | 459,599 | 316,584 | 23,370,719 |
| 1 | Not applicable—purchases and sales are for temporary cash investment purposes. |
