New Vanguard fixed interest ETF now trading on the ASX

Vanguard | 31 October 2012


Vanguard's new fixed interest ETF began trading on the ASX today under the ticker code VAF.

VAF provides investors with an efficient way to access a diverse range of high quality Australian fixed income securities at a management cost of just 0.20 per cent.

Stephen Howard, head of Fixed Income at Vanguard Australia said: “This new ETF joins our Government Bond ETF which we launched earlier this year, broadening the choice for ETF investors seeking to diversify their portfolio with this defensive asset class”.

“VAF is a broad market ETF which includes allocations to Australian government, semi-government and corporate bonds.”

Fund Name

ASX Code

Fund Objective

Underlying fund size

Fee p.a.

Vanguard® Australian Fixed Interest Index ETF


Seeks to match the return (income and capital appreciation) of the UBS Composite Bond Index before taking into account fund fees, expenses and tax.

A$3.8 billion

0.20 %

This new fund brings Vanguard’s range of ETFs for Australian investors to nine, with over half a billion in funds under management as at 30 September 2012.

For further information on Vanguard’s range of ETFs and educational resources on fixed income investing please visit our website at

* In addition to the low management costs, investors may also incur brokerage and a bid ask spread when buying and selling ETFs on the ASX.

Vanguard Investments Australia Ltd (ABN 72 072 881 086 / AFSL 227263) (Vanguard) is the issuer of the Vanguard® Australian ETFs. Vanguard ETFs will only be issued to Authorised Participants, that is, persons who have entered into an Authorised Participant Agreement with Vanguard. Retail investors can transact in Vanguard ETFs through a stockbroker or financial adviser on the secondary market. Investors should consider the relevant Product Disclosure Statement (PDS) or Prospectus in deciding whether to acquire the Vanguard ETFs. Retail investors can only use the Prospectus and PDS for informational purposes. We have not taken your circumstances into account when preparing this publication so it may not be applicable to your circumstances. You should consider your circumstances and the relevant PDS and/or Prospectus before making any investment decision. You can access the relevant PDSs and/or Prospectus at This publication was prepared in good faith and we accept no liability for any errors or omissions. Past performance is not an indication of future performance.

The mark and name UBS Composite Bond IndexTM is proprietary to UBS AG (“UBS”). Any use of this index or its name must be with the express written consent of UBS AG acting through its Australia Branch. UBS has agreed to the use of, and reference to the UBS Composite Bond IndexTM (the “Index”) by us in connection with the Vanguard Australian Fixed Interest Index ETF (the “ETF”) and this Media Release, and the ETF is not in any way sponsored, endorsed or promoted by UBS. UBS assumes no responsibility for this Media Release or the ETF. Vanguard assumes sole responsibility for producing this marketing material, which has not been reviewed by UBS AG.

© 2012 Vanguard Investments Australia Ltd. All rights reserved.