VANGUARD LONG-TERM INVESTMENT-GRADE FUND

VANGUARD FIXED INCOME SECURITIES FUNDS · 2 share classes

Actively managed U.S. bond fund
One fund, 2 share classes:VWESXVWETX
$10.13B NAV
1,321 positions · as of 2026-04-30 · filed 2026-06-26

Fund classification

Classified from what the fund holds · as of 2026 Q2

VANGUARD LONG-TERM INVESTMENT-GRADE FUND is an actively managed U.S. bond fund.

Asset class
Bonds
Region
United States
Management
Actively managed
Fund type
Open-end fund
Credit quality
Investment grade
Rate sensitivity
Long duration

Fund profile

As filed in the prospectus · 2026 Q2

Vanguard Long-Term Investment-Grade Fund (the Fund) seeks to provide a high and sustainable level of current income.

Strategy · summarised

The fund employs multiple independent investment advisors who actively select investment-grade fixed income securities, maintaining a dollar-weighted average maturity within five years of its benchmark's 21.9-year maturity. Because each advisor independently constructs its own portfolio, the fund's overall composition and performance will reflect the divergent security selections and maturity decisions of its managers.

Expenses
0.10% 0.21%across 2 share classes
Share classExpense ratio
VWESX0.21%
VWETX0.10%

Portfolio turnover 60.00% · as of 2026 Q2

Allocation

Asset groups · long / short shown separately, never netted · 2026 Q2

99.80%
of net assets
Bonds97.27%
Cash & short-term1.79%
Securitized0.56%
Derivatives0.18%

Derivatives are shown at market value, not notional exposure.

Sector allocation

The same holdings as Allocation above, grouped by market sector instead of asset type · as of 2026 Q2

100%
of net assets
Government15.9%
Other14.8%
Utilities14.2%
Financials13.0%
12 smaller42.2%

Government, Securitized and Cash are non-corporate buckets; International is foreign holdings we don’t sector-classify, and Other is the residual (held funds, unresolved names).

Latest quarter

What changed since the fund's previous filing

2026Q2 vs 2026Q1: 109 new141 exited

Largest new: Amazon.com Inc ×3, Morgan Stanley, Salesforce Inc, RD Michigan Property Owner I LLC, HSBC Holdings PLC, Alphabet Inc

Largest exited: Honeywell International Inc, Standard Chartered PLC, QUALCOMM Inc, Lloyds Banking Group PLC, Banco Santander SA, Citigroup Inc, Israel Government International Bond, Nasdaq Inc

Return profile

Chart:

Total return as filed — price change plus distributions reinvested · trailing figures to Apr 2026

Share class1-year3-year5-yearVolWorst fall
+4.69%+6.09%-11.13%6.35%-13.28%
+4.81%+6.42%-10.67%6.35%-13.24%

These classes hold the same portfolio, so the 0.46pp spread over 5 years is the cost difference between them — roughly 0.09pp a year — not a difference in what they own.

Cumulative return· May 2023 – Apr 2026

Debt profile

What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-04-30

Avg coupon
4.61%
Avg maturity
22.39 yr
Coupon type

Share of the fund's debt by how its coupon behaves — the fact that decides whether a rate move reaches this portfolio at all.

11%
floating
Fixed rate89.5%
Floating rate10.5%
Maturity ladder

Share of the fund's debt value in each maturity band, shortest first.

1-3y10y+
1-3y0.0%
3-5y0.0%
5-10y2.0%
10y+98.0%
Flagged holdings
Defaulted: none reported
In arrears: none reported
Paid in kind: none reported

Based on what filers reported; a filer that never reported a flag also reads as none.

Risk profile

Interest-rate and credit-spread sensitivity, both in years · as of 2026Q2

Most of this fund’s sensitivity is to interest rates, with credit spreads carrying nearly as much.

Interest-rate duration
12.09 yr
approx. move per 100bp
Credit-spread duration
10.47 yr
approx. move per 100bp
If rates and spreads both rise 100bp

Where the loss would come from. The two shocks are the same size, so this is the balance of the fund's two sensitivities rather than a bet on one moving more.

≈ -22.5%
of value
Interest rates54%
Credit spreads46%

Filers report the impact of a 0.01% move only, so the total is our own scaling of that one number and overstates the loss on most bonds — read it as approximate, never as precise. The two sensitivities overlap rather than add up: they measure the same positions against different shocks, which is why the durations above are shown side by side and never summed.

Credit risk by quality

Share of the fund's spread duration carried by each credit tier.

+10.47
yrs total
Investment grade+10.46 yr
High yield+0.01 yr
Where the risk sits on the curve

Share of duration at each point, shortest first. A positive figure loses value when spreads widen; a negative one offsets — a credit hedge.

Interest rate12.09 yr total
3 mo30 yr
3 mo0.02 yr0%
1 yr0.23 yr2%
5 yr0.94 yr8%
10 yr5.87 yr49%
30 yr5.04 yr42%
Credit spread10.47 yr total
3 mo30 yr
3 mo0.01 yr0%
1 yr0.20 yr2%
5 yr0.82 yr8%
10 yr5.01 yr48%
30 yr4.44 yr42%

The two bands measure the same positions against different shocks and do not add — a Treasury carries rate duration and no spread duration, a floating-rate credit the reverse. Rate tenors are also summed across every currency the fund discloses.

Show the numbers
TenorRate yrsIG yrsHY yrsIG $/bpHY $/bp
3 mo+0.02+0.01+0.00$9.6k$24
1 yr+0.23+0.20+0.00$200.3k$630
5 yr+0.94+0.81+0.00$823.4k$2.6k
10 yr+5.87+5.00+0.01$5.07m$8.1k
30 yr+5.04+4.44+0.00$4.49m$2.8k

Dollar change per 1bp of spread movement, as filed and sign-anchored. A blank cell was not filed; a zero was.

Rate exposure by currency

Duration contribution in years, summing to the fund's 12.09 yr.

USD+12.09 yr
JPY-0.00 yr
GBP+0.00 yr
EUR+0.00 yr
AUD-0.00 yr

This is where the fund's rate exposure sits, not its currency risk — most international bond funds hedge the currency back to dollars, and the size of those hedges is not in the filing. Tenors are also summed across curves, so a 5-year JPY point and a 5-year USD point are added together.

Holdings

By % of NAV · equity positions carry filed share counts · every resolvable issuer links to its company page

Issuer%NAVValue
Vanguard Cmt Funds-Vanguard Market Liquidity Fund1.66%$168.61M
Anheuser-Busch Cos LLC / Anheuser-Busch InBev Worldwide Inc4.90% · due 2046-02-011.19%$120.32M
United States Treasury Note/Bond3.63% · due 2053-02-150.70%$70.50M
Broadcom Inc4.90% · due 2038-02-150.65%$65.69M
Microsoft Corp2.52% · due 2050-06-010.64%$64.29M
JPMorgan Chase & Co3.96% floating · due 2048-11-150.63%$64.19M
AbbVie Inc4.25% · due 2049-11-210.59%$59.66M
Wells Fargo & Co5.01% floating · due 2051-04-040.58%$58.92M
Pfizer Investment Enterprises Pte Ltd5.11% · due 2043-05-190.51%$51.86M
Morgan Stanley3.97% floating · due 2038-07-220.50%$50.83M
Showing 10 of 1,321Sign in to see more

Top 10 positions are 7.65% of net assets, top 25 14.01%, across 410 issuers.

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