VANGUARD TAX-MANAGED BALANCED FUND

VANGUARD TAX-MANAGED FUNDS · Series S000004383 · 1 share classes

Bond fund · 53% debt· rate + credit risk filed
One fund, 1 share classes:VTMFX
$12.25B NAV
4,770 positions · as of 2026-06-30 · filed 2026-08-28
data updated 2026-09-08

Fund profile

As filed in the prospectus · 2026 Q2

Vanguard Tax-Managed Balanced Fund (the Fund) seeks to provide a tax-efficient return consisting of federally tax-exempt income, long-term capital appreciation, and a modest amount of taxable current income.

Strategy · summarised

The fund invests approximately 50% to 55% of assets in high-quality municipal securities with a dollar-weighted average maturity of 6 to 12 years, and allocates the remainder primarily to common stocks sampled from the Russell 1000 Index to approximate its risk factors and characteristics while minimizing capital gains and income taxes. Because the fund must maintain at least 50% of assets in tax-exempt obligations at quarter-end to distribute tax-exempt income, it may be required to sell equity securities to meet this threshold, which can trigger capital gains distributions. The fund's use of statistical sampling means its equity holdings may diverge from the Russell 1000 Index.

Expenses
0.05%one share class
Share classExpense ratio
VTMFX0.05%

Portfolio turnover 15.00% · as of 2026 Q2

Allocation

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

99.76%
of net assets
Bonds52.55%
Stocks46.96%
Securitized0.24%
Derivatives0.01%
Cash & short-term0.00%

Look-through blends 1 underlying fund; 0.0% of NAV was not looked through and stays direct-classified.

Latest quarter

What changed since the fund's previous filing

2026Q2 vs 2026Q1: 283 new217 exited

Largest new: City of New York NY ×2, Massachusetts Health & Educational Facilities Authority, California Community Choice Financing Authority, Black Belt Energy Gas District ×2, New York State Dormitory Authority, Kentucky Public Energy Authority

Largest exited: Metropolitan Transportation Authority, New York City Municipal Water Finance Authority, Louisville/Jefferson County Metropolitan Government, State of Ohio, City of New York NY ×2, Illinois Finance Authority, City of Minneapolis MN

Return profile

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

1-year
+17.60%
3-year
+40.97%
5-year
+38.72%
Volatility
7.51%
Worst 3-yr fall
-6.17%
Cumulative return· Jul 2023 – Apr 2026

May 2026 and Jun 2026 have been filed since the trailing figures were struck, so they are not in the table above or the curve — every figure here shares one cut-off, which is what makes them comparable with other funds.

Debt profile

What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-06-30

Avg coupon
4.52%
Avg maturity
13.85 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.

21%
floating
Fixed rate77.0%
Floating rate20.8%
Zero-coupon or unclassified2.2%
Maturity ladder

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

<1y10y+
<1y1.9%
1-3y4.0%
3-5y5.5%
5-10y25.9%
10y+62.8%
Flagged holdings
Defaulted: 0.00% · $0.00M · 5 positions
In arrears: 0.00% · $0.00M · 4 positions
Paid in kind: none reported

These three overlap — one holding can be in arrears and paying in kind at once — so they are shown separately and never summed.

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
3.24 yr
approx. move per 100bp
Credit-spread duration
2.69 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.

≈ -6.0%
of value
Interest rates55%
Credit spreads45%

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.

+2.69
yrs total
Investment grade+2.66 yr
High yield+0.03 yr
Where the risk sits on the curve

Share of duration at each point, shortest first. This filer signs its rate and credit disclosures differently; the direction shown follows its interest-rate filing, and a negative reading is the least-supported figure here.

Interest rate3.24 yr total
3 mo30 yr
3 mo0.00 yr0%
1 yr0.21 yr7%
5 yr0.87 yr27%
10 yr1.72 yr53%
30 yr0.43 yr13%
Credit spread2.69 yr total
3 mo30 yr
3 mo0.01 yr0%
1 yr0.17 yr6%
5 yr0.70 yr26%
10 yr1.44 yr54%
30 yr0.37 yr14%

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+0.00+0.01+0.00$11.8k$113
1 yr+0.21+0.17+0.00$207.2k$2.5k
5 yr+0.87+0.69+0.01$845.7k$11.1k
10 yr+1.72+1.43+0.02$1.75m$20.3k
30 yr+0.43+0.36+0.00$447.0k$2.1k

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

Holdings

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

Issuer%NAVValue
NVIDIA CorpNVDA3.22%$394.43M
Apple IncAAPL2.88%$352.92M
Microsoft CorpMSFT1.90%$233.11M
Amazon.com IncAMZN1.57%$192.90M
Alphabet IncGOOG1.44%$175.92M
Broadcom IncAVGO1.20%$146.80M
Alphabet IncGOOGL1.14%$139.97M
Micron Technology IncMU0.89%$108.65M
Meta Platforms IncMETA0.85%$103.80M
Tesla IncTSLA0.82%$100.53M
Showing 10 of 4,770Sign in to see more

Reported price is the fund's own reported value divided by its own reported shares at 2026-06-30 — not a live quote, and not what the fund paid.

Top 10 positions are 15.91% of net assets, top 25 22.57%, across 2.0K issuers.

See more of this fund's book

More positions with filed share counts, and the quarter-over-quarter change list rather than the largest few — free with an account, no card required.

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