We covered a lot of information. In addition to that, we do currently report holdings, detailed portfolio holdings to the SEC at the end of every month. Justin Schwartz: And we have a municipal product, Short-Term Tax-Exempt Fund, that has a similar maturity and duration profile to the ultra-short-term taxable fund that is available for clients as well who desire the tax-exempt income. Source: Vanguard. The board of directors at that point has the opportunity to decide if they want to go ahead and present a fee, a redemption fee, or gate, where they control the flow above the cash they go ahead and leave. All investing is subject to risk, including the possible loss of the money you invest. Monday through Friday 8 a.m. to 8 p.m., Eastern time The fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the fund's liquidity falls below required minimums because of market conditions or other factors. It is important to note that they can continue to use all the Vanguard money market funds as they do today with the exception of settling brokerage trades.

This will be taken out to the fourth decimal place. I mean, a money market fund allows investors to go ahead and transact in their portfolios all the time. David Glocke: Really, I mean, on the taxable side, there's not a lot of changes other than enhancing the amount of liquidity. In addition to that, we'll be posting daily shareholder cash flows on the web page so shareholders will have a better insight into what's going on to the fund day in and day out. will have a money market settlement fund (which will be opened with a zero balance) to pay for and receive proceeds from any trades you make. David Glocke: Sure. A mutual fund used to pay for and receive proceeds from trades in your brokerage account. Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world. Those are currently available on a 60-day lag and after April 14, our shareholders will be able to access those through the SEC's website. Your use of this site signifies that you accept our terms & conditions of use.Security  |  Prospectuses, Which Vanguard website would you prefer to reach directly when you visit us in the future? Box 2600 Investment objectives, risks, charges, expenses, and other important information about a fund are contained in the prospectus; read and consider it carefully before investing. The boards of directors of Vanguard's government funds have decided to impose neither fees nor gates. David Glocke: Not necessarily. However, the broker also allows its customers to completely bypass this core position and send an ACH deposit directly into any Vanguard mutual fund. © 1995–2020  The Vanguard Group, Inc. All rights reserved. Our government funds (the Cash Reserves Federal Money Market Fund and the Federal Money Market Fund**) seek to maintain a stable $1 NAV. The expense ratio for the Vanguard Federal Money Market Fund is 0.11%, the dividend yield is 1.89%, and the one-year total return is 1.83%. The fee is imposed at the discretion of the fund's board if weekly liquid assets drop below 30%. David Glocke: I think, really, for most Vanguard clients, there aren't a lot of changes that are going to impact the way that they use their money market funds today. So our shareholders are going to have some increased transparency into the portfolios, and that's going to take place through the website. Vanguard Federal Money Market Fund is the only fund that can be used to settle brokerage trades and isn't subject … Touch device users, explore by touch or with swipe gestures. Vanguard Federal Money Market Fund seeks current income while maintaining liquidity and a stable share price of $1 by investing in high-quality, short-term money market instruments. It's never a guarantee. © 2016 The Vanguard Group, Inc. All rights reserved. Amy Chain: Are there any strategies that investors should be considering to minimize the impact of these changes? The broker only provides one settlement fund for free cash balances.

footnote**You could lose money by investing in the fund. An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

And when it does, they'll just need to make sure that when they do a brokerage transaction that they're funding that account to settle the trade.