Gmail - Vanguard and securities lending
Transcription
Gmail - Vanguard and securities lending
Gmail - Vanguard and securities lending 1 of 3 https://mail.google.com/mail/?ui=2&ik=2053465860&view=pt&q=vangu... Marc J. Ryan Ryan <[email protected]> Vanguard and securities lending 3 messages Independent Investor <[email protected]> To: [email protected] Bcc: marc ryan <[email protected]> Thu, Sep 15, 2011 at 4:47 PM Rebecca I publish a site on investing for Canadian do-it-youself investors: IndependentInvestor.info and InvestisseurAutonome.info . I have written (very positively) about Vanguard in the past (see The Vanguard Group, Inc. and Canadian investors) and am delighted that Vanguard ETF's are coming to Canada. In that regard I have a question. In the US Vanguard has stated that securities lending profits are returned to the fund, contrary to the practices of most other fund managers: Vanguard returns all net lending revenues—after subtracting program costs, agent fees, and any broker rebates—back to the funds.8 These securities-lending practices help ensure a superior risk–reward trade-off inthe best interests of Vanguard’s clients. See p. 8 of Vanguard Will Vanguard follow the same approach in Canada? Marc J. Ryan, founder and publisher, IndependentInvestor.info Be smart: index invest. For why, see below: - Investir de façon indicielle: c'est intelligent. Pour savoir pourquoi, voir ce qui suit: www.independentinvestor.info - www.investisseurautonome.info www.linkedin.com/in/independentinvestor www.twitter.com/DIYInvestor - www.twitter.com/Investautonome CONFIDENTIALITY NOTICE/AVIS DE CONFIDENTIALITÉ This communication may contain privileged or confidential information. If you are not the intended recipient or received this communication by error, please notify the sender and delete the message. / Ce message peut contenir de l'information légalement privilégiée ou confidentielle. Si vous n'êtes pas le destinataire ou croyez avoir reçu par erreur ce message, nous vous saurions gré d'en aviser l'émetteur et d'en détruire le contenu sans le communiquer à d'autres ou le reproduire. [email protected] <[email protected]> To: Independent Investor <[email protected]> Mon, Sep 19, 2011 at 4:29 PM Hi, Marc: Thank you for your kind words of support! We are very pleased to be in Canada and looking forward to the launch of our first suite of ETFs and then subsequent additions over time. Yes, globally we follow the same approach, returning securities lending revenue back to the funds. And of course, we have an extremely conservative sec lending practice, limiting the amount of lending that we do and requiring 13/03/2012 4:36 PM Gmail - Vanguard and securities lending 2 of 3 https://mail.google.com/mail/?ui=2&ik=2053465860&view=pt&q=vangu... over-collatalization from borrowers. Since we're not pocketing any of the revenue, there really is no incentive for us to take undue risks with our client's assets - we only do it where we can add incremental value in a very risk-controlled way. Maybe this paper is of interest? https://advisors.vanguard.com/VGApp/iip/site/advisor/researchcommentary/research/article/IWE_InvResFreeLunch Let me know if I can be of future help - would you like me to add you to my press list? Rebecca --------------------------------Rebecca Katz Principal -- Public Relations Vanguard work- 610.503.2273 mobile - 484.947.3956 www.vanguard.com/pressroom Independent Investor <[email protected]> Sent by: [email protected] 09/15/2011 04:47 PM To [email protected] cc Subject Vanguard and securities lending [Quoted text hidden] [Quoted text hidden] [Quoted text hidden] CONFIDENTIALITY STATEMENT. The information contained in this e-mail message, including attachments, is the confidential information of, and/or is the property of, Vanguard. The information is intended for use solely by the individual or entity named in the message. If you are not an intended recipient or you received this in error, then any review, printing, copying, or distribution of any such information is prohibited, and please notify the sender immediately by reply e-mail and then delete this e-mail from your system. Independent Investor <[email protected]> To: [email protected] Bcc: marc ryan <[email protected]> Mon, Sep 19, 2011 at 4:54 PM Rebecca Thank you for your quick and clear reply. Please add me to your press list. Marc Ryan [Quoted text hidden] -Marc J. Ryan [Quoted text hidden] 13/03/2012 4:36 PM Gmail - Vanguard and securities lending 3 of 3 https://mail.google.com/mail/?ui=2&ik=2053465860&view=pt&q=vangu... 13/03/2012 4:36 PM