VCEB

Vanguard ESG U.S. Corporate Bond ETF

$63.68

+0.00%

Market closed. Last update: 11:57 AM ET

📎 Investment Objective

The Vanguard ESG U.S. Corporate Bond ETF seeks to track the performance of a benchmark index that measures the investment-grade, U.S. dollar-denominated, taxable corporate bond market, while excluding bonds from companies involved in certain activities deemed inconsistent with ESG (environmental, social, and governance) principles.

Overview

ETF tracking Vanguard ESG U.S. Corporate Bond ETF

Category Fixed Income

Issuer Vanguard

Inception Date 2020-09-24

Market Cap $905.8M

Average Volume N/A

Dividend Yield 3.79%

52-Week Range $61.23 - $64.83

VWAP $63.78

Performance

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Investment Summary

📎 Investment Objective

🎯 Investment Strategy

The ETF employs a passively managed, full-replication approach, seeking to track the performance of the Bloomberg MSCI US Corporate SRI Select Index. The index includes U.S. corporate bonds that meet certain ESG criteria, as determined by MSCI's ESG research. The fund does not lend securities and has a low portfolio turnover rate.

✨ Key Features

Provides exposure to investment-grade U.S. corporate bonds with a focus on ESG factors
Tracks a benchmark index that screens out companies involved in certain activities deemed inconsistent with ESG principles
Employs a passive, full-replication investment strategy to closely match the index performance
Relatively low expense ratio compared to actively managed ESG bond funds

⚠️ Primary Risks

Interest rate risk: The value of the fund's holdings may decline due to rising interest rates
Credit risk: The possibility that a bond issuer will fail to make timely payments of interest and principal
ESG screening risk: The fund's ESG screening criteria may exclude certain securities, which could underperform the broader bond market
Liquidity risk: The potential difficulty in buying or selling certain bonds, especially during times of market stress

👤 Best For

The Vanguard ESG U.S. Corporate Bond ETF may be suitable for investors seeking exposure to investment-grade U.S. corporate bonds with a focus on ESG factors, as part of a diversified fixed-income portfolio. It may be particularly appealing to investors who prioritize sustainable and responsible investing principles.