Vanguard

What Vanguard does

The Vanguard Group, Inc. is a privately held, investor-owned asset management firm founded in 1975 and headquartered in Malvern, Pennsylvania, operating under a unique mutual ownership structure in which the Vanguard funds own the company and fund shareholders therefore own Vanguard. This structure eliminates external shareholder profit demands and enables the firm to maintain industry-leading low costs, with an asset-weighted average mutual fund and ETF expense ratio of 0.07% versus an industry average of 0.44% as of December 2025.

Vanguard's product platform spans 482 mutual funds, a broad ETF lineup led by VOO (the first ETF to surpass $1 trillion in AUM), VTI, VUG, BND, and the newly launched VTG Treasury ETF, plus money market funds, individual stocks, bonds, and CDs. Surrounding account and service products include Traditional and Roth IRAs, 401(k) and 403(b) employer plans, 529 education savings, UGMA/UTMA custodial accounts, the Vanguard Cash Plus high-yield account, and tiered advisory services ranging from the Digital Advisor robo-platform to the Personal Advisor Select human-advisor offering for clients with $500,000+ (and estate planning services for those with $5M+ in Vanguard funds).

The firm serves over 50 million investors across individual retail, employer retirement plan sponsors, institutional asset owners (pensions, endowments), registered investment advisors, and education savers, distributing through vanguard.com direct, a dedicated institutional sales team, and a broker-dealer/RIA channel offering access to 3,000+ non-Vanguard funds. Revenue is generated primarily through asset-based management fees, with secondary contributions from brokerage transaction fees and advisory service fees; Vanguard does not publicly disclose standalone revenue. The company manages over $9 trillion in assets and has lowered expense ratios on its funds more than 2,100 times in its history.

Name

Vanguard

Legal name

The Vanguard Group, Inc.

Website

http://investor.vanguard.com/corporate-portal

Company type

Private

Founded year

1975

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

Vanguard is a privately held, investor-owned asset manager founded in 1975, offering low-cost mutual funds, ETFs, IRAs, 401(k) plans, and advisory services to over 50 million individual, institutional, and employer-plan investors across the U.S., U.K., and India.

Ownership category

akta.pro rank

Product category

Asset Management

NAICS

Portfolio Management and Investment Advice (523940), Portfolio Management and Investment Advice (52394), Open-End Investment Funds (525910), Open-End Investment Funds (52591), Funds, Trusts, and Other Financial Vehicles (525)

SIC

Investment Advice (6282), Security & Commodity Brokers, Dealers, Exchanges & Services (6200)

akta.pro primary industry

Full-Service Retail Brokerage & Wealth Platforms (FSAAAAAA)

akta.pro secondary industries

Financial Planning & Goals-Based Advice (Mass Affluent) (FSAAAAAF), Robo-Advisors & Digital Wealth Managers (FSAAAAAD), Retirement & Pension Wealth (401(k)/IRA/SIPP/Superannuation Retail) (FSAAAAAJ), Digital Wealth Platforms for Advisors (TAMP/Advisor Tech) (FSAGAEAH), Digital/Hybrid Robo-Wealth & Retirement Advisory (FSAEABAK), Retirement & Distribution Planning RIAs (401(k)/IRA/Pension Rollovers) (FSAAACAE)

Keywords

• Low-cost mutual funds
• Index fund investing
• Exchange traded funds
• Retirement plan services
• Investment advisory services

Headquarters

HQ city

Kelayres

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Infrastructure, Marketing or Sales

Revenue model

1. Management Fees: Vanguard generates revenue primarily through asset-based management fees charged on mutual funds and ETFs. The average expense ratio is 0.07% as of December 2025, compared to the industry average of 0.44%. The firm consistently lowers expense ratios, with reductions effective February 2025 and 2026 delivering over half a billion dollars in investor savings.
2. Brokerage Services: Commission-based trading for stocks, options, and non-Vanguard ETFs generates transaction revenue, though Vanguard ETFs trade commission-free. Additional fees include broker-assisted trades ($25), margin lending, and account service fees ($25 annually for accounts below $5 million).
3. Advisory Services: Vanguard Advisers, Inc. and Vanguard National Trust Company provide personalized financial planning and ongoing guidance through various advisory programs including Digital Advisor and Personal Advisor Select, generating fee-based revenue.

Pricing tiers

Go-to-market motion3 records

Distribution channels5 records

Marketing channels5 records

Core offering

Vanguard offers a comprehensive investment platform including ETFs, mutual funds, money market funds, individual stocks, bonds, and CDs. Retirement solutions include Traditional and Roth IRAs, 401(k) and 403(b) employer-sponsored plans, and 529 education savings plans. Advisory services span the low-cost Vanguard Digital Advisor (robo-advisor) and Vanguard Personal Advisor Select for high-net-worth clients. Additional services include estate planning for clients with $5M+ in assets, UGMA/UTMA custodial accounts, and the Vanguard Cash Plus high-yield banking account.

Product overview

Vanguard offers a comprehensive investment platform providing a diverse suite of investment products and advisory services. The core offerings include ETFs (including flagship products like VOO, VTI, VUG, VYM, VIG, and BND), mutual funds (over 482 funds), money market funds, individual stocks, bonds, and CDs. Retirement solutions encompass Traditional and Roth IRAs, 401(k) and 403(b) employer-sponsored plans, and 529 education savings plans. Advisory services range from the low-cost Vanguard Digital Advisor (robo-advisor) for automated investing to Vanguard Personal Advisor Select for high-net-worth clients with human guidance. Additional services include estate planning for clients with $5M+ in assets, UGMA/UTMA custodial accounts, and the Vanguard Cash Plus high-yield banking account. The company maintains an investor-owned structure where the funds own Vanguard, enabling industry-low expense ratios averaging 0.07% compared to the industry average of 0.44%.

Differentiator

Problem solved

Functional benefit

Products and services

• Vanguard S&P 500 ETF (VOO) A market-capitalization-weighted ETF tracking the S&P 500 index, offering broad U.S. large-cap equity exposure with an ultra-low 0.03% expense ratio. It became the first ETF in history to surpass $1 trillion in assets under management.
• Vanguard Total Stock Market ETF (VTI) A broad-market ETF tracking the CRSP US Total Market Index, providing exposure to the entire U.S. stock market across large, mid, and small-cap segments with approximately 3,500+ stocks.
• Vanguard Growth ETF (VUG) A growth-oriented ETF tracking the CRSP US Large Cap Growth Index, offering exposure to large-cap growth stocks with approximately 154 holdings and heavy concentration in technology companies.
• Vanguard High Dividend Yield ETF (VYM) A dividend-focused ETF tracking the FTSE High Dividend Yield Index, holding approximately 440 large-cap U.S. dividend-paying stocks for income-focused investors.
• Vanguard Dividend Appreciation ETF (VIG) An ETF tracking companies with 10+ consecutive years of dividend increases, focusing on quality dividend growers with approximately 331 holdings.
• Vanguard Total Bond Market ETF (BND) A broad-market bond ETF tracking the Bloomberg U.S. Aggregate Float Adjusted Index, providing exposure to the entire U.S. investment-grade bond market with holdings of approximately 11,387 bonds.
• Vanguard Total Treasury ETF (VTG) A passive ETF targeting intermediate U.S. Treasuries, tracking the Bloomberg U.S. Treasury Total Return Unhedged USD Index with a duration profile of 5.7 years and an expense ratio of 0.03%.
• Vanguard Short-Term Bond ETF (BSV) A short-term bond ETF providing exposure to short-maturity investment-grade bonds with lower interest rate sensitivity.
• Vanguard Intermediate-Term Treasury ETF (VGIT) An intermediate-term Treasury ETF offering exposure to U.S. government bonds with a duration profile extending to 10 years.
• Vanguard Long-Term Corporate Bond ETF (VCLT) A long-term corporate bond ETF focusing on investment-grade corporate bonds with 10-25+ year maturities, offering higher yield with increased interest rate sensitivity.
• Vanguard Information Technology ETF (VGT) A sector-specific ETF providing concentrated exposure to U.S. information technology stocks with approximately 323 holdings.
• Vanguard Russell 1000 Growth ETF (VONG) A large-cap growth ETF tracking the Russell 1000 Growth Index, offering exposure to approximately 387 growth-oriented large-cap stocks.
• Vanguard FTSE Emerging Markets ETF (VWO) An emerging markets ETF tracking the FTSE Emerging Markets Index, providing exposure to developing economies including China and Brazil with approximately 5,942 holdings.
• Vanguard Total International Stock ETF (VXUS) A broad international equity ETF providing exposure to non-U.S. stocks across developed and emerging markets with approximately 8,738 holdings.
• Vanguard Energy ETF (VDE) A sector-specific ETF focusing on U.S. energy stocks, holding approximately 111 U.S. energy stocks including major oil and gas companies.
• Vanguard Financials ETF (VFH) A sector-specific ETF providing exposure to U.S. financial sector stocks, tracking the MSCI Financials index.
• Vanguard Health Care ETF (VHT) A sector-specific ETF providing broad healthcare sector exposure with approximately 411 stocks.
• Vanguard Mega Cap Growth ETF (MGK) A mega-cap growth ETF concentrated in large technology companies, holding approximately 59 stocks with 70% tech exposure.
• Vanguard Small-Cap ETF (VB) A small-cap ETF tracking the CRSP US Small Cap Index with approximately 1,310 holdings, offering exposure to smaller U.S. companies.
• Vanguard Small-Cap Value ETF (VBR) A small-cap value ETF providing exposure to smaller U.S. companies with value characteristics, holding approximately 835 stocks.
• Vanguard Value ETF (VTV) A large-cap value ETF focusing on value-oriented stocks with approximately 309 holdings and lower volatility characteristics.
• Vanguard Utilities ETF (VPU) A sector-specific ETF providing exposure to U.S. utility stocks with 62.4% allocation to electric utility stocks.
• Vanguard Real Estate ETF (VNQ) A real estate sector ETF providing exposure to U.S. real estate investment trusts (REITs) and real estate stocks.
• Vanguard Mutual Funds A comprehensive lineup of actively and passively managed mutual funds across equity, fixed income, and balanced categories, with over 482 funds available. Many offer Admiral Share class with lower expense ratios for larger balances.
• Vanguard Money Market Funds Short-term liquid investments including the Vanguard Federal Money Market Fund offering competitive yields for cash management.
• Vanguard Traditional IRA Individual retirement account with tax-deferred growth and pre-tax contribution options for retirement savings.
• Vanguard Roth IRA Individual retirement account with after-tax contributions and tax-free growth and withdrawals in retirement.
• Vanguard 401(k) Plans Employer-sponsored retirement savings plans with tax-deferred contributions and potential employer matching, provided to plan sponsors through a dedicated institutional sales team with record-keeping, fiduciary support, and investment menu construction.
• Vanguard 403(b) Plans Tax-deferred retirement savings plans available to employees of public education institutions and certain tax-exempt organizations.
• Vanguard 529 Savings Plans State-sponsored college savings plans offering tax-advantaged education savings with high contribution limits and flexible spending options for qualified education expenses, including target enrollment portfolios.
• Vanguard UGMA/UTMA Custodial Accounts Custodial accounts for minors allowing adults to manage investments on behalf of beneficiaries until adulthood.
• Vanguard Digital Advisor A robo-advisor service providing automated, low-cost investment management and personalized financial planning with algorithm-driven portfolio recommendations.
• Vanguard Personal Advisor Select Human advisor-guided wealth management service for investors with $500,000 or more, offering personalized investment strategies and ongoing guidance. Services provided by Vanguard Advisers, Inc. (registered investment advisor) and Vanguard National Trust Company.
• Vanguard Estate Planning Services Estate planning services exclusively available to investors with $5 million in Vanguard funds or ETFs.
• Vanguard Cash Plus Account A high-yield cash account offering competitive APY with FDIC insurance through partner banks and convenient cash management features.
• Vanguard Brokerage Services Full-service brokerage offering commission-free trading of Vanguard mutual funds and ETFs, with access to stocks, bonds, CDs, and 3,000+ other funds with no transaction fees for eligible accounts.

Quantifiable outcome

• 84% lower costs than industry average
• +2 more outcomes

Named customers5 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

One partnership is on record.

• KashableminorStrategic or Co-development Partner · 16 June 2026Kashable, a financial technology company providing socially responsible credit and financial wellness solutions, partnered with Vanguard at the Pensions & Investments Retirement Income Solutions event. Kashable co-founder and co-CEO Rishi Kumar joined a panel alongside retirement executives from Vanguard, Temple University Health Systems, Perdue Farms, DENSO, and AON to discuss financial wellness programs and their role in helping individuals save for retirement.

Scale indicators9 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• BlackRock: BlackRock is the world's largest asset manager (~ $11T AUM) and the operator of iShares, the dominant global ETF franchise. BlackRock directly competes with Vanguard across ETFs, mutual funds, institutional asset management, and increasingly in retirement and advisory services — making it Vanguard's closest large-scale rival across nearly every product category.
• Fidelity Investments: Fidelity is a major mutual fund company, ETF issuer, brokerage platform, and employer retirement plan administrator, serving retail and institutional clients. Fidelity directly competes with Vanguard across mutual funds (Fidelity vs Vanguard funds), brokerage, 401(k) recordkeeping, and IRAs, with comparable product breadth and a similar direct-to-consumer plus advisor-channel distribution model.
• Charles Schwab: Schwab is one of the largest retail brokerages and a major ETF issuer (Schwab ETFs), and operates a significant asset management business following its TD Ameritrade acquisition. Schwab competes with Vanguard across retail brokerage, low-cost ETFs, mutual funds, and IRAs, with a heavy emphasis on self-directed investors and a strong advisor channel.
• State Street Global Advisors: State Street Global Advisors (SSGA) is the asset management arm of State Street and the operator of the SPDR ETF franchise, including the flagship SPY S&P 500 ETF. SSGA is a direct competitor in passive equity ETFs and institutional index strategies, with comparable ultra-low fee products and global distribution.
• Invesco: Invesco is a global asset manager with a significant ETF franchise (Invesco QQQ) and a broad mutual fund lineup. Invesco directly competes with Vanguard in ETFs (especially QQQ vs VUG), active and passive mutual funds, and institutional fixed income, with similar mass-affluent and advisor distribution channels.
• T. Rowe Price: T. Rowe Price is a major asset manager with deep retirement (401(k)) and mutual fund franchises, plus a growing ETF lineup and advisory services. It directly competes with Vanguard in active mutual funds, retirement plan services, and increasingly in ETFs, with comparable institutional sales coverage and a similar emphasis on long-term, goals-based investing.

Broad incumbents

• J.P. Morgan Asset Management: J.P. Morgan Asset Management is one of the largest global asset managers and a dominant player across active equity, fixed income, alternatives, and retirement. It competes with Vanguard broadly across institutional and retail channels but is much stronger in active strategies, alternatives, and private banking — making it more of a wide-incumbent than a like-for-like passive competitor.

Emerging players

• PIMCO: PIMCO is a leading global fixed income asset manager, competing with Vanguard's bond ETFs (BND, BSV, VGIT, VCLT, VTG) and mutual funds in institutional and retail channels. While Vanguard is a passive/low-cost incumbent in fixed income, PIMCO represents the active, higher-fee segment that Vanguard's recent VTG launch is positioned against.
• Betterment: Betterment is a leading independent robo-advisor offering automated portfolio management and financial planning. It competes with Vanguard Digital Advisor in the digital advice space, though Betterment is a focused, single-product robo while Vanguard Digital Advisor is a smaller offering within a much broader platform.
• Wealthfront: Wealthfront is an independent robo-advisor providing automated portfolio management, tax-loss harvesting, and cash management accounts. It competes directly with Vanguard Digital Advisor in the mass-affluent automated-investing category, though at a smaller scale and without Vanguard's broader mutual fund and ETF platform.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

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Revenue estimate

Valuation estimate

Number of profiles

Profiles10 records

Subsidiaries1 record

Funding overview

Funding rounds1 record

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A2 records

Investments14 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Vanguard