Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Vanguard Adds Sub-Advisor to Two Funds Not Rated 0.0 Email Routing List Email & Route  Print Print
Thursday, June 14, 2007

Vanguard Adds Sub-Advisor to Two Funds

News summary by MFWire's editors

AXA Rosenberg Investment Management has been added as the sub-advisor to two Vanguard funds. AXA will manage approximately 10 percent of the Vanguard Explorer Fund and will complement the fund’s six existing advisors. AXA will manage 50 percent of the assets in the Vanguard U.S Value Fund, which has been managed since its inception in 2000 by Grantham, Mayo, Van Otterloo & Co. LLC.


The Vanguard Group today announced that AXA Rosenberg Investment Management LLC has been added to the advisory teams of the $12.8 billion Vanguard® Explorer™ Fund and the $1.6 billion Vanguard U.S. Value Fund.

“We regularly review our funds’ advisor line-ups, evaluate talented investment advisory firms, and look for opportunities to partner with skilled money managers from around the world. AXA Rosenberg is a top-flight firm that we believe will be a good fit for both the Explorer and U.S. Value funds,” said Vanguard Chairman and CEO John J. Brennan.

Over the past two years, Vanguard has moved to expand its relationships with leading investment advisory firms, engaging Lazard Asset Management, Jennison Associates, Donald Smith & Co., and Armstrong Shaw Associates Inc. to manage portions of Vanguard equity funds. In aggregate, 26 external advisors today oversee more than $350 billion, which is nearly one-third of Vanguard’s total U.S. fund assets.

AXA Rosenberg will employ an investment philosophy grounded in fundamental analysis using a two-part quantitative model: a valuation model and an earnings forecast model. The valuation model compares the current stock price to its fair value, calculated using an independent asset appraisal, while the earnings forecast model uses a mix of fundamental indicators and market data to identify companies that are likely to have superior, year-ahead earnings. The two models are combined to develop an individual score for each company, which is then fed into a risk model that maximizes expected return while minimizing common factor differences with the benchmark. Round-trip trading costs are considered before an investment decision is made.

William E. Ricks, Ph.D., will serve as portfolio manager for AXA Rosenberg’s portions of Vanguard Explorer and Vanguard U.S. Value Funds. Dr. Ricks, the firm’s Americas Chief Executive and Chief Investment Officer, has worked in investment management with AXA Rosenberg since 1989.

Vanguard Explorer Fund seeks long-term capital appreciation using a multi-manager approach that provides exposure to a broad universe of small-company growth stocks. AXA Rosenberg will manage approximately 10% of the fund and will complement the fund’s six existing advisors: Granahan Investment Management, Inc.; Grantham, Mayo, Van Otterloo & Co. LLC; Kalmar Investment Advisers; Wellington Management Company, LLP; Chartwell Investment Partners; and Vanguard Quantitative Equity Group. The fund has been closed to new investors since February 2006, and additional purchases by current shareholders are capped at $25,000 annually per fund account. Vanguard U.S. Value Fund seeks long-term capital appreciation and income by investing in stocks of large- and medium-sized companies. AXA Rosenberg will oversee approximately 50% of the assets of the fund, which has been managed since its inception in 2000 by Grantham, Mayo, Van Otterloo & Co. LLC. AXA Rosenberg, an AXA Investment Managers Company, was founded in 1985 by Drs. Barr Rosenberg and Kenneth Reid. Headquartered in Orinda, California, the firm has offices in Greenwich, Connecticut; Toronto; London; Tokyo; Singapore; Hong Kong; and Sydney. AXA Rosenberg currently manages $120 billion in assets, with $20 billion in U.S.-only products. The Vanguard Group, headquartered in Valley Forge, Pennsylvania, is the nation’s second-largest mutual fund firm and a leading provider of company-sponsored retirement plan services. Vanguard manages more than $1.2 trillion in U.S. mutual fund assets, including more than $325 billion in employer-sponsored retirement plans. Vanguard offers more than 140 funds to U.S. investors and more than 40 additional funds in foreign markets.  

Edited by: Erin Kello


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2025: Q3Q2Q1
2024: Q4Q3Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly


    Sorry, no records in the database matched your search parameters. Clich back and try again.



  1. Nicsa webinar - New research by Alex Edmans and the Diversity Project - The Power of diverse thinking: How the best teams make decisions, July 1
  2. MFDF Director Discussion Series - Open Forum, July 9
  3. MFDF webinar - Mid-Year Tax Update for Registered Investment Companies, July 10
  4. MFDF Director Discussion Series - Open Forum (Philadelphia), July 15
  5. 2025 MMI Women in Advisory Solutions Forum, Jul 15-16
  6. Nicsa webinar - How Trusted GenAI is Transforming Data Access in Asset Management, July 16
  7. MFDF webinar - M&A and Consolidation in Asset Management, July 16
  8. MFDF webinar - ETF Conversions, July 17
  9. MFDF Director Discussion Series - Open Forum (New York), July 22
  10. MFDF Ask Anything webinar - AI Edition, July 24
  11. MFDF webinar - Use of Derivatives by RICs, July 29
  12. MFDF Director Discussion Series - Open Forum (Columbus, Ohio), August 20
  13. Samfund Soiree Boston 2025, August 21
  14. MFDF webinar - The Audit Committee Chair's Guide to Balancing Duties and Emerging Issues, September 3
  15. ICI ETF Conference, Sep 8-10
  16. Nicsa webinar - Reimagining Reconciliation: AI, Regulation, and Capital Markets Transformation, September 10
  17. MFDF webinar - Series Trust Funds - Compliance and Board Reporting, September 10
  18. MFDF In Focus - Board Oversight of DEI in Current Landscape, September 11
  19. MFDF webinar - MFDF 15(c) White Paper Webinar Series: Part 4 – Enforcement Action Takeaways, September 16
  20. MFDF webinar - Latest in Closed-End Funds Litigations, September 23
  21. MFDF webinar - Fixed Income Insights: Navigating Market Trends & Opportunities, September 24
  22. MFDF webinar - Risk Management Essentials for RICs and Boards, September 29
  23. MFDF webinar - Diligent - Tools for Fund Board Book, October 1
  24. 10th annual Fuse Forum, October 8
  25. MFDF webinar - Essential Strategies in Board Oversight of Operational Risk Management, October 14
  26. 2025 MMI Annual Conference, Oct 15-17




©All rights reserved to InvestmentWires, Inc. 1997-2025
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use