The Inflation–Protected Securities Portfolio seeks to provide inflation protection and income consistent with investment in inflation–indexed securities.
The Inflation-Protected Securities Portfolio invests entirely in the Vanguard Inflation-Protected Securities Fund (the “Inflation-Protected Securities Fund”), which invests at least 80% of its assets in inflation-indexed bonds issued by the U.S. government, its agencies and instrumentalities, and corporations. The Inflation-Protected Securities Fund may invest in bonds of any maturity; however, its dollar-weighted average maturity is expected to be in the range of 7 to 20 years. At a minimum, all bonds purchased by the Inflation-Protected Securities Fund will be rated Investment Grade, or if unrated, will be considered by the advisor to be Investment Grade.
Because the Inflation-Protected Securities Portfolio invests entirely in the Vanguard Inflation-Protected Securities Fund, the Portfolio is subject to a high level of income fluctuation risk. The Portfolio also has low to moderate levels of interest rate risk and manager risk.
The Vanguard Inflation–Protected Securities Fund seeks to provide protection from inflation as measured by the Consumer Price Index (CPI). It is possible that the costs of higher education may increase at a rate that exceeds the rate of increase of the CPI. There is no guarantee that the Vanguard Inflation–Protected Securities Fund will protect investors from the rising costs of higher education.View Vanguard Site — Inflation-Protected Securities Portfolio
Average Annual Returns
Updated Monthly as of 12/31/2018
|1 Year||3 Year||5 Year||Since Inception Sep 2005|
|Inflation-Protected Securities Benchmark||-1.36%||2.00%||1.57%||3.23%|
Returns are net of fees.
The Inflation–Protected Securities Portfolio’s Benchmark is a blended composite benchmark reflecting the asset strategic benchmark index components for each underlying investment manager, and an adjustment reflecting the administrative fee for the Portfolio:
Bloomberg Barclays Capital US Treasury Inflation Protected Index
|As of 1/15/2019||$ 15.51|
Portfolio Fee as of 11/30/2018
|Asset Management Fees||0.07%|
|Inception Date||Sep 2005|