Taste how Vanguard does business
If you're wondering why one of the world's largest investment companies is selling coffee, here's the scoop. When you buy a great cup of coffee that's 1⁄5 the average price of coffee, you see for yourself that paying less means keeping more.*
That's how costs work with our mutual funds.
They cost 1⁄5 the industry average—just like our coffee.**
Sip and save
See what the price of a cup of coffee can teach you about investing costs.Watch the video
How can Vanguard offer
coffee mutual funds for less?
Our secret is simple: We offer our funds "at cost."*** That means you pay only what it costs us to run the funds, which happens to be—on average—1⁄5 as much as everyone else.
We can do this because we're the only company in the industry that's client-owned.† We're owned by our funds and the funds are owned by the people who invest in them, people like you. We don't generate profits for private owners or stockholders. We return profits to you as cost savings.
Selling coffee for less is just a fun way to spread the word about costs.
Sip coffee while your savings brew
Saving a buck on coffee is a nice perk.
Potentially saving thousands on your investments is something to savor!
How it can all add up.
- Industry average
- Vanguard average
- 10 YEARS
- 20 YEARS
- 30 YEARS
Costs matter, especially over time. If you invest $50,000 in a fund with the current average Vanguard expense ratio, in 30 years you could have $63,915 more than someone who invested in a fund with the industry average expense ratio.**
(This is a hypothetical scenario—it doesn't refer to any specific investment. It assumes a 6% annual rate of return with earnings being reinvested.)
Over time, letting your savings brew with lower expenses could help you save more.