indexfundfan @ indextown

According to this post on the “Diehards in the Vanguard” forum, the Vanguard FTSE All-World ex USA index funds and ETF will start trading soon. This information comes from the SEC filing here.

For the mutual fund version (ticker VFWIX), the expense ratio is 0.40%, with a purchase fee of 0.25%, and a redemption fee of 2% if sold within two months. The expected date of offering is March 8, 2007.

For the ETF version (ticker VEU), the expense ratio is 0.25%. The expected date of offering is March 2, 2007. Usual brokerage fees apply if you do not have access to a free trade program.

The mutual fund version, with the purchase fee is not appealing to me at all but the ETF version does. Compared to the iShares MSCI EAFE ETF (ticker EFA, ER 0.35%), this new ETF would cover the equity market of the entire world except the US. This means that it also includes Canada and emerging markets which EFA doesn’t. In addition, it also comes with a lower price tag than EFA.

Hopefully, this fund would have a respectable trading volume when it debuts on Friday.

Random list of previous posts:

• September 14, 2006 -- Positive steps taken by Sogoinvest (4)
• October 18, 2006 -- Blog updates (0)
• December 26, 2006 -- Sogoinvest or Zecco? (1)
• November 16, 2009 -- Reverting back to using checks instead of ACH (0)
• April 16, 2007 -- Rebalanced out from EM and PME (0)

This entry was posted on Wednesday, February 28th, 2007 at 11:09 pm and is filed under ETF, Indexing, Investing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.