1976
The 1976 IPO of Vanguard's first index fund raised only $11.3 million, about one-fourteenth of its roughly $150 million target.
“They raise $11.3 million. It is so bad that they don't have enough capital. It's one-fourteenth of their target.”
Topic
Vanguard 500 Index Fund
5 facts from 1 episode, in date order. These are what speakers said on the shows, each linked to the moment it was said. They aren't independently verified.
1977
In late 1977 Vanguard merged the Exeter Fund, a small legacy Wellington fund, into its index fund to keep it operating.
“It gets so bad that the next year, in late 1977, they have to take the extreme drastic measure of merging another small legacy Wellington fund called the Exeter Fund into the index fund”
1988
Vanguard's 500 index fund reached $1 billion in assets by 1988.
“by 1988, the fund reaches $1 billion in assets, and it would obviously grow from there.”
2008
Warren Buffett publicly offered a $1 million bet that the Vanguard 500 Index Fund would beat any portfolio of hedge funds over the ten years starting January 1, 2008.
“he would bet $1 million of his own money against any and all takers from the hedge fund industry”
2008-2017
Over the ten-year Buffett bet, the Vanguard 500 returned 126% net of fees versus 36% for the hedge fund portfolio chosen by Ted Seides.
“So when all is said and done, the Vanguard 500 returns a total of 126 percent net after fees for the 10-year period, while the hedge fund portfolio returns just 36 percent.”
Episodes