Mutual funds are frequently offered in different share classes. The funds' objectives, management, and underlying investments are identical across all classes. But each class has different expense ratios and minimum initial investment requirements.
| Share class | Minimum initial investment | Expense ratio* |
| Investor Shares | $1,000 for Vanguard Target Retirement Funds and Vanguard STAR® Fund. $3,000 for most actively managed funds. Most Vanguard index funds no longer offer Investor Shares to new investors. For the few that do, most have $3,000 minimums. |
Range Average |
| Admiral™ Shares | $3,000 for most index funds. $50,000 for most actively managed funds. $100,000 for certain sector-specific index funds. |
Range Average |
| Institutional Shares | $5 million.† |
Range Average |
Share class
Investor Shares
Minimum initial investment
$1,000 for Vanguard Target Retirement Funds and Vanguard STAR® Fund.
$3,000 for most actively managed funds.
Most Vanguard index funds no longer offer Investor Shares to new investors. For the few that do, most have $3,000 minimums.
See which funds offer Investor Shares
Expense ratio*
Range
0.07% to 1.80%
Average
0.29%
Share class
Admiral™ Shares
Minimum initial investment
$3,000 for most index funds.
$50,000 for most actively managed funds.
$100,000 for certain sector-specific index funds.
See which funds offer Admiral Shares
Expense ratio*
Range
0.05% to 0.58%
Average
0.14%
Share class
Institutional Shares
Minimum initial investment
$5 million.†
See which funds offer Institutional Shares
Expense ratio*
Range
0.02% to 1.74%
Average
0.08%
You must meet—and maintain***—a minimum investment of:
We'll move all of the money you have in an eligible Investor Shares mutual fund into the same fund's lower-cost Admiral Shares. You'll receive a transaction confirmation once the conversion is complete.
In addition, your cost basis information will carry over.
You may be converted automatically
We periodically review your Investor Shares mutual fund investments to see if you're eligible for Admiral Shares. If you are, we'll give you plenty of time to opt out before we convert you automatically.
No. The dollar amount of your new Admiral Shares will equal the dollar amount of your original Investor Shares.
However, the number of shares you own could change because a fund's Admiral Shares price (its net asset value) may differ from its Investor Shares price.
No. As long as you convert from Investor Shares to Admiral Shares of the same mutual fund, the conversion is tax-free. However, moving money between 2 different funds isn't considered a conversion and may have tax consequences, depending on the type of account you hold the fund in.
No. Our checkwriting service isn't available for Vanguard Prime Money Market Fund Admiral Shares and won't carry over after conversion. Checkbooks should be destroyed upon conversion. Checkwriting is available for Vanguard Federal Money Market Fund and other Vanguard money market funds.
Vanguard Cash Reserves Federal Money Market Fund Admiral Shares is eligible as an alternative redemption fund.
*As of December 31, 2024, unless otherwise noted. Source: Vanguard.
†Some funds also offer Institutional Plus Shares, which typically have a minimum initial investment of $100 million and are reserved for large institutional investors. For both Institutional and Institutional Plus Shares, we may charge additional fees to institutions for which Vanguard also provides recordkeeping services.
††Institutional clients: Please call us for special eligibility rules that may apply to you.
**Vanguard Admiral Shares average expense ratio: 0.10%. Vanguard Investor Shares average expense ratio: 0.13%. Mutual fund-only industry average expense ratio: 0.44%. All averages are asset-weighted. Industry averages exclude Vanguard. Sources: Vanguard and Morningstar, Inc., as of December 31, 2024.
***If your Admiral Shares balance drops below the minimum investment amount and the fund has Investor Shares available at a lower minimum, your holding may be reclassified automatically as Investor Shares. As with a conversion, this would be tax-free.
All investing is subject to risk, including the possible loss of the money you invest.
For more information about Vanguard funds, visit vanguard.com to obtain a prospectus or, if available, a summary prospectus. Investment objectives, risks, charges, expenses, and other important information are contained in the prospectus; read and consider it carefully before investing.
You could lose money by investing in the Vanguard Cash Reserves Federal Money Market Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor is not required to reimburse the Fund for losses, and you should not expect that the sponsor will provide financial support to the Fund at any time, including during periods of market stress.