From Yahoo Finance: 2025-06-11 13:00:00

Vanguard has launched a new actively managed fixed-income exchange-traded fund called VGMS. This fund aims to provide total return potential and generate higher income by investing in various fixed-income sectors, including investment-grade credit and high-yield corporates. VGMS comes with an expense ratio of 0.3%. Investors can use multi-sector exposure to enhance their yield and credit exposure through this ETF.

The VGMS ETF is designed to help investors, especially those in the later stages of their investment horizons, generate significant income from their fixed-income portfolio. Vanguard’s active experts actively and dynamically allocate across credit markets to find the best income opportunities. The active approach helps manage credit risk and separate winners from losers in the credit markets.

VGMS is Vanguard’s seventh actively managed fixed-income ETF in the U.S. The firm already offers a mutual fund version called Vanguard Multi-Sector Income Bond Fund Admiral Shares (VMSAX). Multi-sector income is considered an important and helpful area for investors to turn to in the active category. Vanguard sees ETFs as an increasingly preferred vehicle for investors, and the launch of VGMS is part of their effort to expand their active ETF lineup.



Read more at Yahoo Finance: Vanguard Debuts New Multi-Sector Income Bond ETF