VMBS

Vanguard Mortgage-Backed Securities ETF

$46.96

+0.00%

Market closed. Last update: 11:45 PM ET

📎 Investment Objective

The Vanguard Mortgage-Backed Securities ETF seeks to track the performance of a market-weighted mortgage-backed securities index.

Overview

ETF tracking Vanguard Mortgage-Backed Securities ETF

Category Real Estate

Issuer Vanguard

Inception Date 2009-11-23

Market Cap $14.9B

Average Volume N/A

Dividend Yield 3.53%

52-Week Range $44.68 - $47.44

VWAP $46.99

Performance

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Investment Summary

📎 Investment Objective

The Vanguard Mortgage-Backed Securities ETF seeks to track the performance of a market-weighted mortgage-backed securities index.

🎯 Investment Strategy

The ETF invests in a variety of mortgage-backed securities issued by government agencies and government-sponsored enterprises, such as Ginnie Mae, Fannie Mae, and Freddie Mac. The fund's portfolio is designed to provide exposure to the overall U.S. mortgage-backed securities market.

✨ Key Features

Broad exposure to the U.S. mortgage-backed securities market
Low-cost index-based approach
Potential for steady income from mortgage-backed securities
Diversified portfolio of government-backed mortgage-backed securities

⚠️ Primary Risks

Interest rate risk: Mortgage-backed securities are sensitive to changes in interest rates, which can affect the fund's performance
Prepayment risk: Homeowners may refinance or pay off their mortgages early, which can impact the fund's returns
Credit risk: The fund is exposed to the creditworthiness of the government agencies and enterprises that issue the mortgage-backed securities
Liquidity risk: The mortgage-backed securities market can experience periods of reduced liquidity, which may impact the fund's ability to sell securities

👤 Best For

The Vanguard Mortgage-Backed Securities ETF may be suitable for investors seeking exposure to the U.S. mortgage-backed securities market as part of a diversified fixed-income portfolio. It may be particularly attractive for investors looking for a low-cost, passively managed option to gain exposure to this asset class.