Vanguard unveils short-dated global bond tracker fund

Vanguard Asset Management has launched a global short-term bond index fund for investors looking to manage volatility in their portfolios.

The Vanguard Global Short-Term Bond Index fund is a low-cost product with a total expense ratio of 0.2%. The new fund is designed for investors looking to manage interest rate, currency and credit risk in their portfolios, and aims to diversify allocations across different countries. The fund will be managed on a hedged basis to help reduce the volatility and preserve the risk-return profile of the underlying asset class. Nick Blake (pictured), head of retail at Vanguard, said: "Short-term bond funds are an important part of an adviser's risk management tool kit and advisers tell...