Vanguard Launches Active Multi-Sector Bond Fund

Vanguard announced Thursday that it has launched an actively managed fund, the Vanguard Multi-Sector Income Bond Fund, offering diversified exposure to fixed income credit sectors.

The fund, managed by Vanguard Fixed Income Group, takes a “flexible, risk-controlled approach,” seeking opportunities across various sectors and credit qualities, according to the mutual fund giant.

“Vanguard Multi-Sector Income Bond Fund provides investors access to our world-class fixed income investment talent through a low-cost strategy with high alpha potential,” said Sara Devereux, Vanguard Fixed Income Group’s global head. “We believe the fund can help clients meet their long-term investment objectives by serving as a complement to a well-diversified portfolio.”

 While the fund can invest in a wide range of fixed income asset classes, it will focus primarily on U.S. high-yield corporate securities, U.S. investment-grade securities, and emerging markets debt of all credit quality ratings.