(PUB) Investing 2016

7

March 2016

Morningstar FundInvestor

Data through February 29, 2016 FINRA members: For internal or institutional use only. Vanguard Total World Stock Index Inv

Ticker VTWSX

Yield 2.5%

Total Assets $2,579 mil

Mstar Category World Stock

Benchmark 1: MSCI ACWI NR USD Benchmark 2: MSCI ACWI Ex USA NR USD Morningstar Analyst Rating 02-23-16 „

Investment Style Equity

Historical Profile Return Risk Rating Average Average QQQ Neutral

4 4 4 4 4 4 4 4

10.0 12.0 14.0

Growth of $10,000

Investment Values of Fund Investment Values of Benchmark 1

Morningstar Pillars Process

8.0

∞ Positive ∞ Positive ∞ Positive ∞ Positive ∞ Positive

Performance

6.0

People Parent

Performance Quartile (within Category)

* * * * ( * ( *

Price

History

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 02-16

Morningstar Analyst Rating Morningstar evaluates mutual funds based on five key pillars, which its analysts believe lead to funds that are more likely to outperform over the long term on a risk-adjusted basis. Analyst Rating Spectrum Œ „ ´ ‰ Á

. .

13.32 17.51 19.41 17.50 20.06 24.11 24.48 23.45 21.90 33.30 12.87 -7.88 17.15 22.79 3.92 -2.02 -6.61 -1.33 0.20 -0.54 1.02 -0.01 -0.24 0.35 0.07 -8.15 1.72 5.82 0.32 7.51 7.78 3.65 1.26 1.84 2.00 1.93 2.51 2.38 2.40 2.27 0.00 31.46 10.87 -9.82 14.64 20.42 1.51 -4.28 -6.61 0.08 0.25 0.35 0.38 0.44 0.47 0.57 0.55 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.46 0.50 0.45 0.40 0.35 0.30 0.27 0.25 . 2.32 2.28 2.03 2.30 2.44 2.28 2.38 2.31 . 46 48 50 42 64 35 57 50

NAV

. . . . . . . . . . . . . . . . . .

Total Return % +/- Bmark 1 +/- Bmark 2 Income Return % Capital Return % Capital Gains $ Expense Ratio % Income Ratio % Turnover Rate % Net Assets $mil Total Rtn % Rank Cat Income $

Pillar Spectrum ∞ Positive

§ Negative

¶ Neutral

. .

. . .

Performance 02-29-16 1st Qtr 2nd Qtr

. . . . . . . .

3rd Qtr

4th Qtr

Total

2011 2012 2013 2014 2015

4.17 0.54 -18.20 7.51 -7.88 12.23 -5.55 6.59 3.68 17.15 6.29 -0.40 8.16 7.25 22.79 1.38 4.95 -2.72 0.40 3.92 2.78 0.69 -9.40 4.50 -2.02

.

5

18

7

10

16

12

7

7

69

153

272

273

407

669

848

956

914

Rating and Risk Time Period Load-Adj Return %

Portfolio Analysis 01-31-16 Total Stocks: 7357 Share change since 12-31-15

Morningstar Rtn vs Cat

Morningstar Risk vs Cat

Morningstar Risk-Adj Rating

Sector

Country

% Assets

Trailing

Total Return%

+/- Bmark 1

+/- Bmark 2

%Rank Cat

Growth of $10,000

T Apple Inc

Technology United States Technology United States

1.40 1.02 0.84 0.74 0.70 0.65 0.63 0.63 0.58 0.57 0.57 0.57 0.57 0.57 0.52 0.48 0.47 0.45 0.44 0.44

1 Yr 3 Yr 5 Yr

-12.15

3 Mo 6 Mo

-8.52 -0.16 1.08 -5.75 -0.21 3.54 -12.15 0.17 5.22 3.91 0.24 6.10 3.84 0.13 5.13

48 9,148 47 9,425 55 8,785 60 11,218 64 12,072

T Microsoft Corp

Avg QQQ Avg QQQ

3.91 3.84

Avg Avg

T Exxon Mobil Corporation T Johnson & Johnson

Energy

United States

1 Yr

Hlth Care United States

10 Yr Incept

— — — —

3 Yr Avg 5 Yr Avg 10 Yr Avg 15 Yr Avg

T General Electric Co T Wells Fargo & Co T Facebook Inc A

Industrl

United States

3.16

Finan Svcs United States Technology United States

— — — — — — — — — —

Other Measures

Standard Index

Best Fit Index

T Nestle SA T AT&T Inc

Cnsmr Def

Switzerland

Alpha

5.6

0.3

Comm Svcs United States Technology United States Technology United States Cnsmr Cyc United States Finan Svcs United States Comm Svcs United States Hlth Care United States Hlth Care Switzerland Cnsmr Def United States

Beta

0.84

0.98

Tax Analysis

Tax Adj Rtn% %Rank Cat Tax-Cost Rat %Rank Cat

T Alphabet Inc A T Alphabet Inc C T Amazon.com Inc

R-Squared

92

99

3 Yr (estimated) 5 Yr (estimated) 10 Yr (estimated)

3.00 2.98

41 53

0.87 0.82

37 44

Standard Deviation

11.16

— — — —

Mean

3.91 0.39

T JPMorgan Chase & Co T Procter & Gamble Co T Verizon Communications In

Sharpe Ratio

Potential Capital Gain Exposure: 0% of assets

Morningstar's Take by Patricia Oey 02-23-16 Vanguard Total World Stock Index is one of the most diversified, and cheapest, equity portfolios available. It merits a Morningstar Analyst Rating of Silver. This index fund covers a lot of ground. It tracks the market-cap-weighted FTSE Global All Cap Index, holds about 7,400 stocks, and covers 98% of the world's public equity market capitalization. It typically invests about half of the portfolio in the United States, nearly 40% in non- U.S. developed markets, and the remaining 10% in emerging markets. Thus, this single fund can fill the equities portion of a diversified portfolio of stock and bond funds. With its extremely broad coverage, this fund looks different than other Morningstar Medalists in the world- stock Morningstar Category. Many of those funds tend to be "global best ideas" vehicles with fewer holdings (typically around 100). Relative to category averages, this fund has been light in developed Europe equities and slightly overweight in emerging-markets equities. And relative to its main world-stock peers, this fund has more exposure to mid- and small-caps given its all-cap focus. These tilts can affect short-term relative performance but

T Pfizer Inc

T Roche Holding AG Dividend

haven'tprevented the fund fromkeepingpacewithpeers. Since the fund's June 2008 inception, its 3.3% annualized gain through Jan. 31, 2016, slightly beat the average world-stock fund's 3.1% return. Relative to peers, low fees give the fund a big head start, as do low tax and transaction costs. The fund has yet to make a capital gains distribution, and trading costs are negligible, which is due, in part, to very low portfolio turnover. In the three years through January 2016, this fund's 0.87% tax-cost ratio (which estimates the bite taxes on dividends and capital gains distributions take out of returns) was lower than more than 60% of peers'. Though cheap, there are cheaper options. The fund's annual expense ratio of 0.25% is higher than the 0.17% charged by its own exchange-traded fund share class. Nevertheless, this fund is the only one of its kind available in a mutual fund retail share class and remains a solid option for global equity exposure.

T Coca-Cola Co T Home Depot Inc T Toyota Motor Corp

Cnsmr Def

United States

Cnsmr Cyc United States

Cnsmr Cyc Japan

Current Investment Style

Sector Weightings h Cyclical r BasicMat t CnsmrCyc y FinanSvcs u Real Est j Sensitive i CommSrvs o Energy p Industrl a Technlgy k Defensive s CnsmrDef d Hlthcare f Utilities

% of Stocks

Rel Bmark 1

Market Cap % Giant 45.3 Large 30.6 Mid 17.7 Small 5.5 Micro 0.8 Avg $mil: 28,478

Value Blend Growth

Large Mid Small

38.10 1.03 4.98 1.02 12.05 1.03 17.11 0.98 3.96 1.27 35.90 0.99 4.63 0.88 5.97 0.94 11.35 1.08 13.95 1.00 26.00 0.97 10.28 0.95 12.29 0.99 3.43 1.02

Value Measures

Rel Category

Price/Earnings 15.47

0.91 0.77 0.78 0.74 1.06

Price/Book Price/Sales

1.75 1.22

Price/Cash Flow 6.34 Dividend Yield % 2.85

Growth Measures

% Rel Category

Long-Term Erngs 9.62

0.92 0.51 -6.18

Regional Exposure % Stock UK/W. Europe 22 N. America 56 Japan 9 Latn America 1 Asia X Japan 10 Other 2

Book Value

2.15 -4.87 0.26

Sales

Address:

Vanguard International Equity Index Fund

Minimum Purchase: Min Auto Inv Plan:

$3000 $3000

Add: $1 IRA: $3000

Cash Flow 0.95 Historical Erngs -39.13 -22.83

Valley Forge PA 19482

Add: $1

800-662-7447

Sales Fees:

No-load

Country Exposure United States 53 Japan 9 UK 7

% Stock

Web Address:

www.vanguard.com

Management Fee:

0.21%

Composition - Net Cash

Switzerland 3 France 3

Inception:

06-26-08

Actual Fees:

Mgt:0.21% Dist:—

0.4 Bonds

0.0 0.1

Advisor:

Vanguard Group Inc

Expense Projections: Income Distribution:

3Yr:$80 5Yr:$141 10Yr:$318

Stocks 99.5 Other

Subadvisor:

None

Quarterly

Foreign (% of Stock)

46.6

A

ß ® Mutual Funds

©2016Morningstar, Inc.All rights reserved. The information herein is not represented orwarranted to be accurate, complete or timely. Past performance is no guarantee of future results.Access updated reports at www.morningstar.com . To order reprints, email reprints@morningstar.com