(PUB) Vanguard Advisor

the directors owned shares in Selected Value, they’d see it myway. Finally, a mea culpa is in order. In last month’s issue, a few errors made it through the editing process into the print copy. First, thank you to a few hawk-eyed FFSA members for catch- ing our mistakes. Second, let me try to clear up any confusion that may have been caused. We found a couple of discrepancies between the ratings in the text of the Funds Focus article and those listed in the Performance Review tables. In short, I rate Tax-Managed Growth & Income a Sell and High Dividend Yield Index a Hold. Also in the Performance Review , I labeled High- Yield Corporate as closed, when in fact it is open to all investors. Finally, in the table of the January Barometer article, I dropped the negative sign from January 1978’s -6.2% return. The negativewas lost in the formattingpro- cess, but the overall numbers I quoted to you incorporated the correct returns. Thankyou again to those subscribers who reported our mistakes—you keep me honest andmake the newsletter bet- ter for all of us. A corrected version of March’s issue isavailable fordownload- ing at adviseronline.com. n

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tion inDecember 2000, June 2001 and December 2004.  Oneof the reasons for favoring Selected Value was the abil- ity to invest directly withmanager Jim Barrow, rather than the agglomeration ofmanagersVanguardwasadding to the once-strongWindsor II. (Vanguard did fire Armstrong Shaw early in March, though.)The choicewas a goodone, as returns from eachof our SelectedValue purchases substantially outperformed both Total Stock Market and Windsor II through the end ofMarch. Given that Pzena won’t be mak- ing too much trouble with the fund in the early going with the firm’s small initial stake, I’m not as concerned here as I would be if Vanguard had handed over a large chunk of Selected Value’s assets. And this isn’t the last time you’ll see changes at Selected Value, as JimBarrow, 73, begins step- ping further away from this fund (as he has at Windsor II) and handing the reins over to co-manager Mark Giambrone. I’m a fan of both Barrow and Giambrone, but I’m less than happy about Vanguard’s continued meddlingwith the last few great active funds in its family. Maybe if some of

AdviserOnline.com ismore streamlined and easier to use than ever. But there’s one thing that canmake it even better: Setting up your unique username and password. Instead of looking for a new PIN on page 1 of the newsletter eachmonth, you can simply use your own personalized login. If you don’t have your own unique login, you should set it up now, as we’ll bediscontin- uing thePIN in thecomingmonths . Here are a few tips to help you set up ormodify a unique login: Createausernameandpassword at www.adviseronline.com/password/new.php. You’ll need your account number, or if you just joined, your order number. Both can be found on correspondence you receive such as theHotline emails. Modify your usernameandpassword at www.adviseronline.com/password/modify. php. All you need is your current personal login information. Forgot your usernameor password? No problem. Reset it atwww.adviseronline.com/ password/forgot.php. Again, you should have your account number or order number handy. Set up ormodify your login at AdviserOnline. com today. If you have any questions or prob- lems, call us at 800-211-7641 or email us at service@adviseronline.com.

DAN’S DO-IT-NOW ACTION RECOMMENDATIONS 4 Einsteinmaynot haveactually said compound interest isman’sgreatest invention, but that doesn’tmake it any lesspowerful. Helpa teenget anearly start,whileavoiding taxeswitha Roth IRA. (Seepage1) 4 Vanguard isaddinganothermanager inPzena to SelectedValue . I’m less thanhappywith the addition, but don’t jump ship just yet. (Seepage1) 4 DonKilbridemayhaveacautiousoutlook, but he issticking to thegameplanat DividendGrowth . Youshould, too. (Seepage12)

Daniel P.Wiener isAmerica’s leading expert on theVanguard family of funds. He is founder of theFundFamily ShareholderAssociationand chairmanand chief executive officer of Adviser Investments, LLC, aNewton,Massachusetts, investment advisory firm (800-492-6868). As

JeffreyD. DeMaso, Editor/Director of Research, works directlywithDanWiener researching andwriting themultiple-award winning IndependentAdviser forVanguard Investors newsletter. He also leads the analyst team for Adviser Investments, LLC, helping to

editor of The IndependentAdviser forVanguard Investors , he is a five-time recipient of theNewsletterPublishersFoundation’s Editorial ExcellenceAward. He also edits the annual IndependentGuide to theVanguardFunds. Mr.Wiener is often quoted in the nation’s leading financial publications.

oversee $2.7 billion in assets. Jeff graduated magna cum laude fromTuftsUniversitywith aB.A. in economics in 2006, holds theCharteredFinancial Analyst designation and is amember of theCFA Institute and the Boston SecurityAnalysts Society.

16 • Fund Family Shareholder Association

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