Vanguard Explorer Adds Arrowpoint as Eighth Subadvisor
Arrowpoint, run by ex-Janus managers Chad Meade and Brian Schaub, will begin managing a 4% sleeve of Vanguard Explorer.
Neutral-rated Vanguard Explorer (VEXPX) added Arrowpoint Partners, LLC as the fund's eighth subadvisor, effective June 16, 2014. According to Vanguard, Arrowpoint will manage 4% of assets. Funding most of Arrowpoint's allocation are decreases to subadvisors Century's and Chartwell's allocations, each of which now have a 7% portion from 9% at the end of March 2014.
Vanguard typically does not discuss reasons for making changes to specific subadvisor allocations. Historically, the firm has added subadvisors in response to capacity constraints, large cash balances, undesirable portfolio characteristics such as excessive volatility for a given mandate (not likely an issue here), or when Vanguard's manager-search efforts have uncovered a promising new manager.
Bridget B. Hughes does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.