Vanguard Equity Income Individual Investment Option

Strategy
The Fund invests mainly in common stocks of mid-size and large companies whose stocks typically pay above-average levels of dividend income and are, in the opinion of the purchasing advisor, undervalued relative to other such stocks. In addition, the advisors generally look for companies that they believe are committed to paying dividends consistently. Under normal circumstances, the Fund will invest at least 80% of its assets equity securities. The Fund uses multiple investment advisors.

Risk
An investment in the Fund could lose money over short or even long periods. You should expect the Fund's share price and total return to fluctuate within a wide range. The Fund is subject to the following risks, which could affect the Fund's performance.

Investment style risk: The chance that returns from mid- and large-capitalization dividend-paying value stocks will trail returns from the overall stock market. Mid- and large-cap stocks each tend to go through cycles of doing better - or worse - than other segments of the stock market, or the stock market in general. These periods have, in the past, lasted for as long as several years. Historically mid-cap stocks have been more volatile in price than large-cap stocks.

The Fund is also subject to asset concentration risk, manager risk and stock market risk.

Prices and Performance: Click here to review.

Expense Ratio: The estimated overall expense ratio for this Portfolio is:

Underlying Estimated Fund Expenses:1 0.17%
Program Management Fee: 0.27%
State Administrative Fee: 0.03%
TOTAL: 0.47%

Click to Review: Fact Sheet, Prospectus, Annual Report

1 As of March 31, 2016.

Historical prices: Search for historical price information