Investment Options

Investment Objective

The Aggressive Growth Portfolio seeks to provide capital appreciation and some current income.

Investment Strategy

The Aggressive Growth Portfolio invests entirely in the Vanguard LifeStrategy Growth Fund (the “Growth Fund”).  The Growth Fund invests in other Vanguard Mutual Funds according to a fixed formula that reflects an allocation of approximately 80% of the Growth Fund’s assets to common stocks and 20% to bonds.

The Growth Fund’s indirect stock holdings are a diversified mix of U.S. and foreign large-, mid-, and small-capitalization stocks. Its indirect bond holdings are a diversified mix of short-, intermediate-, and long-term U.S. government, U.S. agency, and Investment Grade U.S. corporate bonds; mortgage-backed and asset-backed Securities; and government, agency, corporate, and securitized investment-grade foreign bonds issued in currencies other than the U.S. dollar (but hedged by Vanguard to minimize foreign currency exposure).  The Growth Fund’s board of trustees allocates the Growth Fund’s assets among the underlying funds based on the Growth Fund’s investment objective and policies. The Growth Fund’s board of trustees may change these allocations from time to time without shareholder approval.

Investment Risks

Because the Aggressive Growth Portfolio invests entirely in the Vanguard LifeStrategy Growth Fund, the Portfolio is primarily subject to a high level of stock market risk and a moderate level of country/regional risk and currency risk. The Portfolio is also subject to bond risks, including low to moderate levels of interest rate risk, credit risk, income risk, and call risk, and low levels of currency hedging risk and nondiversification risk. 

To learn more about this investment portfolio, please visit Vanguard's website.