Skip to Content

    For America’s middle class, many of retirement’s financial building blocks have crumbled. Social Security and home equity look unreliable; pensions have nearly vanished. In their stead, 52 million savers rely on “self-directed” pension plans like 401(k)s, where expenses can siphon away tens of thousands of dollars over a lifetime. No institution has done more to combat those costs than Vanguard, the champion of index investing. By matching rather than trying to beat the market, index funds keep expenses low (Vanguard’s average 0.18% annually). That in turn pressures competitors to lower their costs or justify high expenses with stellar returns (a bar that few clear). U.S. investors now hold roughly $4 trillion in index and exchange-traded funds. Not coincidentally, average stock-fund expenses have declined 29% since 2004.

    Fortune Data StoreLooking for leads, investment insights, or competitive intelligence?Get Premium Access

    Company Info

    Sector
    Financials
    Industry
    Asset Management
    Country
    U.S.
    Revenues ($ millions)-
    Company type
    Private
    CEO
    Frederick W. McNabb III
    Websitehttp://www.vanguard.com
    Impact Segment
    Economic Opportunity/Financial Inclusion

    Fortune Rankings

    Fortune 500 Rank-
    Fortune 500 Profile-
    Most Powerful Women Rank-
    Most Powerful Women Profile-
    World's Greatest Leaders Rank-
    World's Greatest Leaders Profile-