Author Topic: why does the vuiax have such a high minimum  (Read 1406 times)

UltraRunning

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why does the vuiax have such a high minimum
« on: December 04, 2014, 01:56:19 PM »
Why would their minimum be 100k?  I know I could buy the etf version but for somoene that prefers the mutual fund option i am curious why they dont have a 3k and 10k option like many of their other mutual funds.

matchewed

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Re: why does the vuiax have such a high minimum
« Reply #1 on: December 04, 2014, 04:24:36 PM »
VUIAX has 2.3 billion in net assets as of the end of October.

Some of their other mutual funds...

VTSAX - 370 billion
VBTLX - 131 billion
VTIAX - 133 billion
VTABX - 28.3 billion

In short they are putting their resources into the larger funds. To take away from those big funds and allocate more resources to small funds such as VUIAX seems kinda silly. So they'll maintain a higher barrier of entry into those funds. Then just give an easy ETF. It essentially is too specialized to be worth their time unless someone is willing to pony up a pretty penny for it.

At least that's my take on it. I am by far not an insider.

UltraRunning

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Re: why does the vuiax have such a high minimum
« Reply #2 on: December 04, 2014, 07:38:56 PM »
 Thank you so much for your take on it. Did not think to look at the amount invested in each fund and compare. That makes quite a bit of sense. One more question of you don't mind. Why offer the etf then? I'm guessing the etf is lower maintance for them somehow ?