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Administration May 26, 2009
Vanguard Cuts Nevada 529 Plan Expenses
May 26, 2009 (PLANSPONSOR.com) - The Vanguard Group
has announced expense reductions, effective June 1, 2009,
across the entire lineup of investment options in The
Vanguard 529 College Savings Plan, sponsored by the State of
Nevada.
Reported by Fred Schneyer
A Vanguard news release said that, as a result, the all-in costs of the national plan’s 19 investment options will range from 0.44% to 0.66%, representing cost savings of approximately $1.8 million annually for plan investors.
The all-in costs of the plan’s three age-based investment options will decline from 0.50% to 0.44%, a 12% decrease, Vanguard said.
“By lowering expenses, we’re enabling investors to keep more of their dollars working toward their college savings goals,” said Alba Martinez, principal, Vanguard’s Education Markets Group, in the news release.
“Despite a challenging market environment, Vanguard’s client-owned structure, long-term asset growth in 529 plans, and operating efficiencies generated from improvements in technology and client service by our partner Upromise Investments, have enabled us to share savings with plan participants in the form of lower expenses,” said Martinez.