Vanguard Mission Statement

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Jasaquwa Nash Professor Tussing Microeconomics 2302 December 11, 2017 The Vanguard Group from a Microeconomics Perspective The Vanguard Group is considered one of the world’s largest investment companies. It was founded in 1975 by John C. Bogle, and presently, the chairman of the company is John Brennan. It primarily provides various mutual funds, exchange traded funds, brokering, asset management, financial planning and other services. It is a behemoth in its industry with its reputation of offering highly ranked mutual funds.

The Vanguard Group’s market type is that of an oligopoly. In an oligopoly

It is involved with companies that sell stocks and investors who want to buy them. It also manages assets like mutual funds, which is basically pooling monies from investors and reinvesting in stocks, bonds and short term investments. It manages exchange traded funds, which are traded on stock exchanges. It offers hedge funds which involves investment partnership. Its basic marketing strategy is to pass the benefits of its low expenses for its funds onto its customers. Its mission statement demonstrates its core business blueprint – ‘It doesn't matter if you're opening your first account or you've been investing for years. You'll find everything you need to meet your goals here at Vanguard’ (An Inside Look at Vanguard Investment Management Group,

Because of the enormous growth of Vanguard in 2017, the company had to hire 1700 new employees, digital technologies and mobile applications to address the exploding number of customer complaints. ‘Customers flooded Vanguard funds with $323 billion in new money last year and another $49 billion in January 2017. They had to handle more than 10 million calls, answered 1.4 million emails and transacted 17 million trades daily’ (Zmuda, 2012). Their goal is to increase overall efficiencies and provide a better customer