Vanguard has closed its Convertible Securities Fund to new accounts and imposed a $25,000 annual investment limit on current retail accounts. 

“The board of directors regularly monitors cash flow into Vanguard’s funds and takes actions when assets reach level that could impede advisors’ ability to implement their investment strategies effectively,” said Vanguard CEO Bill McNabb. “We believe that the Convertible Securities Fund closure is prudent in light of strong recent cash flow, coupled with a limited supply of new issuance in the U.S. convertibles market.”

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