Vanguard is now permitting its largest international fund, the Vanguard Total International Stock Index Fund, to purchase foreign stock directly, rather than through other Vanguard index funds.

Previously, the fund was structured as a fund-of-funds and invested in Vanguard’s European Stock Index, Pacific Stock Index and Emerging Markets Stock Index funds.

“Investment a portion of the fund directly in stocks affords Vanguard greater portfolio management flexibility and brings several benefits to shareholders, including the potential for greater tracking precision and tax efficiency,” Vanguard said in a statement.

The change will affect about half of the fund’s current holdings.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.