The Vanguard Group said on Friday that is making a new equity "fund of funds" available to investors and that its Admiral share class is now available for its $9 billion Inflation-Protected Securities Fund.

The new Diversified Equity Fund will invest in a diversified group of eight actively managed stock funds from the Valley Forge, Penn., company.

Vanguard Chairman and CEO Jack Brennan said the fund would be marketed to a broad range of investors, including younger people who are just starting to think about retirement and those individuals who are already in retirement, as well as endowments, foundations, and sponsors of defined contribution and defined benefit programs.

The fund's target asset allocation will be about 80% large-cap, 10% small-cap and 10% mid-cap. Taxable accounts will require a $3,000 minimum investment, while IRAs, education savings accounts and custodial accounts for minors will demand a $1,000 initial investment. The indirect expense ratio is anticipated to be 0.44%.

The new Admiral share class for the Inflation-Protected Securities Fund will have an expense ratio of 0.11%, officials said.

Investors must meet a number of criteria, however, such as fund account balances totaling $100,000 or more. Established in 2000, the fund invests in inflation-indexed bonds with an average maturity of 7 years to 20 years. Both the U.S. government and domestic corporations issue the securities.

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