Vanguard ®

Vanguard Health Care ETF | VHT
As of December 31, 2023

Investment approach

Quick facts• Seeks to track the performance of the MSCI US Investable Market
Health Care 25/50 Index.

Benchmark• Multicapitalization equity in the health care sector.

Dividend schedule

MSCI US IMI/Health Care 25/50

Expense ratio1

0.10%
Quarterly• The fund employs a passively managed, full-replication strategy whenpossible.

ETF total net assets$16,644 million

Fund total net assets$19,469 million• If regulatory constraints prevent full replication, the fund uses asampling strategy to approximate the index’s key characteristics.

Inception date

• The fund remains fully invested.

Trading information• Low expenses minimize net tracking error.

Ticker symbol

VHT

CUSIP number

92204A504

2004-01-26

IIV (intra-day ticker)

About the benchmark• The MSCI US Investable Market Health Care 25/50 Index includes
stocks of U.S. companies within the health care sector.

VHT.IV

Index ticker (Bloomberg)

M5US5HCI

Exchange

NYSE Arca• The sector is made up of companies that manufacture health careequipment and supplies or that provide health care-related services,and companies that are primarily involved in the research,development, production, and marketing of pharmaceuticals andbiotechnology products.

ETF attributes• Uses GICS methodology and clearly classified sectors.

Health Care ETF
Number of stocks

MSCI USIMI/Health Care
25/50

421

412

Median market cap$113.8B$113.8B

Price/earnings ratio

29.2x

29.2x

Price/book ratio

4.4x

4.4x

• Offers broad representation of the target sector across large-,
medium-, and small-cap companies.

Return on equity

21.4%

21.4%

Earnings growth rate20.0%

20.0%

Performance history

Standard deviation6

Turnover rate5

4.1—14.57%

14.57%

Total returns 2 for period ended December 31, 2023
Year todate

1 year

3 years

5 years

10 years

Sinceinception

VHT (Inception 2004-01-26)

Quarter

Net asset value (NAV) return3

7.10%

2.47%

2.47%

5.27%

10.96%

11.03%

9.88%

Market price return4

7.18

2.55

2.55

5.26

10.98

11.03

9.89

Spliced U.S. Investable Market
Health Care 25/50 Index

7.12

2.56

2.56

5.37

11.04

11.10

10.02

MSCI US Investable Market Health Care Index through February 26, 2010; MSCI US Investable Market
Health Care 25/50 Index thereafter.
The performance data shown represent past performance, which is not a guarantee offuture results. Investment returns and principal value will fluctuate, so investors’ shares,
when sold, may be worth more or less than their original cost. Current performance may belower or higher than the performance data cited. For performance data current to themost recent month-end, visit our website at vanguard.com/performance. The performance of anindex is not an exact representation of any particular investment, as you cannot invest directly in anindex.
Investment Products: Not FDIC Insured • No Bank Guarantee • May Lose Value

1. As reported in the most recent prospectus. A fund’s current expense ratio may be lower or higher than the figure reported in the prospectus.
2. Figures for periods of less than one year are cumulative returns. All other figures represent average annual returns. Fund performance figures assume the reinvestment of dividends and capital gains distributions;the figures are pre-tax and net of expenses. The above widely used comparative index represents unmanaged or average returns on various financial assets that can be compared with the fund’s total returns forthe purpose of measuring relative performance.
3. As of 4 p.m., Eastern time, when the regular trading session of the New York Stock Exchange typically closes.
4. Market price returns are calculated using the midpoint between the bid and offer prices at the time NAV is calculated, typically 4 p.m., Eastern time.
5. For most recent fiscal year. Turnover rate excludes the value of portfolio securities received or delivered as a result of in-kind purchases or redemptions of the fund’s capital shares, including Vanguard ETF Creation
Units.
6. A measure of the volatility of a fund—based on the fund’s last three years of monthly returns—used to indicate the dispersion of past returns. A higher standard deviation means a greater potential for volatility.
For funds with less than 36 months of performance history, standard deviation is not calculated.

Vanguard Health Care ETF | VHT
As of December 31, 2023

Expense ratio comparison 1

Market capitalization breakdown
Large Cap

1.27%

73.0%

Medium/Large Cap3.2%

Medium Cap

10.8%

Medium/Small Cap

5.4%

Small Cap

7.7%

0.46%

Health/Biotec Health/Biotehnology
chnology FdFunds
Avg ETFonly
Average

0.10%

Subindustry diversification as % of common stock 3

Health Care
ETF

Pharmaceuticals

Ten largest holdings and % of total net assets 2

27.3%

Biotechnology

19.1%

Health Care Equipment

18.6%

Managed Health Care

12.6%

Life Sciences Tools & Services

11.2%

Health Care Services

4.9%
2.4%

UnitedHealth Group Inc.

8.4%

Health Care Distributors

Eli Lilly & Co.

8.1%

Health Care Facilities

1.7%

Johnson & Johnson

6.5%

Health Care Supplies

1.3%

Merck & Co. Inc.

4.8%

Health Care Technology

0.9%

AbbVie Inc.

4.7%

Thermo Fisher Scientific Inc.

3.5%

Abbott Laboratories

3.3%

Pfizer Inc.

2.8%

Danaher Corp.

2.8%

Amgen Inc.

2.7%

Top ten as % of total net assets

47.6%

1. Represents the expense ratio for the Vanguard ETF as reported in the most recent prospectus. There are material differences between mutual funds and ETFs. Unlike mutual funds, ETFs are priced continuouslyand bought and sold throughout the day in the secondary market (at a premium or discount to net asset value) with the assistance of a stockbroker, which entails paying commissions. Sources: Lipper, aThomson Reuters Company, and Vanguard, December 31, 2022.
2. The holdings listed exclude any temporary cash investments and equity index products.
3. Sector categories are based on the Global Industry Classification Standard (“GICS”), except for the “Other” category (if applicable), which includes securities that have not been provided a GICS classification
as of the effective reporting period.

Vanguard ETF® Shares are not redeemable with the issuing Fund other than in very large aggregations worth millions of dollars. Instead, investors must buy or sell Vanguard
ETF Shares in the secondary market and hold those shares in a brokerage account. In doing so, the investor may incur brokerage commissions and may pay more than net
asset value when buying and receive less than net asset value when selling.
All ETF products are subject to risk, which may result in the loss of principal. Sector ETF products are subject to sector risks and non-diversification risks, which may result inperformance fluctuations that are more extreme than fluctuations in the overall stock market.
The funds or securities referred to herein are not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such funds or securities. The prospectus or theStatement of Additional Information contains a more detailed description of the limited relationship MSCI has with Vanguard and any related funds.
CGS identifiers have been provided by CUSIP Global Services, managed on behalf of the American Bankers Association by Standard & Poor’s Financial Services, LLC, and are not for use ordissemination in a manner that would serve as a substitute for any CUSIP service. The CUSIP Database, © 2024 American Bankers Association. “CUSIP” is a registered trademark of the AmericanBankers Association.

For more information about Vanguard ETF Shares, visit vanguard.com, call 866-499-8473, or contact your broker to obtain a prospectus or, if available, a summary
prospectus. Investment objectives, risks, charges, expenses, and other important information are contained in the prospectus; read and consider it carefully before
investing.
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