Vanguard founder reflects on his legacy and Vanguard’s philosophy of always putting clients first

Vanguard Founder Jack Bogle reflects on his legacy and Vanguard’s philosophy of always putting the client’s interest first.


Rebecca Katz: So, Mr. Bogle, we have actually gone over time. Obviously, thousands of questions and tweets left. Maybe we can get you to answer a few tweets after the end of the broadcast. But I did want to give you the opportunity to have some final thoughts, and we could share them right with the shareholders that are watching if you’d like.

Jack Bogle: Sure. Well, I’ve had a great time in this business. Almost unimaginably great. I’ve accomplished something that has not been done before. The idea of index fund investing is kind of taking over the world. And it is taking over the world and it’s going to continue, by the way. I warned my actively managed competitors, they’re going to have to do something somewhere to protect themselves. But the whole core of everything we do here most notably and easily measurable in indexing is putting the client first and giving you your fair share of whatever market returns develop. They may be good and they may be bad, and I warn you that owning an index fund is not a free ride to prosperity under all circumstances. When the markets are bad, and they will be bad from time to time, particularly in the short run, the index fund will give you your fair share of those bad returns. So don’t think of it as a miracle. Think about it as an intelligent policy that puts you in the focus of the system. And, fortunately, given Vanguard’s structure, we’re able to deliver on that promise, a mutual company in which the shareholder comes first, last, and always. Or as I would put it in a more simple way, you’ll recognize the cadence, Vanguard is a company of the investor, by the investor, and for the investor. And you all are those investors. And I thank you deeply for your kind comments about me. And I thank you for your confidence in me and in Vanguard.

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