Vanguard closed the $9.1 billion fund in 2009. Due to changes in the interest rate environment, we believe it is now in the best interests of shareholders to reopen the fund.

The change means you now have access to two low-cost U.S. government money funds. InJune 2015, we reopened the $4.8 billion Federal Money Market Fund (VMFXX). The Treasury Money Market Fund invests primarily in U.S. Treasuries, while the Federal Money Market Fund invests primarily in U.S. agency debt.

New rules for money market funds

As U.S. government money market funds, both funds provide investors with a stable $1 net asset value (NAV). Moreover, they will not be subject to new liquidity fee or redemption gate requirements under rules adopted by the Securities and Exchange Commission (SEC) in 2014. Vanguard’s Treasury Money Market Fund and Federal Money Market Fund currently invest more than 99.5% of their total assets (the percentage at which the rules define a U.S. government money market fund) in cash, government securities, or repurchase agreements that are collateralized solely by government securities or cash. They will continue to adhere to this standard.

All investing is subject to risk, including the possible loss of the money you invest.
An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although a money market fund seeks to preserve the value of your investment at $1 per share, it is possible to lose money by investing in such a fund.