Fund Evaluator:
Vanguard High-Yield Tax-Exempt Adm (VWALX)
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Best Performing in Muni National Long Over the Last Year
| 9.2% | Victory Tax Exempt Long-Term (USTEX) |
| 8.6% | Vanguard High-Yield Tax-Exempt Adm (VWALX) |
| 8.5% | Vanguard High-Yield Tax-Exempt (VWAHX) |
| 8.3% | T. Rowe Price Tax-Free Income Inv (PRTAX) |
| 8.2% | T. Rowe Price Summit Municipal Inc Inv (PRINX) |
Fund Details
Vanguard High-Yield Tax-Exempt Adm Overview
Vanguard High-Yield Tax-Exempt Adm (VWALX) is an actively managed Municipal Bond Muni National Long fund. Vanguard launched the fund in 2001.
The investment seeks to provide a high and sustainable level of current income that is exempt from federal personal income taxes. The fund invests in municipal bonds that the advisor believes will generate a high and sustainable level of current income. It invests at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in securities whose income is exempt from federal income tax.
About Vanguard High-Yield Tax-Exempt Adm (VWALX)
There are 2 members of the management team with an average tenure of 9.36 years: Adam Ferguson (2023), Mathew Kiselak (2010). Management tenure is more important for actively managed funds than passive index funds.
The fund has 1 primary benchmark: Bloomberg Municipal TR USD index with a weighting of 100%. Vanguard High-Yield Tax-Exempt Adm has 3389 securities in its portfolio. The top 10 holdings constitute 3.6% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Vanguard High-Yield Tax-Exempt Adm is part of the Fixed Income global asset class and is within the Municipal Bond fund group. Vanguard High-Yield Tax-Exempt Adm has 3.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0%. There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 94.0% (90.9% domestic bond, 3.0% foreign bond and 0.0% convertible bond). Vanguard High-Yield Tax-Exempt Adm has 6.0% of the portfolio in cash.
Assets Under Management
The fund has $15 billion in total assets, which is above the $1 billion average for the Muni National Long category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
VWALX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Vanguard High-Yield Tax-Exempt Adm expense ratio is low compared to funds in the Muni National Long category. Vanguard High-Yield Tax-Exempt Adm has an expense ratio of 0.09%, which is 88% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Vanguard High-Yield Tax-Exempt Adm has a portfolio turnover rate of 37%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 37% for the Muni National Long category.
Recently, in the month of June 2026, Vanguard High-Yield Tax-Exempt Adm returned 1.1%, which earned it a grade of B, as the Muni National Long category had an average return of 1.0%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
Vanguard High-Yield Tax-Exempt Adm has a trailing yield of 4.12%, which is above the 3.62% category average. The fund normally distributes its income monthly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Vanguard High-Yield Tax-Exempt Adm Grades
Year to date, the fund has returned 3.3%, 0.5 percentage points better than the category, which translates into a grade of A. The fund has returned 8.6% over the past year (grade of A), 5.0% over the past three years (grade of A) and 1.4% per year over the past five years (grade of A) and 2.9% per year over the past 10 years (grade of A).
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VWALX Trailing NAV Total Returns Data as of 6/30/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| VWALX Return (NAV) | 1.1% | 3.2% | 8.6% | 5.0% | 1.4% | 2.9% |
| VWALX Grade | B | B | A | A | A | A |
| +/- Category | 0.1% | 0.3% | 1.1% | 1.0% | 0.8% | 0.9% |
| Muni National Long Avg | 1.0% | 2.9% | 7.5% | 4.0% | 0.6% | 1.9% |
| VWALX Tax Cost Ratio | na | na | 0.0% | 0.0% | 0.0% | 0.0% |
VWALX Annual NAV Total ReturnsData as of 6/30/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| VWALX Return (NAV) | 3.3% | 4.0% | 3.4% | 8.4% | -11.7% | 3.9% | 5.5% | 9.3% | 1.4% | 7.9% | 0.9% |
| VWALX Grade | A | A | A | A | C | A | B | A | A | A | A |
| +/- Category | 0.5% | 1.0% | 0.9% | 1.6% | -0.1% | 1.1% | 0.7% | 1.2% | 0.7% | 2.1% | 0.7% |
| Muni National Long Avg | 2.8% | 3.0% | 2.5% | 6.8% | -11.6% | 2.8% | 4.7% | 8.1% | 0.7% | 5.8% | 0.2% |
| Risk Measures | |
| Standard Deviation: | 6.6% |
| Total Risk Index: | 0.54 - Below Average |
| Category Risk Index: | 1.03 - Above Average |
| Category Risk Grade: | D (74% Rank) |
| Beta: | 1.17 |
| R-Squared: | 96% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | na |
| Bond Investment Style: | na |
| Yield: | 4.1% |
| Dividend Distribution: | Monthly |
| Cap Gains Distribution: | Annually |
| Total Assets: | $17603 Mil |
| Fund Total Assets: | $15,590 Mil |
| Share Class Type: | ADM |
| Portfolio Turnover: | 37% |
Management Team
| Number of Managers: 2 | |||
| Longest Tenure: 16.0 years | |||
| Average Tenure: 9.4 years | |||
| Managers (Year): Kiselak Mathew (2010), Ferguson Adam (2023) | |||
Portfolio Composition (as of 5/31/26)
| # of Holdings: | 3389 |
| % in Top 10 Holdings: | 3.6% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 3.0% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 90.9% |
| Foreign Bond: | 3.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 6.0% |
Purchase Information
| Fund Family: | Vanguard |
| Phone Number: | 800-662-7447 |
| Website: | www.vanguard.com |
| Status: | Open |
| Inception Date: | November 12, 2001 |
| Min. Initial Purchase: | $50,000 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | na |
Expenses and Fees | |
| Expense Ratio (%): | 0.09% ( Rating : Low ) |
| Category Average Expense Ratio (%): | 0.78% |
| Share Class: | Vanguard High-Yield Tax-Exempt |
| Min. Subsequent Purchase: | $ 1 |
| Min. Subsequent IRA Purchase: | $ 0 |
