VSBSX

About VSBSX

Vanguard Short-Term Treasury Index Fund Admiral Shares is an index mutual fund focused on U.S. government debt with one to three years remaining to maturity. Its primary objective is to track the Bloomberg U.S. Treasury 1–3 Year Bond Index, providing broad, market-value–weighted exposure to short-duration Treasury securities backed by the full faith and credit of the United States. The fund emphasizes low credit risk and limited interest-rate sensitivity, aiming for stability and liquidity through a conservative maturity profile. It is designed to serve as a core short-term fixed income allocation, a cash management sleeve, or a defensive ballast within diversified portfolios. Key characteristics include a low expense structure reflective of Vanguard’s indexing approach, high portfolio quality, and an effective duration typically under two years, which helps dampen price volatility as rates move. By focusing strictly on Treasuries and avoiding credit exposure, the fund prioritizes capital preservation and predictable income over yield enhancement, aligning with investors seeking high-quality short-term bond market access.