Fund Description: Vanguard S&P Mid-Cap 400 ETF is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the Vanguard Admiral Funds, an investment management company. INVESTMENT OBJECTIVE: Vanguard S&P Mid-Cap 400 Fund seeks to track the performance of the S&P MidCap 400 Index. INDEX DESCRIPTION: The S&P MidCap 400 Index is composed of mid-cap stocks from the broad U.S. equity market. Includes stocks of 400 medium-sized U.S. companies, representing a spectrum of industries. On average, these stocks have smaller market capitalizations than those in the S&P 500 Index. FUND STRATEGY: Under normal circumstances, the Fund will invest at least 80% of its assets in the stocks that make up the Index. In applying this 80% policy, assets will include net assets and borrowings for investment purposes. The Fund employs a passive management or indexing investment approach designed to track the performance of the Index. The Fund uses efficient, cost-effective index management techniques. Using full replication, the portfolio holds all stocks in the index in approximately the same capitalization weighting as the index. FUND MANAGEMENT: The Vanguard Group, Inc. serves as advisor to the Fund. Units are expected to trade flat, which means accrued interest will be reflected in the trading price and the purchasers will not pay and the sellers will not receive any accrued and unpaid interest.