Fund Description: Vanguard Total World Stock ETF is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the Vanguard International Equity Index Funds, an investment management company. INVESTMENT OBJECTIVE: Vanguard Total World Stock ETF seeks to track the performance of the FTSE All-World Index. INDEX DESCRIPTION: The FTSE All-World Index is a free-float-adjusted, market-capitalization-weighted index designed to measure the market performance of large- and mid-capitalization stocks of companies located around the world. The Index includes approximately 2,800-2,900 stocks of companies located in 47 countries, including both developed and emerging markets. As of October 31, 2008, the largest markets covered in the Index were the United States, Japan, the United Kingdom, France, and Germany. FUND STRATEGY: The Fund, utilizing a passive management or indexing investment approach, attempts to approximate the investment performance of the Index by investing in a portfolio of securities that generally replicates the Index. The Fund typically holds approximately 2,000 stocks in its Index (covering nearly 99% of the Index's total market capitalization) and a representative sample of the remaining stocks. The Fund holds a broadly diversified collection of securities that, in the aggregate, approximates the full Index in terms of key characteristics. These key characteristics include industry weightings, country weightings, and market capitalization, as well as certain financial measures, such as price/earnings ratio and dividend yield. FUND MANAGEMENT: The Vanguard Group, Inc. serves as the investment advisor to the Fund.