The bull market continued running in 2024. Yes, all major asset classes—U.S. stocks, bonds, cash, real estate and commodities—delivered positive returns last year. But the clear winners were the large tech stocks that dominate the indexes. With Growth Index (VIGAX) gaining 32.7%, momentum carried the day.
It was a momentous year at Vanguard, too.
In a bold move Vanguard hired Salim Ramji as the first “outside CEO” to replace retiring CEO Tim Buckley. Arguably, Ramji’s most immediate and pressing challenge is to improve Vanguard’s technology and service, which has become the firm’s Achilles heel.
But Ramji also faces external challenges: With over $10 trillion under management, Vanguard has a target on its back.
The Yes Men ran the Many Happy Returns campaign in March, designed to raise awareness of what they see as a disconnect between being worried about the climate and owning a Vanguard mutual fund.
In the same year, the FDIC debated whether it should change how it monitors and regulates Vanguard (and the other large asset managers). Also, Texas (and a few other states) sued Vanguard for anti-competitive practices, alleging the asset manager pushed coal companies to cut production.
As I’ve said, Vanguard faces pressure from both sides of the political spectrum.
Elsewhere in Vanguard news, the fund giant continued to expand its bond ETF lineup in 2024, launching four tax-exempt bond ETFs and filing to launch two Treasury-based ETFs.
But it wasn’t all about expansion—Vanguard sold its small business retirement accounts to Ascensus and announced it was discontinuing its legacy mutual fund platform in 2025.
As we enter the new year, we shareholders have the opportunity to vote on the Board of Trustees—the people tasked with overseeing Vanguard’s funds on our behalf—for the first time in seven years.
You can find my 2025 Outlook Bull Run or Turning Point?. I’ll follow up with a deeper look at how the markets fared in 2024, but below are the events that caught my attention throughout the year:
JANUARY
Lubos Pastor joins Vanguard’s board of directors … 500 Index’s nine-week winning streak comes to an end … Vanguard makes Cash Plus Account open to all comers … The SEC approves 11 spot bitcoin ETFs. Vanguard blocks trading of all bitcoin-related ETFs on its platform … The S&P 500 index closes at a new all-time high, officially ending the bear market that began on Jan. 3, 2022 … Vanguard announces a partnership with estate planning software Vanilla … Vanguard launches two new tax-exempt bond ETFs: Intermediate-Term Tax-Exempt Bond ETF and California Tax-Exempt Bond ETF. TOP FUND: Market Neutral, 4.4%. WORST: Global Environmental Opportunities Stock, -7.4%.