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Until August 2024, you had to call into Vanguard customer service to convert Vanguard mutual funds to Vanguard ETF versions.
Now, you can convert Vanguard mutual funds to their ETF share class through an online form on Vanguard.com.
Vanguard ETFs are the same funds as the Admiral Funds, just a different share class. There are 47 Vanguard mutual funds that have ETF equivalents. Eighteen of the Vanguard index mutual funds have ETFs with lower expense ratios.
Some of the most popular Vanguard funds that can be converted tax free to the Vanguard ETF versions are:
| Mutual Fund / Admiral Shares | Corresponding Vanguard ETF | Mutual Fund Expense Ratio | ETF Expense Ratio |
| Total Stock Market Index Fund (VTSAX) | Total Stock Market ETF (VTI) | 0.04 | 0.03 |
| Total International Stock Index Fund (VTIAX) | Total International Stock ETF (VXUS) | 0.11 | 0.09 |
| Total World Stock Index Fund (VTWAX) | Total World Stock ETF (VT) | 0.10 | 0.09 |
| Tax-Exempt Bond Index Fund (VTEAX) | Tax-Exempt Bond ETF (VTEB) | 0.09 | 0.08 |
| 500 Index Fund (VFIAX) | S&P 500 ETF (VOO) | 0.04 | 0.03 |
Convert Vanguard Mutual Funds to ETFs Online
You can find the “Convert Vanguard mutual funds to ETFs” link on the Transact – Buy & sell page from the personal investors Vanguard website. See screenshot below:
Once you select that link, you'll get an agreement page. Screenshot and text below:
Here is the text version of the agreement screen:
Convert Vanguard mutual funds to Vanguard ETFs. Learn more.
- Requests received prior to the New York Stock Exchange close (usually 4 PM EST) will be processed that day. Requests after this time will be processed the next trading day. Mutual Fund dividend payments at or near the time of conversion may delay the process.
- An ETF conversion is irreversible – Vanguard ETF shares cannot be converted back to Vanguard mutual fund shares. If you decide in the future to sell your Vanguard ETF shares in order to repurchase Vanguard mutual fund shares, that transaction could be taxable in a non-retirement account and fund minimums must be met.
- Certain mutual fund account options will not apply or will need to be reestablished following the conversion (including some distribution and money transfer options).
- An ETF conversion will be processed based on the relative net asset values of the Vanguard mutual fund and the Vanguard ETF.
- COST BASIS INFORMATION FOR NON-RETIREMENT ACCOUNTS:
- If you are not already locked into the average cost method by a sale, transfer, partial conversion or other disposition of your Vanguard mutual fund shares, we’ll have you revoke the average cost method for any eligible shares of Vanguard mutual funds and apply the First In First Out (FIFO) cost basis method prior to this conversion to the ETF share class.
- If you are already locked into the average cost method by a sale, transfer, partial conversion or other disposition of your Vanguard mutual fund shares, we’ll have you exit the average cost method for any eligible shares of Vanguard mutual funds and apply the FIFO cost basis method prior to this conversion to the ETF share class. This means share lots acquired prior to the conversion will be listed individually with the averaged cost.
- By clicking submit you agree to convert your mutual fund shares to the ETF share class and are instructing Vanguard to revoke your average cost election.
Do you want to convert to Vanguard ETFs now?
Once you agree to the agreement, you'll select which account you want to convert mutual funds to ETFs.
Click review, review your conversion, and click submit. Saved yourself a 10 minute phone call :)
Vanguard mutual funds to ETF is a one way street. You can't convert back. However, because it's the same funds, it's a non-taxable event, even in a taxable brokerage account.
One reason you might want to convert Vanguard mutual funds to ETF versions is to easily move them to another brokerage, such as Schwab or Fidelity. You may also want to take advantage of a lower expense ratio.