Vanguard’s One-of-a-Kind Fund Design Is About to Get Some Competition

  • Mutual fund issuer PGIA has filed to replicate Vanguard model
  • Patent has protected Bogle-founded firm’s structure since 2001

Photographer: Teradat Santivivut/Moment RF/Getty Images

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The one-of-a-kind fund structure that helped turn Vanguard Group into the second-largest ETF manager in the world may be about to get a lot less unique.

A multi-boutique asset manager has this week filed for permission to create ETFs as a share class of its US mutual funds, aiming to replicate a blueprint that Vanguard has used exclusively for more than two decades.