, Columnist
How the Vanguard Effect Adds Up to $1 Trillion
The financial company doubles as a wealth-transfer machine.
Big impact.
Photographer: Mike Mergen/BloombergThis article is for subscribers only.
In the usually bleak debate over the economic health of average Americans and the utility of the finance industry, here’s a happy statistic: A private-sector wealth-transfer machine has saved average investors $1 trillion. That machine is Vanguard, and its model is worth highlighting -- and maybe even emulating.
Let me explain the math.