| WHAT'S NEW @ VANGUARD 
 In this issue:
 
 1. Looking Back at 2000
 2. 401(k) Plans Turn 20--And They've Never Looked Better
 3. Four New Features for the New Year
 4. Exercise, Eat Right, and Invest Wisely
 5. Bye-Bye Dotted Lines--Open an Ink-Free Account
 
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 1. Looking Back at 2000
 -----------------------
 
 In the first Chairman's Corner this year, John Brennan reminds us that
 the rocky ride in the securities markets in 2000 taught us valuable
 lessons: diversify, keep a long-term perspective, and avoid the
 temptation of chasing "hot" performers. In Vanguard Views, Robert
 Auwaerter of Vanguard Fixed Income Group highlights why Y2K was a good
 year for bonds.
 
 --The Chairman's Corner
 personal.vanguard.com
 
 --Vanguard Views: The Year of the Bond
 personal.vanguard.com
 
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 2. 401(k) Plans Turn 20--And They've Never Looked Better
 --------------------------------------------------------
 
 Thanks to Ted Benna, the man who found room in the tax code for the
 401(k) plan, American workers have been enjoying the benefits of pretax
 retirement plan contributions, employer matches, and tax-deferred
 compounding for two decades. Find out more about these investment
 programs and how to get the most out of your retirement plan at work.
 
 --401(k) Turns 20: Interview With Vanguard's 401(k) Chief
 personal.vanguard.com
 
 --401(k) Turns 20: Success Despite a Rocky Start
 personal.vanguard.com
 
 --401(k) Turns 20: The Do's and Don'ts of 401(k) Investing
 personal.vanguard.com
 
 --401(k) Turns 20: How to Make Your Savings Last
 personal.vanguard.com
 
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 3. Four New Features for the New Year
 -------------------------------------
 
 In early January, we introduced four new monthly features on
 Vanguard.com(TM). Each aims to make you a smarter investor: Ground
 yourself in the fundamentals of investing, find out the impact that
 changes in your life have on your finances, discover how the securities
 markets have evolved, or dive into funds that interest you.
 
 --The Basics: Personal Savings Rate
 personal.vanguard.com
 
 --Lifetime Events: Will Your Retirement Assets Last?
 personal.vanguard.com
 
 --Off the Charts: The Best and Worst of 2000
 personal.vanguard.com
 
 --5-Minute Fund FAQs: Vanguard 500 Index Fund
 personal.vanguard.com
 
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 4. Exercise, Eat Right, and Invest Wisely
 -----------------------------------------
 
 If you're like many Americans, you may have made some New Year's
 resolutions. So, while you're making the effort to improve and organize
 your life, why not do the same for your financial plans?
 
 personal.vanguard.com
 
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 5. Bye-Bye Dotted Lines--Open an Ink-Free Account
 -------------------------------------------------
 
 It's never been easier to open an account at Vanguard. As a registered
 user of Vanguard.com, you can open a new account by signing an
 application with the click of a mouse thanks to e-signature technology.
 In most cases, you can even transfer funds into your new account
 electronically. A federal law enacted on October 1, 2000, gives e-
 signatures the same legal weight as pen-and-ink ones.
 
 personal.vanguard.com
 
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 If your e-mail program does not allow you to click through to the
 featured webpages, simply copy and paste the web address (beginning
 with http) into your browser's address line.
 
 Know someone interested in mutual fund investing? Consider forwarding
 "What's New at Vanguard" to introduce a website that has been
 repeatedly recognized for the value and depth of its content.
 
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 Vanguard funds are offered by prospectus only. Prospectuses contain
 more complete information on risks, advisory fees, distribution
 charges, and other expenses and should be read carefully before you
 invest or send money. Prospectuses for Vanguard funds can be obtained
 directly from The Vanguard Group, P.O. Box 2600, Valley Forge, PA 19482
 and can be downloaded from www.vanguard.com. Prospectuses for non-
 Vanguard funds can be obtained by calling Vanguard Brokerage
 Services(R) at 1-800-992-8327.
 
 (c) 2001 The Vanguard Group, Inc. All rights reserved.
 Vanguard Marketing Corporation, Distributor.
 
 As a registered user of Vanguard.com, you requested to receive this e-
 mail when you created your web profile in the My Accounts area of our
 site. If you no longer wish to receive this e-mail, log on to My
 Accounts to update your web profile. With the Account Access tab
 selected, choose "Web Profile" under "Change" in the left frame of your
 screen. You can also call Client Services at 1-888-285-4563 to change
 your e-mail preferences or call Web Technical Support Services at 1-
 800-860-8394 if you are a participant in an employer-sponsored plan.
 
 If you need to contact us, do not reply directly to this e-mail;
 instead, e-mail us at online@vanguard.com
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