| FORM 990, PART III, LINE 1 |
VANGUARD CHARITABLE FULFILLS ITS MISSION TO INCREASE PHILANTHROPY AND MAXIMIZE ITS IMPACT OVER TIME BY ADMINISTERING A DONOR-ADVISED FUND, A TAX-EFFECTIVE WAY TO CONSOLIDATE, ACCRUE, AND GRANT ASSETS TO CHARITY. VANGUARD CHARITABLE'S PHILANTHROPIC ACCOUNTS OFFER DONORS A FLEXIBLE AND CONVENIENT WAY TO GIVE, HELPING THEM MAKE A GREATER CHARITABLE IMPACT IN BOTH THE NEAR AND LONG TERM. VANGUARD CHARITABLE IS PROUD TO OFFER THE HIGHEST-VALUE DONOR-ADVISED FUND, A CLAIM BACKED BY OUR LOW ALL-IN FEE AND STRONG ALIGNMENT WITH THE TIME-TESTED PRINCIPLES OF VANGUARD, A LEADER IN AT-COST INVESTMENTS. VANGUARD CHARITABLE BELIEVES IN THE IMPORTANCE OF LONG-TERM, STRATEGIC CHARITABLE PLANNING THAT MINIMIZES COSTS AND MAXIMIZES THE IMPACT OF PHILANTHROPIC GIVING. |
| FORM 990, PART III, LINE 4A |
VANGUARD CHARITABLE IS A LEADING U.S. NONPROFIT ORGANIZATION THAT FULFILLS ITS MISSION TO INCREASE PHILANTHROPY AND MAXIMIZE ITS IMPACT OVER TIME BY ADMINISTERING A DONOR-ADVISED FUND, A TAX-EFFECTIVE WAY TO CONSOLIDATE, ACCRUE, AND GRANT ASSETS TO CHARITY. THE UNIQUE STRUCTURE OF OUR PERSONAL PHILANTHROPIC ACCOUNTS ALLOWS DONORS TO BE STRATEGIC ABOUT GIVING AND MANAGE THEIR CHARITABLE DONATIONS IN A TAX-EFFECTIVE, FLEXIBLE, AND CONVENIENT WAY. THOSE ATTRIBUTES, COUPLED WITH OUR LOW COSTS AND MEANINGFUL CHARITABLE GUIDANCE, HELP DONORS MAXIMIZE THEIR PHILANTHROPIC IMPACT. THROUGH THESE PHILANTHROPIC ACCOUNTS, WE HELP DONORS FULFILL CHARITABLE MISSIONS THAT REFLECT THE PEOPLE AND CAUSES THEY CARE ABOUT MOST, AND TOGETHER, WE SUPPORT TENS OF THOUSANDS OF NONPROFIT ORGANIZATIONS EVERY YEAR. OUTSIDE THE IMMEDIATE BENEFITS, SUCH AS A CHARITABLE TAX DEDUCTION THAT CAN ENABLE GREATER GENEROSITY, OUR PHILANTHROPIC ACCOUNTS ALSO OFFER CHARITABLE ASSETS THE OPPORTUNITY TO GROW TAX-FREE THROUGH A RANGE OF HIGH-QUALITY INVESTMENT OPTIONS THAT SPAN THE RISK SPECTRUM. VANGUARD CHARITABLE MAKES IT EASIER TO MANAGE CHARITABLE DONATIONS BY ALLEVIATING THE ADMINISTRATIVE BURDEN AND TIME REQUIRED TO INVEST ASSETS, CONDUCT CHARITY DUE DILIGENCE, AND ISSUE GRANTS. OUR PHILANTHROPIC ACCOUNTS REDUCE WORK AND STREAMLINE COSTS FOR DONORS WITHOUT SACRIFICING CHARITABLE IMPACT. DURING THIS FISCAL YEAR, VANGUARD CHARITABLE DISTRIBUTED APPROXIMATELY 12.9% OF ASSETS (BASED ON A 5-YEAR ROLLING AVERAGE) IN GRANTS FOR CHARITABLE PURPOSES, PRINCIPALLY TO OTHER QUALIFIED 501(C)(3) PUBLIC CHARITIES AND GOVERNMENTAL ORGANIZATIONS EXCLUSIVELY FOR PUBLIC PURPOSES. VANGUARD CHARITABLE ISSUED 206,009 GRANTS TOTALING OVER $1.89 BILLION. THESE GRANTS BENEFITED LOCAL, REGIONAL, NATIONAL AND GLOBAL CAUSES. SINCE ITS INCEPTION IN 1997, VANGUARD CHARITABLE HAS GRANTED MORE THAN $14.2 BILLION TO QUALIFIED CHARITABLE DONEES. |
| FORM 990, PART VI, SECTION A, LINE 4 |
DURING THE FISCAL YEAR, VANGUARD CHARITABLE AMENDED ITS BYLAWS. THE FIRST CHANGE MADE WAS TO MODIFY THE OFFICERS OF THE CORPORATION TO ONLY BE THE PRESIDENT, SECRETARY, AND TREASURER. THE OTHER CHANGE WAS TO CODIFY A LONGSTANDING PRACTICE OF VANGUARD CHARITABLE THAT A MAJORITY OF VANGUARD CHARITABLE'S TRUSTEES SHALL BE INDEPENDENT OF VANGUARD GROUP, INC. BECAUSE VANGUARD CHARITABLE IS NOT A PROGRAM OR ACTIVITY OR AFFILIATE OF VANGUARD GROUP, INC. |
| FORM 990, PART VI, SECTION B, LINE 11B |
THE FINAL DRAFT IS CIRCULATED TO ALL TRUSTEES AS WELL AS VANGUARD CHARITABLE'S OUTSIDE LEGAL COUNSEL REQUESTING THEIR REVIEW AND APPROVAL OF THE DOCUMENT AND ALSO SOLICITING COMMENTS, QUESTIONS, AND CONCERNS. ALL FEEDBACK IS IMMEDIATELY ADDRESSED. ANY RESULTANT MODIFICATIONS TO THE RETURN ARE INCORPORATED INTO A REVISED FINAL DRAFT. THE RETURN IS FILED WITH THE IRS. ONCE FILED, A PUBLIC COPY OF THE RETURN IS POSTED ON VANGUARD CHARITABLE'S PUBLIC WEBSITE. |
| FORM 990, PART VI, SECTION B, LINE 12C |
ON AN ANNUAL BASIS, AND IN CONJUNCTION WITH THE PREPARATION OF THE 990, A CONFLICT-OF-INTEREST QUESTIONNAIRE AND COPY OF VANGUARD CHARITABLE'S CONFLICT OF INTEREST POLICY IS PROVIDED TO ALL CURRENT TRUSTEES, OFFICERS, KEY EMPLOYEES, AS WELL AS VANGUARD CHARITABLE STAFF. IT IS REQUIRED THAT THEY REVIEW THE CONFLICTS OF INTEREST POLICY AND RESPOND TO THE APPROPRIATE QUESTIONS ON THE QUESTIONNAIRE, THEN SIGN AND RETURN IT TO MANAGEMENT PRIOR TO FILING THE 990. IN ACCORDANCE WITH THE POLICY, TRUSTEES ARE REQUIRED TO DISCLOSE CONFLICTS AND DO NOT PARTICIPATE IN DECISIONS TO WHICH THEY MAY HAVE A CONFLICT. |
| FORM 990, PART VI, SECTION B, LINES 15A & 15B |
THE BOARD SETS COMPENSATION FOR THE OFFICERS BASED ON SEVERAL FACTORS, AS FOLLOWS: 1) ORGANIZATIONAL PERFORMANCE AS MEASURED CONSISTENT WITH VANGUARD CHARITABLE'S RELEVANT METRICS, 2) INDIVIDUAL ACHIEVEMENT AS ASSESSED DURING THE FORMAL ANNUAL AND MID-YEAR REVIEW PROCESS, 3) USE OF COMPARABLE COMPENSATION DATA FOR SIMILARLY QUALIFIED PERSONS IN FUNCTIONALLY COMPARABLE POSITIONS AT REGIONAL NOT-FOR-PROFIT ORGANIZATIONS AND NATIONAL DONOR ADVISED FUNDS, AND 4) TRUSTEE APPROVED COMPENSATION STRATEGY FOR VANGUARD CHARITABLE. |
| FORM 990, PART VI, SECTION C, LINE 19 |
VANGUARD CHARITABLE PRIDES ITSELF ON TRANSPARENCY. THE FOLLOWING DOCUMENTS ARE AVAILABLE BOTH ON VANGUARD CHARITABLE'S WEBSITE AS WELL AS ON REQUEST: AUDITED FINANCIAL STATEMENTS, FORM 990, CONFLICTS OF INTEREST POLICY, CODE OF ETHICS POLICY, WHISTLEBLOWER POLICY, AND ANNUAL REPORT. VANGUARD CHARITABLE'S RECORDS RETENTION POLICY, GIFT ACCEPTANCE POLICY, AND FORM 1023 ARE ALSO AVAILABLE UPON REQUEST. |
Attach to Form 990 or 990-EZ.