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Fed Policy      6-Jan-09 05:19 am    
Current Fed policy is to drive interest rate spreads between treasury paper investment grade corporate paper closer to zero. An article on this is given below.

This policy effectivly means that the fed wants the yield of this fund to be driven closer to the yield on the 3 year T Bill which is 1.125%. This will should significantly (and favorably) impact the NAV of funds like this and others.

http://www.bloomberg.com/apps/news?pid=2...

Everybody give one big cheer for "quantitative easing"
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buysvalueac...

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Vanguard Short-Term Investment-Grade (VFSTX)

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