Major Fixed Income ETF Bought, as Investment Management Firm Reshuffles Its Portfolio

On October 20, 2025, My Personal CFO, LLC disclosed a new position in Vanguard Scottsdale Funds - Vanguard Intermediate-Term Corporate Bond ETF (NASDAQ:VCIT), acquiring shares estimated at ~$20.94 million.

What Happened

My Personal CFO, LLC initiated a new stake in Vanguard Scottsdale Funds - Vanguard Intermediate-Term Corporate Bond ETF (VCIT), according to a filing with the Securities and Exchange Commission dated October 20, 2025. The firm acquired 248,946 shares, with the estimated trade valued at $20.94 million. This new position placed VCIT among the fund’s largest holdings for the reporting period.

What Else to Know

This is a new position; VCIT accounted for 8.11% of My Personal CFO, LLC’s 13F reportable AUM after the trade

Top holdings after the filing:

• VTI: $25.55 million (9.9% of AUM) as of September 30, 2025
• VCIT: $20.94 million (8.1% of AUM) as of September 30, 2025
• IVV: $13.63 million (5.3% of AUM) as of September 30, 2025
• VCSH: $13.26 million (5.1% of AUM) as of September 30, 2025

VCIT’s annualized dividend yield was 4.50% as of October 21, 2025; shares were 0.17% below their 52-week high as of October 20, 2025.

ETF Overview

ETF Snapshot

Investment strategy centers on passively tracking the Bloomberg U.S. 5-10 Year Corporate Bond Index, targeting intermediate-term, investment-grade corporate bonds.

Portfolio is primarily composed of U.S. dollar-denominated, fixed-rate bonds from industrial, utility, and financial issuers, with maturities between five and ten years.

The fund is structured as an ETF, offering a diversified approach to corporate bond exposure; the expense ratio is not provided.

The ETF provides exposure to a diversified basket of investment-grade corporate bonds, focusing on intermediate maturities to balance yield and interest rate risk. VCIT's passive indexing approach and competitive dividend yield provide reliable income and credit diversification within the U.S. corporate bond market.

Foolish Take

My Personal CFO, an investment management company based out of Vancouver, Washington, recently acquired $20.9 million worth of VCIT, a corporate bond ETF. The purchase is notable due to its size. VCIT is now the firm's second-largest holding, comprising more than 8% of the firm's total assets under management.

For average investors, this transaction isn't that useful as a guide to market sentiment. In this case, the purchase of a bond ETF is almost certainly portfolio management -- shifting a portion of the overall portfolio into fixed income assets for reasons that cannot be fully understood by outsiders.

However, there is a takeaway for retail investors: It's never been easier to gain exposure to the bond market. Individual investors can now easily allocate a portion of their own portfolios to fixed income products through ETFs like the VCIT.

For example, The Vanguard Total Bond Market ETF (BND) provides exposure to a broad array of U.S. investment grade bonds. The iShares 20+ Year Treasury ETF (TLT) focuses on the long end of the U.S. Treasury bond market.

In summary, this institutional buy is of little use to retail investors. However, it can serve as a useful introduction to the world of fixed income ETFs.

Glossary

13F reportable AUM: Assets under management that must be disclosed in quarterly SEC Form 13F filings by institutional investment managers.
ETF (Exchange-Traded Fund): An investment fund traded on stock exchanges, holding a basket of securities such as stocks or bonds.
Intermediate-term corporate bond: A corporate bond with a maturity typically between five and ten years.
Dividend yield: Annual dividends paid by an investment, expressed as a percentage of its current price.
Total return: The investment's price change plus all dividends and distributions, assuming those payouts are reinvested.
Passive indexing: Investment strategy aiming to replicate the performance of a specific market index rather than actively selecting securities.
Bloomberg U.S. 5-10 Year Corporate Bond Index: A benchmark tracking U.S. investment-grade corporate bonds with maturities between five and ten years.
Investment-grade: Bonds rated as relatively low risk of default by credit rating agencies, typically rated BBB- or higher.
Expense ratio: The annual fee, as a percentage of assets, that a fund charges to cover its operating expenses.
Credit diversification: Spreading investments across various issuers to reduce the risk of loss from any single borrower's default.
U.S. dollar-denominated: Securities issued and traded in U.S. dollars, regardless of the issuer's country of origin.
Fixed-rate bonds: Bonds that pay a set interest rate throughout their maturity period.

Jake Lerch has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Vanguard Total Bond Market ETF and Vanguard Total Stock Market ETF. The Motley Fool has a disclosure policy.