N-Q 1 explorerfinal.htm explorerfinal.htm - Generated by SEC Publisher for SEC Filing

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF
REGISTERED MANAGEMENT COMPANY

 

Investment Company Act file number: 811-01530

 

Name of Registrant: Vanguard Explorer Fund

 

Address of Registrant:

P.O. Box 2600
Valley Forge, PA 19482

 

Name and address of agent for service:

Anne E. Robinson, Esquire
P.O. Box 876
Valley Forge, PA 19482

 

Date of fiscal year end: October 31

 

Date of reporting period: July 31, 2018

 

Item 1: Schedule of Investments

 


Vanguard Explorer Fund    
 
 
 
Schedule of Investments (unaudited)    
As of July 31, 2018    
 
      Market
      Value
    Shares ($000)
Common Stocks (96.4%)1    
Consumer Discretionary (14.1%)    
* Burlington Stores Inc. 656,934 100,386
  Carter's Inc. 865,939 90,776
* Live Nation Entertainment Inc. 1,838,395 90,596
  Cinemark Holdings Inc. 2,487,316 89,344
*,^ Under Armour Inc. 4,281,084 80,227
  New York Times Co. Class A 2,937,402 72,848
* Skechers U.S.A. Inc. Class A 2,564,982 71,101
  Monro Inc. 1,013,697 68,374
* Grand Canyon Education Inc. 522,268 60,860
* Deckers Outdoor Corp. 524,148 59,140
  Acushnet Holdings Corp. 2,434,268 58,836
* ServiceMaster Global Holdings Inc. 973,123 55,458
^ Hanesbrands Inc. 2,472,186 55,031
  La-Z-Boy Inc. 1,784,066 54,414
^ Cheesecake Factory Inc. 949,243 53,186
  Tenneco Inc. 1,104,782 50,930
* Chipotle Mexican Grill Inc. Class A 108,693 47,136
*,^ Sally Beauty Holdings Inc. 2,812,095 46,371
  Chico's FAS Inc. 5,289,553 46,019
*,^ Carvana Co. Class A 1,050,000 45,150
* TRI Pointe Group Inc. 3,049,007 43,204
^ Lions Gate Entertainment Corp. Class A 1,554,879 37,084
  Polaris Industries Inc. 342,118 36,066
  Advance Auto Parts Inc. 229,320 32,387
* Lululemon Athletica Inc. 255,417 30,637
* Ulta Beauty Inc. 115,532 28,235
* Ollie's Bargain Outlet Holdings Inc. 392,115 27,252
  Core-Mark Holding Co. Inc. 1,112,110 26,891
  Wingstop Inc. 530,349 26,173
  Aaron's Inc. 601,521 26,052
  Wolverine World Wide Inc. 682,862 24,160
  Ross Stores Inc. 258,591 22,609
  Dunkin' Brands Group Inc. 323,127 22,499
^ Papa John's International Inc. 536,000 22,491
  National CineMedia Inc. 2,430,460 20,076
* Bright Horizons Family Solutions Inc. 183,988 19,685
  Domino's Pizza Inc. 74,301 19,516
  World Wrestling Entertainment Inc. Class A 240,552 19,030
*,^ RH 138,920 18,874
* Weight Watchers International Inc. 210,797 18,873
* LKQ Corp. 515,098 17,266
* Helen of Troy Ltd. 145,129 16,624
* Urban Outfitters Inc. 368,200 16,348
  Lear Corp. 88,911 16,016
  Expedia Group Inc. 118,134 15,811
* Chuy's Holdings Inc. 439,179 13,900
  Bloomin' Brands Inc. 716,468 13,856
  Ruth's Hospitality Group Inc. 449,054 13,000
  Tailored Brands Inc. 644,680 12,997

 

 

* Michael Kors Holdings Ltd. 187,271 12,497
* Planet Fitness Inc. Class A 233,478 11,095
Toll Brothers Inc. 311,871 10,997
* Crocs Inc. 599,252 10,852
^ PetMed Express Inc. 289,302 10,742
* Under Armour Inc. Class A 511,000 10,205
Vail Resorts Inc. 36,370 10,070
* Five Below Inc. 101,253 9,838
Dick's Sporting Goods Inc. 283,730 9,687
* Penn National Gaming Inc. 302,114 9,683
* MCBC Holdings Inc. 384,900 9,607
* Shake Shack Inc. Class A 150,644 9,390
Winnebago Industries Inc. 232,534 9,278
^ Brinker International Inc. 188,806 8,906
Dine Brands Global Inc. 113,571 8,067
* NVR Inc. 2,509 6,923
H&R Block Inc. 274,044 6,895
* Sotheby's 113,632 6,035
BJ's Restaurants Inc. 87,246 5,518
Churchill Downs Inc. 18,980 5,427
Children's Place Inc. 42,989 5,283
* ZAGG Inc. 340,667 5,076
* Sleep Number Corp. 176,871 5,039
* Chegg Inc. 158,467 4,389
* Boot Barn Holdings Inc. 185,431 4,337
* G-III Apparel Group Ltd. 86,953 3,974
Extended Stay America Inc. 176,950 3,767
Cracker Barrel Old Country Store Inc. 23,225 3,402
* Malibu Boats Inc. Class A 76,183 2,864
* Zumiez Inc. 123,567 2,799
Movado Group Inc. 56,062 2,792
* Visteon Corp. 23,355 2,734
MDC Holdings Inc. 93,623 2,719
* Taylor Morrison Home Corp. Class A 132,952 2,597
PulteGroup Inc. 70,706 2,014
American Eagle Outfitters Inc. 79,046 1,990
* Career Education Corp. 92,685 1,705
* MSG Networks Inc. 72,265 1,702
Thor Industries Inc. 17,196 1,631
Oxford Industries Inc. 15,459 1,424
* SeaWorld Entertainment Inc. 57,999 1,235
* Lumber Liquidators Holdings Inc. 62,751 1,214
* Conn's Inc. 34,535 1,171
    2,201,365
Consumer Staples (2.1%)    
* Performance Food Group Co. 1,625,279 58,266
* Post Holdings Inc. 581,313 50,318
Nu Skin Enterprises Inc. Class A 657,329 47,886
Casey's General Stores Inc. 384,546 42,062
^ Calavo Growers Inc. 352,636 32,619
* Monster Beverage Corp. 473,203 28,402
MGP Ingredients Inc. 205,421 16,859
Medifast Inc. 88,536 15,200
* National Beverage Corp. 92,786 9,790
Lamb Weston Holdings Inc. 101,688 7,146
Spectrum Brands Holdings Inc. 58,922 5,148
* Sprouts Farmers Market Inc. 220,770 4,744

 

 

* Boston Beer Co. Inc. Class A 13,009 3,577
* Cal-Maine Foods Inc. 41,589 1,871
* US Foods Holding Corp. 43,265 1,463
      325,351
Energy (1.7%)    
*,^ Jagged Peak Energy Inc. 4,243,618 60,684
  Delek US Holdings Inc. 947,742 50,534
^ Core Laboratories NV 271,960 30,492
  Cabot Oil & Gas Corp. 814,932 19,151
* ProPetro Holding Corp. 853,087 14,025
* Carrizo Oil & Gas Inc. 482,559 13,598
^ CVR Energy Inc. 323,518 12,711
* Callon Petroleum Co. 1,051,287 11,312
* Forum Energy Technologies Inc. 813,510 10,698
* Apergy Corp. 251,425 10,308
* RigNet Inc. 665,780 8,189
  Range Resources Corp. 369,468 5,701
* Denbury Resources Inc. 720,890 3,251
* CONSOL Energy Inc. 74,172 3,088
* Northern Oil and Gas Inc. 762,432 2,836
*,^ Mammoth Energy Services Inc. 75,811 2,822
* Abraxas Petroleum Corp. 1,021,140 2,655
* Laredo Petroleum Inc. 228,699 2,131
* W&T Offshore Inc. 252,712 1,754
      265,940
Financials (6.5%)    
* SVB Financial Group 393,945 121,288
  Nasdaq Inc. 915,604 83,686
  Assurant Inc. 652,181 71,936
  Assured Guaranty Ltd. 1,682,439 65,481
* MGIC Investment Corp. 4,808,540 60,011
  LPL Financial Holdings Inc. 864,400 57,301
  Sterling Bancorp 2,535,539 56,289
  Redwood Trust Inc. 3,113,939 52,345
  Hannon Armstrong Sustainable Infrastructure Capital Inc. 2,521,363 49,394
* Texas Capital Bancshares Inc. 535,082 48,585
* Green Dot Corp. Class A 511,954 40,608
  WisdomTree Investments Inc. 3,965,043 34,654
  MarketAxess Holdings Inc. 144,765 28,051
  Affiliated Managers Group Inc. 172,620 27,621
  Solar Capital Ltd. 1,263,598 26,889
  Primerica Inc. 162,506 18,656
* PRA Group Inc. 451,360 17,693
  MSCI Inc. Class A 105,182 17,480
  FirstCash Inc. 198,905 16,151
  Walker & Dunlop Inc. 269,177 15,951
* Credit Acceptance Corp. 36,332 13,937
* Bank OZK 272,467 11,144
  Universal Insurance Holdings Inc. 240,682 10,686
  Bank of NT Butterfield & Son Ltd. 170,823 8,449
* Essent Group Ltd. 213,216 8,188
  Virtu Financial Inc. Class A 376,056 7,578
* BofI Holding Inc. 181,346 7,076
  East West Bancorp Inc. 107,181 6,939
  Kemper Corp. 67,477 5,385
  Synovus Financial Corp. 92,579 4,575

 

 

  Greenhill & Co. Inc. 117,834 3,853
* Regional Management Corp. 104,227 3,457
* Enova International Inc. 108,512 3,364
  SEI Investments Co. 51,351 3,078
  Federated Investors Inc. Class B 54,027 1,307
      1,009,086
Health Care (18.8%)    
* ICON plc 1,184,059 164,774
* athenahealth Inc. 952,457 143,545
* Insulet Corp. 1,694,585 140,922
* Medidata Solutions Inc. 1,441,043 107,084
* Molina Healthcare Inc. 833,825 86,793
  Encompass Health Corp. 1,103,579 83,464
* Haemonetics Corp. 776,358 75,804
  Hill-Rom Holdings Inc. 760,606 71,649
* Mettler-Toledo International Inc. 110,576 65,517
* Globus Medical Inc. 1,230,133 63,327
* Amedisys Inc. 611,126 57,220
* BioMarin Pharmaceutical Inc. 564,806 56,797
* Ultragenyx Pharmaceutical Inc. 710,870 56,237
* LifePoint Health Inc. 822,071 53,270
* IDEXX Laboratories Inc. 204,081 49,986
* LHC Group Inc. 563,500 48,506
* Penumbra Inc. 320,520 45,594
* HealthEquity Inc. 589,157 44,481
* Ligand Pharmaceuticals Inc. 192,530 42,035
* Illumina Inc. 120,739 39,163
* ABIOMED Inc. 106,260 37,672
  STERIS plc 320,866 36,729
* Neogen Corp. 428,303 35,292
* PRA Health Sciences Inc. 333,167 35,029
* Seattle Genetics Inc. 483,200 34,017
* DexCom Inc. 346,347 32,948
* Syneos Health Inc. 639,453 31,509
* Intuitive Surgical Inc. 59,631 30,304
* Integra LifeSciences Holdings Corp. 443,028 27,614
* Premier Inc. Class A 730,490 27,320
* Cambrex Corp. 435,780 27,236
  ResMed Inc. 253,981 26,866
* WellCare Health Plans Inc. 100,155 26,783
* Blueprint Medicines Corp. 408,700 24,334
* MEDNAX Inc. 567,296 24,275
*,^ Teladoc Inc. 404,165 24,189
* Prestige Brands Holdings Inc. 672,255 24,020
* Pacira Pharmaceuticals Inc. 597,003 23,999
* Arena Pharmaceuticals Inc. 612,947 23,654
* Immunomedics Inc. 971,183 23,240
* Veeva Systems Inc. Class A 295,847 22,375
* Spark Therapeutics Inc. 288,598 22,141
* Hologic Inc. 514,640 22,083
* Inogen Inc. 109,091 21,736
* Catalent Inc. 518,889 21,638
* Cerner Corp. 340,984 21,168
  Chemed Corp. 65,004 20,543
*,^ CRISPR Therapeutics AG 423,624 20,224
* Acadia Healthcare Co. Inc. 509,162 20,102
* Charles River Laboratories International Inc. 161,528 20,078

 

 

* Repligen Corp. 412,603 19,941
  Cooper Cos. Inc. 75,542 19,679
*,^ TESARO Inc. 542,169 18,884
* Neurocrine Biosciences Inc. 184,462 18,537
* NuVasive Inc. 310,454 18,022
* Align Technology Inc. 47,405 16,907
* Tenet Healthcare Corp. 446,357 16,796
* HMS Holdings Corp. 650,658 15,570
* Heron Therapeutics Inc. 414,213 15,512
* Nevro Corp. 272,456 15,328
* Emergent BioSolutions Inc. 273,582 14,869
* Exact Sciences Corp. 250,530 14,643
* Array BioPharma Inc. 911,639 14,030
* Tivity Health Inc. 395,014 13,312
  Bruker Corp. 405,702 13,145
* Endologix Inc. 2,540,186 12,930
* FibroGen Inc. 204,244 12,888
* Omnicell Inc. 213,993 12,733
* Medpace Holdings Inc. 207,346 12,725
* Agios Pharmaceuticals Inc. 147,007 12,703
* Vanda Pharmaceuticals Inc. 603,142 12,575
* Masimo Corp. 125,407 12,468
* Revance Therapeutics Inc. 432,027 12,421
*,^ MiMedx Group Inc. 2,918,686 12,404
* DBV Technologies SA ADR 614,234 11,075
* Atara Biotherapeutics Inc. 291,169 10,933
* Aduro Biotech Inc. 1,845,707 10,797
* Exelixis Inc. 518,616 10,735
* Loxo Oncology Inc. 62,717 10,511
* PTC Therapeutics Inc. 273,163 10,399
* Nektar Therapeutics Class A 197,296 10,378
* AMN Healthcare Services Inc. 168,929 10,220
* AxoGen Inc. 226,494 10,175
* Endo International plc 772,911 9,615
* Sangamo Therapeutics Inc. 628,859 8,584
* Enanta Pharmaceuticals Inc. 80,021 7,804
* ImmunoGen Inc. 823,076 7,655
* Halozyme Therapeutics Inc. 413,579 7,486
*,^ TransEnterix Inc. 1,391,766 7,446
* Ionis Pharmaceuticals Inc. 160,376 7,005
* REGENXBIO Inc. 92,987 6,537
  LeMaitre Vascular Inc. 170,884 6,152
* Spectrum Pharmaceuticals Inc. 283,768 6,041
* Madrigal Pharmaceuticals Inc. 19,372 4,979
* AAC Holdings Inc. 478,980 4,977
* BioCryst Pharmaceuticals Inc. 760,658 4,488
* Myriad Genetics Inc. 99,933 4,372
* Mirati Therapeutics Inc. 70,546 4,331
* Tandem Diabetes Care Inc. 154,124 4,248
* CytomX Therapeutics Inc. 153,833 4,052
* Genomic Health Inc. 74,714 4,011
* Depomed Inc. 444,550 3,939
* ArQule Inc. 761,400 3,792
* Cytokinetics Inc. 492,604 3,621
* AnaptysBio Inc. 45,668 3,577
* Acorda Therapeutics Inc. 137,147 3,422
* Amphastar Pharmaceuticals Inc. 195,190 3,406

 

 

* Zogenix Inc. 55,736 3,163
* Corcept Therapeutics Inc. 240,407 3,156
* Vericel Corp. 298,911 3,124
*,^ Endocyte Inc. 198,874 3,047
* Concert Pharmaceuticals Inc. 186,221 2,978
* Sage Therapeutics Inc. 19,252 2,778
* Supernus Pharmaceuticals Inc. 51,690 2,737
* MacroGenics Inc. 130,306 2,691
*,^ Viking Therapeutics Inc. 263,227 2,685
* STAAR Surgical Co. 82,254 2,537
* Novavax Inc. 1,954,057 2,482
  Luminex Corp. 61,241 2,074
  Ensign Group Inc. 56,307 2,031
* Tactile Systems Technology Inc. 41,563 1,998
* Cutera Inc. 44,252 1,770
* Reata Pharmaceuticals Inc. Class A 23,857 1,673
  CONMED Corp. 21,848 1,617
* Integer Holdings Corp. 22,515 1,609
* Select Medical Holdings Corp. 75,240 1,565
* Arbutus Biopharma Corp. 124,213 1,379
* Orthofix International NV 22,661 1,371
* Arrowhead Pharmaceuticals Inc. 93,889 1,368
*,^ Sorrento Therapeutics Inc. 229,340 1,284
* Providence Service Corp. 18,298 1,282
* Tabula Rasa HealthCare Inc. 21,092 1,228
* Voyager Therapeutics Inc. 61,401 1,158
* Innoviva Inc. 78,694 1,113
* Ophthotech Corp. 420,409 1,047
      2,928,016
Industrials (19.8%)    
* TriNet Group Inc. 2,836,514 152,746
* Sensata Technologies Holding plc 2,070,613 112,579
  John Bean Technologies Corp. 990,197 109,516
* Kirby Corp. 1,274,979 106,397
* Trex Co. Inc. 1,272,360 98,913
* Teledyne Technologies Inc. 445,415 97,733
  Woodward Inc. 1,023,412 85,158
* Chart Industries Inc. 1,046,400 81,713
* Copart Inc. 1,359,190 78,004
* AerCap Holdings NV 1,373,256 77,081
  IDEX Corp. 464,476 71,334
* United Rentals Inc. 406,902 60,547
  Actuant Corp. Class A 2,045,019 58,385
  HEICO Corp. Class A 891,417 57,719
  MSC Industrial Direct Co. Inc. Class A 681,570 57,681
  Advanced Drainage Systems Inc. 2,019,942 56,457
* SPX FLOW Inc. 1,184,887 56,306
  Watts Water Technologies Inc. Class A 644,118 55,104
* Proto Labs Inc. 421,389 52,526
* Clean Harbors Inc. 913,154 51,986
* JELD-WEN Holding Inc. 1,865,600 51,192
  AGCO Corp. 810,374 51,070
  TransUnion 690,915 50,022
* XPO Logistics Inc. 492,436 49,106
* Spirit Airlines Inc. 1,124,881 48,865
  Multi-Color Corp. 698,662 46,356
  Terex Corp. 1,031,920 45,528

 

 

  Timken Co. 913,005 44,966
  GATX Corp. 498,557 41,051
* Masonite International Corp. 578,030 39,451
  Kennametal Inc. 986,305 38,427
*,^ Middleby Corp. 371,763 38,098
* CoStar Group Inc. 91,243 37,943
* MRC Global Inc. 1,614,810 36,576
* Cimpress NV 241,048 35,210
  Heartland Express Inc. 1,797,642 34,497
  Tennant Co. 407,783 33,173
  Forward Air Corp. 517,840 33,090
* Axon Enterprise Inc. 486,251 33,031
  ABM Industries Inc. 979,613 30,564
* Verisk Analytics Inc. Class A 268,691 29,723
* WageWorks Inc. 493,207 26,041
  Harris Corp. 155,695 25,682
  Schneider National Inc. Class B 963,818 25,194
  Allegion plc 298,782 24,363
* SiteOne Landscape Supply Inc. 270,162 24,088
* WABCO Holdings Inc. 178,110 22,385
  Allison Transmission Holdings Inc. 450,971 21,196
  Graco Inc. 440,115 20,307
* Evoqua Water Technologies Corp. 945,801 20,183
  Ritchie Bros Auctioneers Inc. 547,498 18,215
  Wabtec Corp. 156,291 17,242
* Mercury Systems Inc. 411,366 17,166
* Generac Holdings Inc. 313,256 16,838
* Harsco Corp. 660,790 16,751
* HD Supply Holdings Inc. 371,285 16,329
  Huntington Ingalls Industries Inc. 69,073 16,098
  Rockwell Automation Inc. 84,841 15,913
* Beacon Roofing Supply Inc. 373,657 15,724
* Continental Building Products Inc. 465,437 14,847
* IHS Markit Ltd. 278,883 14,789
  JB Hunt Transport Services Inc. 115,890 13,895
  Spirit AeroSystems Holdings Inc. Class A 140,548 13,106
  KBR Inc. 643,627 12,860
*,^ Bloom Energy Corp. Class A 469,040 10,811
  EMCOR Group Inc. 136,367 10,493
* Avis Budget Group Inc. 287,691 10,026
  Korn/Ferry International 147,780 9,751
  Global Brass & Copper Holdings Inc. 293,237 9,662
* Meritor Inc. 449,349 9,257
*,^ Kornit Digital Ltd. 502,780 9,151
  Air Lease Corp. Class A 205,574 9,037
* Aerojet Rocketdyne Holdings Inc. 260,155 8,767
* Builders FirstSource Inc. 456,187 8,179
  KAR Auction Services Inc. 124,228 7,385
* SP Plus Corp. 187,094 7,297
* Rush Enterprises Inc. Class A 151,061 6,811
* TrueBlue Inc. 250,328 6,771
* Atkore International Group Inc. 272,527 6,448
  Dun & Bradstreet Corp. 49,718 6,259
* Gardner Denver Holdings Inc. 200,968 5,750
  Greenbrier Cos. Inc. 95,102 5,388
  Barrett Business Services Inc. 56,874 5,226
  Old Dominion Freight Line Inc. 33,535 4,923

 

 

  Kimball International Inc. Class B 289,346 4,673
* ASGN Inc. 47,061 4,250
* Herc Holdings Inc. 74,617 4,240
  H&E Equipment Services Inc. 107,121 3,941
  Kaman Corp. 58,690 3,887
  Copa Holdings SA Class A 38,086 3,707
* Aerovironment Inc. 43,016 3,166
  Quad/Graphics Inc. 149,016 3,064
  Hillenbrand Inc. 57,341 2,879
  Insperity Inc. 30,212 2,873
  Mueller Water Products Inc. Class A 224,027 2,767
^ ADT Inc. 304,779 2,746
  ArcBest Corp. 47,348 2,204
  Brink's Co. 22,810 1,821
* Vicor Corp. 29,754 1,712
  Covanta Holding Corp. 86,670 1,560
  Simpson Manufacturing Co. Inc. 19,921 1,453
* GMS Inc. 54,088 1,419
  Applied Industrial Technologies Inc. 16,882 1,260
  HEICO Corp. 16,427 1,255
      3,067,305
Information Technology (22.9%)    
* Fortinet Inc. 1,861,883 117,131
* GrubHub Inc. 824,121 100,452
* Cadence Design Systems Inc. 2,223,188 98,020
* 2U Inc. 1,264,507 95,673
* New Relic Inc. 930,299 90,890
  MercadoLibre Inc. 245,792 84,285
* GoDaddy Inc. Class A 1,089,317 80,196
* Atlassian Corp. plc Class A 1,053,801 76,306
* Cornerstone OnDemand Inc. 1,448,312 71,547
*,2 Cardtronics plc Class A 2,723,836 68,968
* First Solar Inc. 1,270,510 66,511
  Power Integrations Inc. 873,292 62,440
* HubSpot Inc. 495,022 61,432
  Teradyne Inc. 1,414,232 61,166
  Entegris Inc. 1,657,875 58,274
* Tableau Software Inc. Class A 562,844 58,012
  CDW Corp. 674,854 56,748
* Ciena Corp. 2,164,576 54,980
* Trimble Inc. 1,411,182 49,815
* Integrated Device Technology Inc. 1,419,245 48,865
* Euronet Worldwide Inc. 531,385 48,856
* Twilio Inc. Class A 841,293 48,702
* Etsy Inc. 1,148,360 46,922
* Square Inc. 681,452 44,056
* ServiceNow Inc. 249,580 43,916
* Zendesk Inc. 778,742 42,418
  MAXIMUS Inc. 636,398 41,245
* Wix.com Ltd. 425,440 40,417
* Five9 Inc. 1,250,463 39,890
* Trade Desk Inc. Class A 462,674 39,013
* Cloudera Inc. 2,890,352 38,702
* Aspen Technology Inc. 401,767 38,485
  LogMeIn Inc. 471,412 38,208
  SS&C Technologies Holdings Inc. 701,492 37,228
*,^ Advanced Micro Devices Inc. 1,966,228 36,041

 

 

* Proofpoint Inc. 306,169 34,919
* Arrow Electronics Inc. 458,289 34,757
* WEX Inc. 179,649 34,101
* CyberArk Software Ltd. 547,473 33,237
  FLIR Systems Inc. 533,050 31,237
* Shutterstock Inc. 671,801 30,950
* IPG Photonics Corp. 188,342 30,896
* ON Semiconductor Corp. 1,337,966 29,502
* Guidewire Software Inc. 334,745 28,855
* Ultimate Software Group Inc. 103,366 28,621
  Microchip Technology Inc. 305,587 28,551
*,^ Ambarella Inc. 709,022 27,779
* Envestnet Inc. 468,792 27,471
* Semtech Corp. 578,845 27,466
* TrueCar Inc. 2,464,122 27,401
* Take-Two Interactive Software Inc. 241,602 27,306
^,2 Switch Inc. 1,982,594 25,813
* Yelp Inc. Class A 660,262 24,350
* Stamps.com Inc. 92,671 24,187
* Acacia Communications Inc. 736,107 23,658
  Cognex Corp. 445,909 23,535
  j2 Global Inc. 276,462 23,455
*,^ Inphi Corp. 701,390 22,052
  Booz Allen Hamilton Holding Corp. Class A 460,117 21,750
* PTC Inc. 235,300 21,626
* Tyler Technologies Inc. 95,855 21,566
  Alliance Data Systems Corp. 95,260 21,422
* RingCentral Inc. Class A 286,022 21,094
* Descartes Systems Group Inc. 653,814 20,857
* Imperva Inc. 447,360 20,690
*,^ ANGI Homeservices Inc. Class A 1,314,943 20,658
* Carbonite Inc. 586,683 20,123
  Belden Inc. 301,716 19,536
* Q2 Holdings Inc. 312,751 18,499
* Qualys Inc. 210,820 18,362
* Red Hat Inc. 129,551 18,296
* Zebra Technologies Corp. 132,529 18,280
* Presidio Inc. 1,287,333 17,971
* Shopify Inc. 128,913 17,817
* Gartner Inc. 130,907 17,729
* Silicon Laboratories Inc. 185,730 17,691
  Broadridge Financial Solutions Inc. 152,780 17,261
* Electronic Arts Inc. 128,026 16,483
* Nutanix Inc. 327,372 16,005
* RealPage Inc. 279,475 15,399
*,^ DocuSign Inc. 284,333 15,326
* Manhattan Associates Inc. 313,004 15,062
* Palo Alto Networks Inc. 74,950 14,860
* Box Inc. 614,420 14,722
*,^ Match Group Inc. 395,753 14,295
*,^ Stratasys Ltd. 719,533 13,973
* ANSYS Inc. 80,683 13,626
  National Instruments Corp. 308,157 13,500
* ChannelAdvisor Corp. 957,649 13,311
* Coherent Inc. 82,750 13,079
* 8x8 Inc. 588,129 11,733
*,^ 3D Systems Corp. 942,006 11,464

 

 

* Hortonworks Inc. 652,573 11,368
* Varonis Systems Inc. 188,853 11,289
* PROS Holdings Inc. 291,079 10,811
* SMART Global Holdings Inc. 347,446 10,608
* Unisys Corp. 817,039 10,499
* Workiva Inc. 408,961 10,326
* Cargurus Inc. 235,046 10,189
* Glu Mobile Inc. 1,742,005 9,285
Versum Materials Inc. 233,980 9,020
* Pure Storage Inc. Class A 374,699 8,116
Science Applications International Corp. 91,059 7,683
* ePlus Inc. 75,253 7,424
TTEC Holdings Inc. 216,855 6,972
* A10 Networks Inc. 1,026,019 6,936
* NCR Corp. 226,686 6,329
* Fair Isaac Corp. 27,829 5,606
* Control4 Corp. 212,167 5,395
* Care.com Inc. 296,122 5,336
Plantronics Inc. 75,269 5,168
* Okta Inc. 101,616 5,045
MKS Instruments Inc. 50,059 4,721
SYNNEX Corp. 45,355 4,375
Cabot Microelectronics Corp. 35,928 4,328
* Altair Engineering Inc. Class A 119,729 4,202
* TechTarget Inc. 147,233 4,184
Sabre Corp. 162,583 4,003
* Sykes Enterprises Inc. 133,217 3,951
* Diodes Inc. 97,807 3,635
Travelport Worldwide Ltd. 181,306 3,427
Hackett Group Inc. 172,257 3,106
* Blucora Inc. 86,650 3,011
* Appfolio Inc. 40,267 2,907
* Immersion Corp. 206,403 2,898
* OSI Systems Inc. 31,204 2,489
* Virtusa Corp. 44,265 2,339
* eGain Corp. 176,701 2,297
* Avid Technology Inc. 338,422 1,899
* Insight Enterprises Inc. 28,132 1,414
* Brightcove Inc. 163,191 1,395
* Synaptics Inc. 26,429 1,324
CSG Systems International Inc. 31,923 1,298
* Extreme Networks Inc. 150,427 1,279
* Arista Networks Inc. 4,617 1,181
Blackbaud Inc. 10,113 1,009
    3,550,052
Materials (4.6%)    
Orion Engineered Carbons SA 2,347,015 76,982
Carpenter Technology Corp. 1,357,409 74,345
* Ferro Corp. 2,681,213 60,381
Methanex Corp. 835,813 57,755
Smurfit Kappa Group plc 1,215,089 49,818
* Berry Global Group Inc. 1,005,406 49,114
Ferroglobe plc 5,378,975 43,839
PolyOne Corp. 956,872 42,916
Minerals Technologies Inc. 566,930 42,860
* Summit Materials Inc. Class A 1,670,119 41,920
Graphic Packaging Holding Co. 1,649,455 23,967

 

 

  Balchem Corp. 169,035 16,952
  Huntsman Corp. 485,624 16,283
  Chemours Co. 351,391 16,097
  Louisiana-Pacific Corp. 576,973 15,532
  Westlake Chemical Corp. 130,169 13,957
  WR Grace & Co. 172,634 12,751
  Boise Cascade Co. 288,645 12,484
* Koppers Holdings Inc. 267,262 10,036
  Packaging Corp. of America 67,664 7,639
  Greif Inc. Class A 137,669 7,496
  Kronos Worldwide Inc. 226,240 5,145
* Ingevity Corp. 44,837 4,469
  Albemarle Corp. 44,453 4,187
* AdvanSix Inc. 88,199 3,569
* GCP Applied Technologies Inc. 47,461 1,383
      711,877
Other (1.9%)    
3 Vanguard Small-Cap ETF 1,422,117 225,406
^,3 Vanguard Small-Cap Growth ETF 384,700 68,284
*,4 Dropbox Private Placement 118,921 2,865
*,§ Dyax Corp. CVR Exp. 12/31/2019 134,316 269
      296,824
Real Estate (3.1%)    
* SBA Communications Corp. Class A 493,164 78,043
  Jones Lang LaSalle Inc. 381,150 65,181
  Life Storage Inc. 587,227 56,350
  Xenia Hotels & Resorts Inc. 2,229,055 54,367
  PS Business Parks Inc. 423,480 54,108
  Douglas Emmett Inc. 1,312,511 50,978
*,^ Five Point Holdings LLC Class A 2,956,816 33,087
  National Storage Affiliates Trust 610,266 17,594
  Ryman Hospitality Properties Inc. 187,923 15,975
  CubeSmart 452,763 13,746
  Taubman Centers Inc. 135,554 8,411
  National Health Investors Inc. 110,495 8,269
  Gaming and Leisure Properties Inc. 219,020 7,955
  CoreSite Realty Corp. 50,542 5,666
  EastGroup Properties Inc. 32,198 3,069
  RMR Group Inc. Class A 24,969 2,167
  Lamar Advertising Co. Class A 14,654 1,079
      476,045
Telecommunication Services (0.5%)    
* Vonage Holdings Corp. 4,259,371 54,562
* Boingo Wireless Inc. 617,528 14,271
* Zayo Group Holdings Inc. 135,741 5,035
  Shenandoah Telecommunications Co. 33,064 1,091
      74,959
Utilities (0.4%)    
^ Pattern Energy Group Inc. Class A 2,908,695 54,014
  NRG Energy Inc. 313,062 9,915
      63,929
Total Common Stocks (Cost $11,075,295)   14,970,749

 

 

    Coupon      
Temporary Cash Investments (5.5%)1        
Money Market Fund (5.0%)        
5,6 Vanguard Market Liquidity Fund 2.145%   7,796,059 779,606
 
        Face  
      Maturity Amount  
      Date ($000)  
Repurchase Agreement (0.3%)        
  Deutsche Bank Securities, Inc.        
  (Dated 7/31/18, Repurchase Value        
  $55,103,000, collateralized by Government        
  National Mortgage Assn. 2.990%-6.000%,        
  4/15/20-5/20/48, with a value of        
  $56,202,000) 1.920% 8/1/18 55,100 55,100
 
U.S. Government and Agency Obligations (0.2%)      
  United States Treasury Bill 1.916% 9/6/18 8,000 7,985
7 United States Treasury Bill 1.918%–1.946% 10/4/18 2,800 2,790
7 United States Treasury Bill 1.986% 10/18/18 1,300 1,295
7 United States Treasury Bill 2.027%–2.078% 11/15/18 10,000 9,941
7 United States Treasury Bill 2.037%–2.040% 11/29/18 1,750 1,738
  United States Treasury Bill 2.082% 12/20/18 3,000 2,976
          26,725
Total Temporary Cash Investments (Cost $861,397)     861,431
Total Investments (101.9%) (Cost $11,936,692)       15,832,180
Other Assets and Liabilities-Net (-1.9%)6       (295,781)
Net Assets (100%)       15,536,399

 

* Non-income-producing security.
^ Includes partial security positions on loan to broker-dealers. The total value of securities on loan is $284,733,000.
§ Security value determined using significant unobservable inputs.
1 The fund invests a portion of its cash reserves in equity markets through the use of index futures contracts. After
giving effect to futures investments, the fund's effective common stock and temporary cash investment positions
represent 98.5% and 3.4%, respectively, of net assets.
2 Considered an affiliated company of the fund as the fund owns more than 5% of the outstanding voting securities
of such company.
3 Considered an affiliated company of the fund as the issuer is another member of The Vanguard Group.
4 Includes restricted security representing 0.0% of net assets. See Restricted Security table for additional
information.
5 Affiliated money market fund available only to Vanguard funds and certain trusts and accounts managed by
Vanguard. Rate shown is the 7-day yield.
6 Includes $294,619,000 of collateral received for securities on loan.
7 Securities with a value of $14,120,000 have been segregated as initial margin for open futures contracts.
ADR—American Depositary Receipt.
CVR—Contingent Value Rights.

 

Restricted Securities as of Period End        
 
Security Name   Acquisition Date Acquisition Cost ($000)
Dropbox Inc. Class A   May 2012   1,615
 
Derivative Financial Instruments Outstanding as of Period End      
 
Futures Contracts        
        ($000)
        Value and
    Number of   Unrealized
    Long (Short) Notional  Appreciation
  Expiration Contracts Amount  (Depreciation)
Long Futures Contracts        
E-mini Russell 2000 Index September 2018 3,890 325,282 (2,481)

 

Unrealized appreciation (depreciation) on open futures contracts is required to be treated as realized gain (loss) for tax purposes.

A. Security Valuation: Securities are valued as of the close of trading on the New York Stock Exchange (generally 4 p.m., Eastern time) on the valuation date. Equity securities are valued at the latest quoted sales prices or official closing prices taken from the primary market in which each security trades; such securities not traded on the valuation date are valued at the mean of the latest quoted bid and asked prices. Securities for which market quotations are not readily available, or whose values have been affected by events occurring before the fund's pricing time but after the close of the securities’ primary markets, are valued at their fair values calculated according to procedures adopted by the board of trustees. These procedures include obtaining quotations from an independent pricing service, monitoring news to identify significant market- or security-specific events, and evaluating changes in the values of foreign market proxies (for example, ADRs, futures contracts, or exchange-traded funds), between the time the foreign markets close and the fund's pricing time. When fair-value pricing is employed, the prices of securities used by a fund to calculate its net asset value may differ from quoted or published prices for the same securities. Investments in Vanguard Market Liquidity Fund are valued at that fund’s net asset value. Temporary cash investments are valued using the latest bid prices or using valuations based on a matrix system (which considers such factors as security prices, yields, maturities, and ratings), both as furnished by independent pricing services.

B. Foreign Currency: Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars using exchange rates obtained from an independent third party as of the fund's pricing time on the valuation date. Realized gains (losses) and unrealized appreciation (depreciation) on investment securities include the effects of changes in exchange rates since the securities were purchased, combined with the effects of changes in security prices. Fluctuations in the value of other assets and liabilities resulting from changes in exchange rates are recorded as unrealized foreign currency gains (losses) until the assets or liabilities are settled in cash, at which time they are recorded as realized foreign currency gains (losses).

C. Repurchase Agreements: The fund enters into repurchase agreements with institutional counterparties. Securities pledged as collateral to the fund under repurchase agreements are held by

 

Explorer Fund

a custodian bank until the agreements mature, and in the absence of a default, such collateral cannot be repledged, resold, or rehypothecated. Each agreement requires that the market value of the collateral be sufficient to cover payments of interest and principal. The fund further mitigates its counterparty risk by entering into repurchase agreements only with a diverse group of prequalified counterparties, monitoring their financial strength, and entering into master repurchase agreements with its counterparties. The master repurchase agreements provide that, in the event of a counterparty's default (including bankruptcy), the fund may terminate any repurchase agreements with that counterparty, determine the net amount owed, and sell or retain the collateral up to the net amount owed to the fund. Such action may be subject to legal proceedings, which may delay or limit the disposition of collateral.

D. Various inputs may be used to determine the value of the fund's investments. These inputs are summarized in three broad levels for financial statement purposes. The inputs or methodologies used to value securities are not necessarily an indication of the risk associated with investing in those securities.

Level 1—Quoted prices in active markets for identical securities.

Level 2—Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).

Level 3—Significant unobservable inputs (including the fund's own assumptions used to determine the fair value of investments). Any investments valued with significant unobservable inputs are noted on the Schedule of Investments.

The following table summarizes the market value of the fund's investments as of July 31, 2018, based on the inputs used to value them:

  Level 1 Level 2 Level 3
Investments ($000) ($000) ($000)
Common Stocks 14,917,797 52,683 269
Temporary Cash Investments 779,606 81,825 —
Futures Contracts—Assets1 3,376 — —
Total 15,700,779 134,508 269
1 Represents variation margin on the last day of the reporting period.      

 

E. Futures Contracts: The fund uses index futures contracts to a limited extent, with the objective of maintaining full exposure to the stock market while maintaining liquidity. The fund may purchase or sell futures contracts to achieve a desired level of investment, whether to accommodate portfolio turnover or cash flows from capital share transactions. The primary risks associated with the use of futures contracts are imperfect correlation between changes in market values of stocks held by the fund and the prices of futures contracts, and the possibility of an illiquid market. Counterparty risk involving futures is mitigated because a regulated clearinghouse is the counterparty instead of the clearing broker. To further mitigate counterparty risk, the fund trades futures contracts on an exchange, monitors the financial strength of its clearing brokers and clearinghouse, and has entered into clearing agreements with its clearing brokers. The clearinghouse imposes initial margin requirements to secure the fund's performance and requires daily settlement of variation margin representing changes in the market value of each contract. Any assets pledged as initial margin for open contracts are noted in the Schedule of Investments.

Futures contracts are valued at their quoted daily settlement prices. The notional amounts of the contracts are not recorded in the Schedule of Investments. Fluctuations in the value of the contracts are recorded as an asset (liability).

 

Explorer Fund

F. At July 31, 2018, the cost of investment securities for tax purposes was $11,936,692,000. Net unrealized appreciation of investment securities for tax purposes was $3,895,488,000, consisting of unrealized gains of $4,382,648,000 on securities that had risen in value since their purchase and $487,160,000 in unrealized losses on securities that had fallen in value since their purchase.

G. Certain of the fund's investments are in companies that are considered to be affiliated companies of the fund because the fund owns more than 5% of the outstanding voting securities of the company or the issuer is another member of The Vanguard Group. Transactions during the period in securities of these companies were as follows:

          Current Period Transactions  
  Oct. 31,   Proceeds Net Change in     July 31,
  2017   from Realized Net   Capital Gain 2018
  Market  Purchases  Securities Gain Unrealized   Distributions Market
  Value at Cost Sold (Loss) App.(Dep.) Income Received Value
  ($000) ($000) ($000) ($000) ($000) ($000) ($000) ($000)
Cardtronics plc Class A NA1 16,926 — — 4,890 — — 68,968
Kindred Healthcare Inc. 30,653 — 45,747 (4,877) 19,971 — — —
Switch Inc. NA1 23,224 — — (7,884) 60   25,813
Vanguard Market                
Liquidity 565,395 NA2 NA2 (89) 32 5,642 — 779,606
Vanguard Small-Cap                
ETF 68,655 515,265 372,292 (1,099) 14,877 1,747 — 225,406
Vanguard Small-Cap                
Growth ETF 60,086 — — — 8,198 397 — 68,284
Total 724,789     (6,065) 40,084 7,846 — 1,168,077

 

1 Not applicable—at October 31, 2017, the issuer was not an affiliated company of the fund.
2 Not applicable—purchases and sales are for temporary cash investment purposes.


Item 2: Controls and Procedures

(a) Disclosure Controls and Procedures. The Principal Executive and Financial Officers concluded that the Registrant’s Disclosure Controls and Procedures are effective based on their evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.

(b) Internal Control Over Financial Reporting. During the last fiscal quarter, there was no significant change in the Registrant’s internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3: Exhibits

(a) Certifications

  VANGUARD EXPLORER FUND

 

By:

 /s/ MORTIMER J. BUCKLEY*
  MORTIMER J. BUCKLEY
  CHIEF EXECUTIVE OFFICER

Date: September 13, 2018

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

  VANGUARD EXPLORER FUND

 

By:

 /s/ MORTIMER J. BUCKLEY*
  MORTIMER J. BUCKLEY
  CHIEF EXECUTIVE OFFICER

Date: September 13, 2018

 

 VANGUARD EXPLORER FUND

 

By:

 /s/ THOMAS J. HIGGINS*
  THOMAS J. HIGGINS
  CHIEF FINANCIAL OFFICER

Date: September 13, 2018

 

*By: /s/ Anne E. Robinson
Anne E. Robinson, pursuant to a Power of Attorney filed on January 18, 2018 see file Number 33-32216, Incorporated by Reference.