Indices are unmanaged and cannot accommodate direct investments.
It has been suggested that this article or section be merged with Lehman U. Duration is generally within one year of the portfolio's index. The Fund experiences volatility similar to that of an aggregate bond fund. The degree of a security's marketability; that is, how quickly the security can be sold at a fair price and converted to cash. If an insured municipal bond defaults, an insurance company should step in and make all principal and interest payments on the bond. Market prices of the securities held in the portfolio will fluctuate as interest rates change. The Vantagepoint Core Bond Index Fund is exposed to the general risks of investing in bonds.
Many municipal bonds are backed by insurance, in addition to the credit of the municipality or the revenues from the project being funded. Indices are unmanaged and cannot accommodate direct investments. Index funds and exchange-traded funds are available that track this bond index.