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Portfolio > Asset Managers

Vanguard's Quant Equity Group Losing 2 Key Managers

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What You Need to Know

  • James Stetler, a portfolio manager of nine alpha equity mandates managed by the quant equity group, has retired.
  • Binbin Guo, principal and head of Vanguard’s alpha equity U.S. investment team, is also leaving the firm after 14 years.
  • Sharon Hill and Cesar Orosco, who joined over the last two years, take up key portfolio roles in the quant group.

As of the close of business Friday, James Stetler is retiring after 39 years at Vanguard, where he has most recently served as portfolio manager of nine alpha equity mandates managed by the Vanguard Quantitative Equity Group (QEG). 

The addition of Sharon Hill and Cesar Orosco as portfolio managers to the mandates in February will help ensure “a smooth and thoughtful transition,” according to a Vanguard spokesman.

In addition to Stetler, Binbin Guo, principal and head of Vanguard’s alpha equity U.S. investment team, is also leaving the firm, but not until late September. Guo has been a member of Vanguard’s quant equity group for 14 years. He will be succeeded by Orosco as the head of the alpha equity U.S. investment team. Orosco will also serve as the sole QEG portfolio manager for the alpha equity U.S. mandates.

Hill will serve as the sole QEG portfolio manager for the alpha equity income mandates. Both HIll and Orosco joined Vanguard over the last two years, but they each have more than 20 years of quantitative investing experience. “Their close collaboration with QEG and acclimation to Vanguard have enabled a seamless transition and succession plan,” according to Vanguard.

The fund giant noted that “the investment objectives, strategies, and policies of the mandates will not change as a result of the portfolio manager changes.”

The nine alpha equity mandates consist of two Alpha Equity Income and five Alpha Equity U.S. funds, as follows:

  • Alpha equity income: Vanguard Equity Income Fund and VVIF Equity Income Portfolio
  • Alpha equity U.S.: Vanguard Strategic Equity Fund, Vanguard Strategic Small-Cap Equity Fund, Vanguard Market Neutral Fund, Vanguard U.S. Growth Fund, Vanguard Explorer Fund, Vanguard Growth and Income Fund, and VVIF Small Company Growth Portfolio

As of April 30, Vanguard managed $7.8 trillion in global assets. It has 439 funds sold to its more than 30 million investors worldwide.


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