Vanguard bond boss steps down

Vanguard Group says Robert F. Auwaerter, who heads the investment giant's 120-person, $750 billion-asset bond group, where he has worked since the company's infancy in 1981, is retiring, the firm says. 

In a statement, Vanguard CEO Bill McNabb called Auwaerter, 58, "the backbone of our fixed income group for more than three decades" and praised his "outstanding" portfolio management. record as a portfolio manager is outstanding, and we are deeply indebted to him for his dedication and service to our clients over a long and successful career.” He managed Vanguard's $46 billion Short-Term Investment-Grade Fund, among others.

Robert F. Auwaerter (Photo from

His replacement is Gregory Davis, 43, who studied insurance at Penn State and got his MBA in finance from Penn's Wharton School. Davis has lately been working as Vanguard's Asia Pacific chief investment officer, based in Australia. Davis joined Vanguard in 1999 and has worked there as a portfoio manager and as head of bond indexing. He will report to Vanguard's overall chief investment officer, Tim Buckley.

Auwaerter, a Wharton grad with an MBA from Northwestern's Kellogg school, worked at the ill-fated Continental Illinois bank before joining Vanguard.