Vanguard index boss Sauter to retire

Vanguard Group, the $2 trillion, Malvern-based mutual fund giant that is Chester County's largest employer, says chief investment officer George U. "Gus" Sauter, 57, will retire Dec. 31.

Sauter will be repaced by Mortimer J. "Tim" Buckley, 43, who joined the company as assistant to founder John C. Bogle back in 1991, later headed information technology, and has been in charge of retail investment since 2006. Buckley is a Harvard graduate (MBA, AB).

Sauter joined Vanguard in 1987 as head of the company's small direct stock-investment group, rising to direct the low-priced fund indexing operations that have been the company's greatest source of growth, especially as the U.S. stock market has sagged over the past decade and investors became more conscious of fund expenses. He was named chief investment officer in 2003. Like Vanguard's two CEOs since founder John Bogle (who went to Princeton), Sauter is a Dartmouth grad. (Thanks to A. Cassel for correcting)