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: January 31, 2017 |
|
Item 1: Schedule of Investments |
Vanguard Explorer Fund
Schedule of Investments (unaudited)
As of January 31, 2017
| Market | |||
| Value | |||
| Shares | ($000) | ||
| Common Stocks (97.2%)1 | |||
| Consumer Discretionary (13.6%) | |||
| Carter's Inc. | 874,518 | 73,241 | |
| ^,* IMAX Corp. | 1,661,749 | 54,173 | |
| 2 | National CineMedia Inc. | 3,454,224 | 50,639 |
| * | Kate Spade & Co. | 2,655,658 | 49,156 |
| * | ServiceMaster Global Holdings Inc. | 1,305,735 | 48,286 |
| * | Ulta Beauty Inc. | 174,585 | 47,536 |
| Cinemark Holdings Inc. | 1,089,568 | 46,307 | |
| Cheesecake Factory Inc. | 753,967 | 45,434 | |
| * | Sally Beauty Holdings Inc. | 1,899,351 | 45,205 |
| Bloomin' Brands Inc. | 2,629,721 | 44,995 | |
| * | Tenneco Inc. | 660,228 | 44,532 |
| Chico's FAS Inc. | 3,203,861 | 43,220 | |
| Wolverine World Wide Inc. | 1,827,130 | 42,919 | |
| La-Z-Boy Inc. | 1,437,410 | 41,110 | |
| New York Times Co. Class A | 2,690,810 | 36,326 | |
| Lennar Corp. Class A | 806,053 | 35,990 | |
| * | LKQ Corp. | 1,080,040 | 34,464 |
| DSW Inc. Class A | 1,585,651 | 33,552 | |
| Tractor Supply Co. | 417,990 | 30,793 | |
| * | Grand Canyon Education Inc. | 505,240 | 29,799 |
| * | Ollie's Bargain Outlet Holdings Inc. | 969,500 | 29,618 |
| Dick's Sporting Goods Inc. | 542,547 | 27,995 | |
| Dunkin' Brands Group Inc. | 511,395 | 26,526 | |
| * | Acushnet Holdings Corp. | 1,419,206 | 26,326 |
| * | Bright Horizons Family Solutions Inc. | 357,033 | 25,299 |
| Texas Roadhouse Inc. Class A | 541,020 | 25,233 | |
| ^ | Polaris Industries Inc. | 266,782 | 22,428 |
| Service Corp. International | 748,375 | 21,800 | |
| * | Michaels Cos. Inc. | 1,059,350 | 20,837 |
| * | Five Below Inc. | 495,825 | 19,759 |
| Ross Stores Inc. | 295,200 | 19,516 | |
| Papa John's International Inc. | 223,898 | 19,081 | |
| Expedia Inc. | 153,695 | 18,688 | |
| * | Chuy's Holdings Inc. | 629,252 | 18,500 |
| * | Hibbett Sports Inc. | 555,064 | 18,317 |
| * | Netflix Inc. | 115,100 | 16,196 |
| * | Popeyes Louisiana Kitchen Inc. | 254,445 | 16,078 |
| * | Urban Outfitters Inc. | 559,096 | 14,838 |
| * | Live Nation Entertainment Inc. | 500,400 | 14,321 |
| * | Shutterfly Inc. | 272,270 | 13,976 |
| Wingstop Inc. | 461,996 | 13,153 | |
| Lear Corp. | 88,311 | 12,548 | |
| Brunswick Corp. | 192,775 | 11,540 | |
| Monro Muffler Brake Inc. | 173,675 | 10,403 | |
| * | O'Reilly Automotive Inc. | 37,800 | 9,914 |
| Tupperware Brands Corp. | 152,651 | 9,214 | |
| Vail Resorts Inc. | 53,500 | 9,177 | |
| Aaron's Inc. | 292,000 | 9,034 | |
| * | Buffalo Wild Wings Inc. | 59,717 | 9,017 |
| * | Burlington Stores Inc. | 103,761 | 8,685 |
| Nexstar Media Group Inc. Class A | 131,600 | 8,607 | |
| Lithia Motors Inc. Class A | 78,500 | 8,095 | |
| Bob Evans Farms Inc. | 139,809 | 7,889 | |
| Big Lots Inc. | 153,583 | 7,679 | |
| Children's Place Inc. | 77,265 | 7,495 | |
| Brinker International Inc. | 167,238 | 7,442 | |
| * | MGM Resorts International | 254,000 | 7,315 |
| Regal Entertainment Group Class A | 318,986 | 7,228 | |
| * | iRobot Corp. | 118,429 | 7,172 |
| ^,* American Outdoor Brands Corp. | 332,071 | 7,073 | |
| * | Lululemon Athletica Inc. | 103,900 | 7,014 |
| * | Boyd Gaming Corp. | 326,716 | 6,639 |
| AMC Entertainment Holdings Inc. | 189,527 | 6,397 | |
| Ruth's Hospitality Group Inc. | 371,400 | 6,370 | |
| American Eagle Outfitters Inc. | 400,631 | 6,054 | |
| ^ | Sturm Ruger & Co. Inc. | 110,075 | 5,806 |
| Tailored Brands Inc. | 268,412 | 5,704 | |
| * | Hyatt Hotels Corp. Class A | 102,160 | 5,589 |
| Leggett & Platt Inc. | 106,217 | 5,069 | |
| ClubCorp Holdings Inc. | 301,000 | 4,967 | |
| * | Cooper-Standard Holdings Inc. | 45,510 | 4,791 |
| * | American Axle & Manufacturing Holdings Inc. | 192,720 | 3,932 |
| Interpublic Group of Cos. Inc. | 164,449 | 3,869 | |
| Libbey Inc. | 187,238 | 3,204 | |
| * | Strayer Education Inc. | 38,978 | 3,157 |
| DR Horton Inc. | 94,538 | 2,828 | |
| MCBC Holdings Inc. | 190,264 | 2,654 | |
| * | Tile Shop Holdings Inc. | 133,502 | 2,550 |
| * | Scientific Games Corp. Class A | 143,389 | 2,438 |
| * | MSG Networks Inc. | 95,934 | 2,226 |
| New Media Investment Group Inc. | 120,851 | 1,842 | |
| * | Dave & Buster's Entertainment Inc. | 32,521 | 1,771 |
| ^,* JAKKS Pacific Inc. | 346,483 | 1,767 | |
| * | Genesco Inc. | 27,939 | 1,682 |
| Domino's Pizza Inc. | 9,528 | 1,663 | |
| * | Tempur Sealy International Inc. | 33,833 | 1,455 |
| Finish Line Inc. Class A | 79,846 | 1,373 | |
| Bassett Furniture Industries Inc. | 41,700 | 1,176 | |
| Capella Education Co. | 12,318 | 1,053 | |
| * | Hemisphere Media Group Inc. Class A | 85,560 | 958 |
| * | Penn National Gaming Inc. | 65,942 | 909 |
| Callaway Golf Co. | 78,011 | 884 | |
| Culp Inc. | 26,768 | 862 | |
| * | Denny's Corp. | 57,168 | 696 |
| Pier 1 Imports Inc. | 68,199 | 496 | |
| * | Carrols Restaurant Group Inc. | 28,753 | 413 |
| * | Potbelly Corp. | 26,746 | 348 |
| * | Taylor Morrison Home Corp. Class A | 12,571 | 244 |
| * | SodaStream International Ltd. | 1,000 | 44 |
| * | Gentherm Inc. | 600 | 21 |
| Red Rock Resorts Inc. Class A | 100 | 2 | |
| 1,582,606 | |||
| Consumer Staples (2.7%) | |||
| Nu Skin Enterprises Inc. Class A | 900,375 | 46,712 | |
| ^ | Sanderson Farms Inc. | 444,915 | 40,487 |
| * | Post Holdings Inc. | 481,031 | 40,253 |
| * | TreeHouse Foods Inc. | 428,885 | 32,544 |
| Greencore Group plc | 7,846,159 | 23,357 | |
| * | Performance Food Group Co. | 856,263 | 18,966 |
| * | Smart & Final Stores Inc. | 1,293,570 | 18,563 |
| * | Monster Beverage Corp. | 382,000 | 16,273 |
| Calavo Growers Inc. | 243,485 | 13,465 | |
| Casey's General Stores Inc. | 109,818 | 12,618 | |
| MGP Ingredients Inc. | 274,900 | 11,653 | |
| * | US Foods Holding Corp. | 270,266 | 7,351 |
| Ingredion Inc. | 48,899 | 6,268 | |
| Fresh Del Monte Produce Inc. | 109,370 | 6,261 | |
| Dean Foods Co. | 292,629 | 5,812 | |
| Ingles Markets Inc. Class A | 67,700 | 3,063 | |
| HRG Group Inc. | 159,533 | 2,685 | |
| * | Omega Protein Corp. | 81,774 | 2,040 |
| ^,* Herbalife Ltd. | 25,524 | 1,434 | |
| ^ | Natural Health Trends Corp. | 43,241 | 1,085 |
| * | Darling Ingredients Inc. | 86,561 | 1,039 |
| Lancaster Colony Corp. | 7,181 | 941 | |
| * | Avon Products Inc. | 113,056 | 664 |
| * | USANA Health Sciences Inc. | 4,077 | 254 |
| 313,788 | |||
| Energy (2.7%) | |||
| Delek US Holdings Inc. | 1,634,199 | 36,606 | |
| ^ | Core Laboratories NV | 297,235 | 34,726 |
| * | Energen Corp. | 580,278 | 31,271 |
| * | Resolute Energy Corp. | 413,200 | 19,003 |
| * | Superior Energy Services Inc. | 878,995 | 15,532 |
| * | PDC Energy Inc. | 204,900 | 15,150 |
| * | Rice Energy Inc. | 731,100 | 14,498 |
| * | RigNet Inc. | 716,013 | 14,141 |
| * | Parsley Energy Inc. Class A | 394,380 | 13,890 |
| * | Forum Energy Technologies Inc. | 638,200 | 13,849 |
| Baker Hughes Inc. | 176,500 | 11,134 | |
| ^ | RPC Inc. | 501,990 | 10,803 |
| * | Diamondback Energy Inc. | 102,500 | 10,780 |
| * | Carrizo Oil & Gas Inc. | 296,499 | 10,484 |
| Cabot Oil & Gas Corp. | 423,440 | 9,096 | |
| * | Dril-Quip Inc. | 129,828 | 8,075 |
| * | Matador Resources Co. | 292,435 | 7,700 |
| * | Newfield Exploration Co. | 182,719 | 7,323 |
| Oceaneering International Inc. | 248,400 | 6,918 | |
| * | Southwestern Energy Co. | 748,038 | 6,740 |
| Range Resources Corp. | 203,000 | 6,565 | |
| * | Gulfport Energy Corp. | 286,595 | 5,990 |
| * | Sanchez Energy Corp. | 56,966 | 755 |
| * | Chesapeake Energy Corp. | 104,020 | 671 |
| * | Abraxas Petroleum Corp. | 118,952 | 294 |
| 311,994 | |||
| Financials (9.1%) | |||
| Assured Guaranty Ltd. | 1,760,796 | 68,513 | |
| Nasdaq Inc. | 890,982 | 62,850 | |
| * | MGIC Investment Corp. | 5,389,653 | 57,400 |
| Assurant Inc. | 530,808 | 51,557 | |
| * | Western Alliance Bancorp | 1,012,311 | 49,988 |
| LPL Financial Holdings Inc. | 1,175,793 | 46,209 | |
| Financial Engines Inc. | 1,172,440 | 45,198 | |
| * | Signature Bank | 280,796 | 44,231 |
| MarketAxess Holdings Inc. | 223,700 | 41,888 | |
| Redwood Trust Inc. | 2,661,054 | 41,246 | |
| Zions Bancorporation | 934,004 | 39,406 | |
| MFA Financial Inc. | 4,982,519 | 39,312 | |
| * | Affiliated Managers Group Inc. | 233,953 | 35,645 |
| ^,* LendingTree Inc. | 284,305 | 31,814 | |
| Solar Capital Ltd. | 1,434,019 | 30,430 | |
| Hannon Armstrong Sustainable Infrastructure Capital Inc. | 1,663,403 | 30,407 | |
| Investment Technology Group Inc. | 1,500,000 | 30,180 | |
| Legg Mason Inc. | 821,837 | 26,044 | |
| Bats Global Markets Inc. | 662,767 | 23,495 | |
| * | SVB Financial Group | 136,121 | 23,444 |
| * | Texas Capital Bancshares Inc. | 265,225 | 21,881 |
| ^ | WisdomTree Investments Inc. | 1,973,065 | 20,323 |
| Hilltop Holdings Inc. | 623,400 | 17,069 | |
| * | Customers Bancorp Inc. | 467,535 | 16,111 |
| Bank of the Ozarks Inc. | 264,299 | 14,502 | |
| ^,* Encore Capital Group Inc. | 465,110 | 14,395 | |
| MSCI Inc. Class A | 139,292 | 11,526 | |
| *,2 eHealth Inc. | 935,401 | 11,468 | |
| James River Group Holdings Ltd. | 256,070 | 10,153 | |
| * | Essent Group Ltd. | 263,386 | 9,105 |
| * | Pacific Premier Bancorp Inc. | 215,901 | 8,496 |
| * | PRA Group Inc. | 180,695 | 7,192 |
| * | Walker & Dunlop Inc. | 222,046 | 6,974 |
| Primerica Inc. | 87,630 | 6,612 | |
| FactSet Research Systems Inc. | 37,724 | 6,528 | |
| New Residential Investment Corp. | 423,500 | 6,416 | |
| BGC Partners Inc. Class A | 560,800 | 6,208 | |
| * | INTL. FCStone Inc. | 167,200 | 6,166 |
| Universal Insurance Holdings Inc. | 220,009 | 5,753 | |
| Meta Financial Group Inc. | 60,000 | 5,271 | |
| OM Asset Management plc | 330,200 | 4,656 | |
| Wintrust Financial Corp. | 61,720 | 4,419 | |
| ^ | Banc of California Inc. | 270,950 | 4,281 |
| * | FCB Financial Holdings Inc. Class A | 88,000 | 4,132 |
| * | Regional Management Corp. | 158,173 | 3,956 |
| National Bank Holdings Corp. Class A | 91,761 | 2,982 | |
| * | World Acceptance Corp. | 58,068 | 2,849 |
| Capital Bank Financial Corp. | 33,172 | 1,307 | |
| ^,* Credit Acceptance Corp. | 6,030 | 1,238 | |
| * | Donnelley Financial Solutions Inc. | 46,712 | 1,125 |
| ^,* BofI Holding Inc. | 22,443 | 662 | |
| * | Nationstar Mortgage Holdings Inc. | 32,830 | 595 |
| Evercore Partners Inc. Class A | 3,481 | 270 | |
| Opus Bank | 3,700 | 75 | |
| PrivateBancorp Inc. | 1,300 | 71 | |
| 1,064,024 | |||
| Health Care (18.8%) | |||
| * | ABIOMED Inc. | 744,681 | 79,212 |
| * | ICON plc | 898,089 | 75,493 |
| * | Insulet Corp. | 1,616,533 | 67,248 |
| * | athenahealth Inc. | 524,410 | 66,070 |
| * | DexCom Inc. | 832,634 | 65,903 |
| * | Ligand Pharmaceuticals Inc. | 551,369 | 58,451 |
| * | Globus Medical Inc. | 2,114,360 | 55,734 |
| West Pharmaceutical Services Inc. | 646,005 | 54,671 | |
| ^,* Exact Sciences Corp. | 2,710,929 | 51,372 | |
| Cooper Cos. Inc. | 271,039 | 50,036 | |
| * | LifePoint Health Inc. | 803,974 | 47,716 |
| * | INC Research Holdings Inc. Class A | 856,830 | 45,412 |
| * | Molina Healthcare Inc. | 738,000 | 41,859 |
| * | Allscripts Healthcare Solutions Inc. | 3,424,420 | 40,100 |
| * | Surgical Care Affiliates Inc. | 705,300 | 39,849 |
| * | IDEXX Laboratories Inc. | 314,509 | 38,474 |
| HealthSouth Corp. | 964,200 | 37,430 | |
| * | Bluebird Bio Inc. | 479,343 | 35,711 |
| ResMed Inc. | 498,364 | 33,659 | |
| * | Align Technology Inc. | 360,828 | 33,084 |
| * | Haemonetics Corp. | 815,900 | 32,522 |
| * | Spectranetics Corp. | 1,107,441 | 28,627 |
| * | Hologic Inc. | 701,132 | 28,417 |
| STERIS plc | 396,711 | 28,099 | |
| * | Acadia Healthcare Co. Inc. | 731,800 | 28,079 |
| ^,* Pacira Pharmaceuticals Inc. | 728,814 | 28,023 | |
| * | Bio-Rad Laboratories Inc. Class A | 142,140 | 27,018 |
| * | Medidata Solutions Inc. | 543,846 | 26,942 |
| Bruker Corp. | 1,053,143 | 24,991 | |
| ^,* Zeltiq Aesthetics Inc. | 551,985 | 24,475 | |
| Kindred Healthcare Inc. | 3,541,659 | 23,552 | |
| * | Alkermes plc | 428,085 | 23,164 |
| ^,* Evolent Health Inc. Class A | 1,268,292 | 23,083 | |
| * | HealthEquity Inc. | 476,125 | 22,021 |
| * | Inogen Inc. | 341,094 | 21,956 |
| ^,* TESARO Inc. | 128,102 | 20,860 | |
| * | HMS Holdings Corp. | 1,131,645 | 20,551 |
| * | Ultragenyx Pharmaceutical Inc. | 270,000 | 20,253 |
| ^,* Teladoc Inc. | 997,700 | 19,954 | |
| * | Catalent Inc. | 726,458 | 19,440 |
| * | MEDNAX Inc. | 280,579 | 19,178 |
| * | Neogen Corp. | 289,750 | 19,135 |
| * | Prestige Brands Holdings Inc. | 347,409 | 18,329 |
| * | Jazz Pharmaceuticals plc | 149,350 | 18,209 |
| ^,* Aduro Biotech Inc. | 1,525,407 | 18,076 | |
| * | Cynosure Inc. Class A | 335,663 | 17,924 |
| Dentsply Sirona Inc. | 315,643 | 17,897 | |
| * | NuVasive Inc. | 241,700 | 17,105 |
| * | Illumina Inc. | 106,800 | 17,099 |
| Patterson Cos. Inc. | 408,360 | 16,992 | |
| * | Cerner Corp. | 302,500 | 16,247 |
| * | Repligen Corp. | 530,702 | 15,942 |
| * | Spark Therapeutics Inc. | 251,106 | 15,835 |
| * | QIAGEN NV | 515,859 | 14,950 |
| * | Cardiovascular Systems Inc. | 588,136 | 14,527 |
| * | AMN Healthcare Services Inc. | 390,120 | 13,986 |
| Bio-Techne Corp. | 134,281 | 13,663 | |
| * | Veeva Systems Inc. Class A | 316,121 | 13,381 |
| ^,* Endologix Inc. | 1,879,973 | 12,897 | |
| * | Ironwood Pharmaceuticals Inc. Class A | 863,100 | 12,411 |
| * | Quintiles IMS Holdings Inc. | 156,958 | 12,320 |
| * | Nektar Therapeutics Class A | 1,015,100 | 12,293 |
| * | Ionis Pharmaceuticals Inc. | 273,900 | 12,189 |
| * | Nevro Corp. | 130,104 | 11,322 |
| ^,* Revance Therapeutics Inc. | 555,292 | 11,106 | |
| * | Intuitive Surgical Inc. | 15,700 | 10,875 |
| * | WellCare Health Plans Inc. | 74,590 | 10,856 |
| CONMED Corp. | 234,590 | 10,460 | |
| * | Novadaq Technologies Inc. | 1,497,291 | 10,122 |
| Cantel Medical Corp. | 128,110 | 9,917 | |
| * | Akorn Inc. | 518,960 | 9,912 |
| * | Alnylam Pharmaceuticals Inc. | 246,373 | 9,852 |
| * | Blueprint Medicines Corp. | 277,021 | 9,441 |
| * | Charles River Laboratories International Inc. | 113,614 | 9,180 |
| * | Masimo Corp. | 123,580 | 9,093 |
| * | Neurocrine Biosciences Inc. | 210,338 | 9,026 |
| * | Acceleron Pharma Inc. | 362,600 | 8,804 |
| Hill-Rom Holdings Inc. | 145,124 | 8,543 | |
| * | DBV Technologies SA ADR | 247,078 | 8,529 |
| Chemed Corp. | 50,819 | 8,440 | |
| * | Luminex Corp. | 400,445 | 8,097 |
| * | Supernus Pharmaceuticals Inc. | 284,279 | 7,690 |
| * | PRA Health Sciences Inc. | 130,600 | 7,652 |
| * | Quidel Corp. | 398,316 | 7,560 |
| * | Amedisys Inc. | 148,925 | 6,824 |
| * | Enanta Pharmaceuticals Inc. | 202,100 | 6,695 |
| * | Mettler-Toledo International Inc. | 15,409 | 6,574 |
| * | Atara Biotherapeutics Inc. | 484,155 | 6,512 |
| ^,* Juno Therapeutics Inc. | 290,195 | 6,193 | |
| * | Array BioPharma Inc. | 563,189 | 6,122 |
| * | United Therapeutics Corp. | 36,409 | 5,958 |
| * | Five Prime Therapeutics Inc. | 115,509 | 5,291 |
| * | Emergent BioSolutions Inc. | 173,529 | 5,253 |
| * | FibroGen Inc. | 217,500 | 4,926 |
| * | OraSure Technologies Inc. | 553,120 | 4,878 |
| * | Exelixis Inc. | 261,826 | 4,744 |
| Teleflex Inc. | 23,452 | 3,934 | |
| * | Patheon NV | 134,310 | 3,853 |
| * | Penumbra Inc. | 47,000 | 3,363 |
| ^,* AAC Holdings Inc. | 415,500 | 3,303 | |
| * | Amphastar Pharmaceuticals Inc. | 178,800 | 2,816 |
| * | Anika Therapeutics Inc. | 54,091 | 2,734 |
| Owens & Minor Inc. | 65,996 | 2,368 | |
| * | Spectrum Pharmaceuticals Inc. | 476,200 | 2,219 |
| * | SciClone Pharmaceuticals Inc. | 215,751 | 2,190 |
| * | Tenet Healthcare Corp. | 123,739 | 2,177 |
| * | Esperion Therapeutics Inc. | 174,800 | 2,119 |
| * | Orthofix International NV | 57,267 | 2,058 |
| * | Cross Country Healthcare Inc. | 117,381 | 1,698 |
| * | Rigel Pharmaceuticals Inc. | 779,520 | 1,621 |
| LeMaitre Vascular Inc. | 71,200 | 1,617 | |
| * | BioCryst Pharmaceuticals Inc. | 250,019 | 1,575 |
| * | Medpace Holdings Inc. | 42,195 | 1,472 |
| * | Lexicon Pharmaceuticals Inc. | 90,883 | 1,302 |
| * | Infinity Pharmaceuticals Inc. | 547,400 | 1,133 |
| * | Cytokinetics Inc. | 106,957 | 1,118 |
| * | Ophthotech Corp. | 228,474 | 1,088 |
| * | Vanda Pharmaceuticals Inc. | 75,185 | 1,064 |
| * | Integra LifeSciences Holdings Corp. | 25,307 | 1,056 |
| Utah Medical Products Inc. | 15,470 | 962 | |
| * | Coherus Biosciences Inc. | 26,691 | 745 |
| * | Aratana Therapeutics Inc. | 89,653 | 716 |
| * | Civitas Solutions Inc. | 33,800 | 619 |
| * | American Renal Associates Holdings Inc. | 29,936 | 575 |
| ^,* ImmunoGen Inc. | 197,248 | 462 | |
| * | Brookdale Senior Living Inc. | 30,300 | 454 |
| * | Peregrine Pharmaceuticals Inc. | 1,396,779 | 419 |
| Landauer Inc. | 7,824 | 402 | |
| * | Applied Genetic Technologies Corp. | 54,848 | 398 |
| * | LHC Group Inc. | 7,625 | 382 |
| ^,* Reata Pharmaceuticals Inc. Class A | 13,392 | 333 | |
| * | Depomed Inc. | 17,185 | 311 |
| * | BioTelemetry Inc. | 12,600 | 290 |
| * | Merrimack Pharmaceuticals Inc. | 82,679 | 257 |
| * | Aptevo Therapeutics Inc. | 104,300 | 208 |
| ^,* iRadimed Corp. | 19,233 | 176 | |
| * | Sage Therapeutics Inc. | 3,000 | 144 |
| * | Intersect ENT Inc. | 5,700 | 77 |
| * | Tetraphase Pharmaceuticals Inc. | 5,200 | 20 |
| * | Cempra Inc. | 6,300 | 20 |
| * | Zafgen Inc. | 3,500 | 15 |
| 2,192,406 | |||
| Industrials (18.4%) | |||
| * | TriNet Group Inc. | 3,235,476 | 82,278 |
| * | Clean Harbors Inc. | 1,477,641 | 82,009 |
| * | Genesee & Wyoming Inc. Class A | 1,007,959 | 75,960 |
| * | Kirby Corp. | 1,149,091 | 74,059 |
| * | Middleby Corp. | 464,550 | 62,333 |
| ^,* Swift Transportation Co. | 2,452,652 | 55,994 | |
| * | Teledyne Technologies Inc. | 451,517 | 55,478 |
| CEB Inc. | 723,104 | 55,281 | |
| * | WageWorks Inc. | 765,046 | 55,198 |
| MSC Industrial Direct Co. Inc. Class A | 530,295 | 54,170 | |
| * | AerCap Holdings NV | 1,221,470 | 54,074 |
| Timken Co. | 999,800 | 44,391 | |
| Advanced Drainage Systems Inc. | 1,808,879 | 43,594 | |
| * | Sensata Technologies Holding NV | 1,029,486 | 43,187 |
| Watts Water Technologies Inc. Class A | 648,411 | 42,795 | |
| John Bean Technologies Corp. | 490,525 | 42,357 | |
| Curtiss-Wright Corp. | 412,384 | 40,438 | |
| AGCO Corp. | 638,700 | 40,110 | |
| HEICO Corp. Class A | 603,335 | 40,001 | |
| Tennant Co. | 567,882 | 39,326 | |
| Terex Corp. | 1,224,200 | 38,930 | |
| ^ | GATX Corp. | 654,133 | 37,822 |
| * | TransUnion | 1,147,705 | 36,187 |
| * | IHS Markit Ltd. | 859,375 | 33,902 |
| Owens Corning | 580,196 | 32,056 | |
| Landstar System Inc. | 377,428 | 31,930 | |
| * | Spirit Airlines Inc. | 564,710 | 30,517 |
| * | Advisory Board Co. | 629,848 | 28,658 |
| * | Trex Co. Inc. | 420,158 | 28,457 |
| Forward Air Corp. | 576,971 | 27,804 | |
| * | Masonite International Corp. | 404,840 | 26,962 |
| Wabtec Corp. | 308,492 | 26,728 | |
| * | Proto Labs Inc. | 487,096 | 25,573 |
| Acuity Brands Inc. | 122,615 | 25,410 | |
| Heartland Express Inc. | 1,199,169 | 24,703 |
| KAR Auction Services Inc. | 510,220 | 23,241 |
| Kennametal Inc. | 632,473 | 22,605 |
| * SiteOne Landscape Supply Inc. | 585,328 | 22,488 |
| * RBC Bearings Inc. | 233,494 | 21,629 |
| JB Hunt Transport Services Inc. | 203,705 | 20,183 |
| AO Smith Corp. | 401,930 | 19,594 |
| * Hawaiian Holdings Inc. | 376,706 | 19,193 |
| Carlisle Cos. Inc. | 166,130 | 18,126 |
| Orbital ATK Inc. | 206,600 | 17,964 |
| Kaman Corp. | 354,527 | 17,914 |
| * TASER International Inc. | 703,100 | 17,563 |
| * Verisk Analytics Inc. Class A | 206,700 | 17,082 |
| * Rush Enterprises Inc. Class A | 489,633 | 16,035 |
| Albany International Corp. | 335,100 | 15,900 |
| Equifax Inc. | 118,960 | 13,952 |
| * United Rentals Inc. | 105,743 | 13,378 |
| Mobile Mini Inc. | 406,400 | 13,228 |
| Multi-Color Corp. | 165,525 | 12,779 |
| Huntington Ingalls Industries Inc. | 62,180 | 12,060 |
| Woodward Inc. | 168,967 | 11,767 |
| Toro Co. | 180,046 | 10,610 |
| Allegion plc | 149,315 | 9,806 |
| Spirit AeroSystems Holdings Inc. Class A | 159,072 | 9,552 |
| * Astronics Corp. | 263,260 | 8,638 |
| * Saia Inc. | 175,976 | 8,456 |
| * MasTec Inc. | 223,201 | 8,314 |
| General Cable Corp. | 382,787 | 7,771 |
| * Meritor Inc. | 490,648 | 7,080 |
| Global Brass & Copper Holdings Inc. | 213,478 | 7,077 |
| Wabash National Corp. | 398,397 | 7,032 |
| Apogee Enterprises Inc. | 120,894 | 6,901 |
| * Gibraltar Industries Inc. | 156,074 | 6,852 |
| Quad/Graphics Inc. | 258,962 | 6,782 |
| * HD Supply Holdings Inc. | 159,998 | 6,768 |
| * JetBlue Airways Corp. | 340,000 | 6,667 |
| Ryder System Inc. | 85,770 | 6,656 |
| * Continental Building Products Inc. | 268,259 | 6,237 |
| Ritchie Bros Auctioneers Inc. | 190,634 | 6,184 |
| ^ Greenbrier Cos. Inc. | 139,627 | 6,109 |
| West Corp. | 248,800 | 6,038 |
| Insperity Inc. | 81,483 | 5,826 |
| * Kornit Digital Ltd. | 345,918 | 5,742 |
| Knight Transportation Inc. | 161,780 | 5,403 |
| Alaska Air Group Inc. | 57,512 | 5,396 |
| Insteel Industries Inc. | 143,082 | 5,300 |
| Brink's Co. | 116,900 | 5,202 |
| Argan Inc. | 67,634 | 4,988 |
| * KEYW Holding Corp. | 449,808 | 4,503 |
| * Echo Global Logistics Inc. | 183,600 | 4,360 |
| Herman Miller Inc. | 138,911 | 4,334 |
| Kimball International Inc. Class B | 256,450 | 4,290 |
| * Ply Gem Holdings Inc. | 242,269 | 3,913 |
| * YRC Worldwide Inc. | 256,030 | 3,823 |
| Knoll Inc. | 138,675 | 3,621 |
| Watsco Inc. | 23,005 | 3,514 |
| BWX Technologies Inc. | 84,468 | 3,505 |
| * | Roadrunner Transportation Systems Inc. | 402,105 | 3,185 |
| Lennox International Inc. | 17,596 | 2,759 | |
| Brady Corp. Class A | 75,749 | 2,753 | |
| ^,* Energy Recovery Inc. | 264,106 | 2,704 | |
| * | Lydall Inc. | 42,280 | 2,579 |
| EnerSys | 33,083 | 2,579 | |
| * | NCI Building Systems Inc. | 160,192 | 2,563 |
| Donaldson Co. Inc. | 59,210 | 2,502 | |
| * | Atkore International Group Inc. | 92,331 | 2,467 |
| * | Avis Budget Group Inc. | 63,830 | 2,376 |
| Barrett Business Services Inc. | 38,060 | 2,288 | |
| ^ | American Railcar Industries Inc. | 32,000 | 1,425 |
| * | Huron Consulting Group Inc. | 31,169 | 1,412 |
| * | Vectrus Inc. | 62,300 | 1,404 |
| * | Wesco Aircraft Holdings Inc. | 89,574 | 1,357 |
| Astec Industries Inc. | 16,211 | 1,134 | |
| Applied Industrial Technologies Inc. | 14,278 | 863 | |
| * | Hudson Technologies Inc. | 113,507 | 824 |
| Exponent Inc. | 600 | 35 | |
| ^,* Power Solutions International Inc. | 1,800 | 13 | |
| * | Caesarstone Ltd. | 200 | 6 |
| 2,145,831 | |||
| Information Technology (23.4%) | |||
| * | Cadence Design Systems Inc. | 4,723,137 | 122,943 |
| * | Cardtronics plc Class A | 1,581,251 | 86,305 |
| * | Cavium Inc. | 1,122,886 | 74,346 |
| * | Aspen Technology Inc. | 1,219,232 | 64,753 |
| * | MACOM Technology Solutions Holdings Inc. | 1,275,222 | 60,637 |
| *,2 Callidus Software Inc. | 3,177,861 | 58,632 | |
| * | Ultimate Software Group Inc. | 283,592 | 54,920 |
| * | CoStar Group Inc. | 267,153 | 53,992 |
| Power Integrations Inc. | 756,455 | 53,708 | |
| * | 2U Inc. | 1,527,314 | 51,990 |
| * | Integrated Device Technology Inc. | 2,041,458 | 51,424 |
| * | Ciena Corp. | 2,024,801 | 49,284 |
| * | Euronet Worldwide Inc. | 684,178 | 48,932 |
| * | BroadSoft Inc. | 1,158,541 | 48,659 |
| * | GoDaddy Inc. Class A | 1,327,103 | 47,417 |
| * | HubSpot Inc. | 881,510 | 45,221 |
| MKS Instruments Inc. | 679,303 | 44,766 | |
| * | Tyler Technologies Inc. | 278,535 | 40,672 |
| Teradyne Inc. | 1,421,012 | 40,328 | |
| * | Entegris Inc. | 2,129,107 | 39,921 |
| * | Trimble Inc. | 1,328,152 | 39,340 |
| ^,* First Solar Inc. | 1,204,921 | 37,581 | |
| CDW Corp. | 700,697 | 36,093 | |
| * | Acxiom Corp. | 1,327,155 | 34,639 |
| * | Red Hat Inc. | 414,900 | 31,483 |
| * | Mobileye NV | 727,767 | 31,265 |
| FLIR Systems Inc. | 884,120 | 31,236 | |
| CSRA Inc. | 1,003,854 | 31,140 | |
| SS&C Technologies Holdings Inc. | 937,210 | 30,113 | |
| * | Gartner Inc. | 291,161 | 28,930 |
| * | Proofpoint Inc. | 359,457 | 28,814 |
| * | SPS Commerce Inc. | 403,565 | 27,846 |
| * | Microsemi Corp. | 518,725 | 27,570 |
| Belden Inc. | 355,995 | 27,223 | |
| * | WNS Holdings Ltd. ADR | 904,631 | 25,728 |
| Brooks Automation Inc. | 1,349,824 | 23,514 | |
| * | Guidewire Software Inc. | 432,327 | 22,624 |
| MercadoLibre Inc. | 120,600 | 22,358 | |
| * | RealPage Inc. | 724,374 | 22,166 |
| * | 8x8 Inc. | 1,397,243 | 22,146 |
| MAXIMUS Inc. | 381,199 | 21,019 | |
| * | Stamps.com Inc. | 172,800 | 21,004 |
| Cognex Corp. | 306,400 | 20,700 | |
| National Instruments Corp. | 655,700 | 20,602 | |
| Microchip Technology Inc. | 301,600 | 20,313 | |
| Methode Electronics Inc. | 481,225 | 20,236 | |
| Alliance Data Systems Corp. | 85,573 | 19,543 | |
| * | Manhattan Associates Inc. | 373,398 | 19,140 |
| * | CyberArk Software Ltd. | 353,300 | 18,746 |
| * | Zendesk Inc. | 780,879 | 18,686 |
| * | Envestnet Inc. | 490,180 | 18,529 |
| * | Genpact Ltd. | 747,965 | 18,460 |
| * | Electronics For Imaging Inc. | 397,210 | 17,851 |
| * | Wix.com Ltd. | 324,403 | 17,047 |
| * | Silicon Laboratories Inc. | 250,689 | 16,345 |
| * | New Relic Inc. | 432,706 | 15,664 |
| * | Gigamon Inc. | 468,737 | 15,539 |
| * | ChannelAdvisor Corp. | 1,109,365 | 15,365 |
| * | Finisar Corp. | 507,100 | 14,995 |
| * | Bottomline Technologies de Inc. | 574,510 | 14,776 |
| ^,* Stratasys Ltd. | 746,831 | 14,727 | |
| * | Descartes Systems Group Inc. | 673,542 | 14,717 |
| * | WEX Inc. | 128,400 | 14,680 |
| * | Mellanox Technologies Ltd. | 304,200 | 14,404 |
| Littelfuse Inc. | 90,700 | 14,304 | |
| * | Super Micro Computer Inc. | 525,970 | 13,912 |
| * | Semtech Corp. | 401,877 | 13,242 |
| * | Shopify Inc. Class A | 260,050 | 13,216 |
| * | MaxLinear Inc. | 514,229 | 13,154 |
| * | Cimpress NV | 154,359 | 13,026 |
| * | GrubHub Inc. | 293,365 | 12,189 |
| * | PTC Inc. | 227,943 | 11,983 |
| * | Take-Two Interactive Software Inc. | 219,740 | 11,789 |
| * | OSI Systems Inc. | 154,598 | 11,544 |
| * | GTT Communications Inc. | 386,175 | 10,909 |
| * | Palo Alto Networks Inc. | 73,200 | 10,801 |
| * | NCR Corp. | 247,992 | 10,669 |
| * | Synchronoss Technologies Inc. | 274,000 | 10,554 |
| * | IPG Photonics Corp. | 90,529 | 10,410 |
| * | Shutterstock Inc. | 191,906 | 10,325 |
| * | PROS Holdings Inc. | 441,100 | 9,872 |
| ^,* SunPower Corp. Class A | 1,460,310 | 9,696 | |
| * | F5 Networks Inc. | 71,290 | 9,555 |
| * | Barracuda Networks Inc. | 406,104 | 9,539 |
| Monolithic Power Systems Inc. | 107,300 | 9,361 | |
| * | Cirrus Logic Inc. | 153,974 | 9,288 |
| * | Advanced Micro Devices Inc. | 877,338 | 9,098 |
| * | Teradata Corp. | 304,971 | 8,954 |
| Science Applications International Corp. | 108,514 | 8,835 | |
| * | Fortinet Inc. | 264,400 | 8,794 |
| Booz Allen Hamilton Holding Corp. Class A | 253,703 | 8,580 | |
| Progress Software Corp. | 303,900 | 8,515 | |
| * | Radware Ltd. | 559,800 | 8,223 |
| * | Qualys Inc. | 223,800 | 8,034 |
| * | Perficient Inc. | 439,600 | 7,794 |
| * | Akamai Technologies Inc. | 113,500 | 7,785 |
| ^,* 3D Systems Corp. | 468,194 | 7,721 | |
| CSG Systems International Inc. | 158,561 | 7,674 | |
| Travelport Worldwide Ltd. | 526,992 | 7,568 | |
| * | Itron Inc. | 121,779 | 7,514 |
| * | Virtusa Corp. | 292,500 | 7,453 |
| * | Extreme Networks Inc. | 1,340,557 | 7,413 |
| * | Q2 Holdings Inc. | 224,300 | 7,122 |
| * | Arista Networks Inc. | 74,745 | 7,026 |
| * | ANSYS Inc. | 74,600 | 6,957 |
| * | Rapid7 Inc. | 556,200 | 6,936 |
| ^,* Impinj Inc. | 195,326 | 6,877 | |
| * | Electronic Arts Inc. | 81,200 | 6,775 |
| * | Imperva Inc. | 157,600 | 6,580 |
| * | Pandora Media Inc. | 498,900 | 6,486 |
| * | Cornerstone OnDemand Inc. | 153,660 | 6,252 |
| * | A10 Networks Inc. | 753,783 | 6,008 |
| Hackett Group Inc. | 349,900 | 5,686 | |
| ^,* Twilio Inc. Class A | 194,100 | 5,596 | |
| EarthLink Holdings Corp. | 864,729 | 5,543 | |
| * | Five9 Inc. | 357,186 | 5,522 |
| ^,* Unisys Corp. | 428,320 | 5,504 | |
| * | Tableau Software Inc. Class A | 113,000 | 5,406 |
| * | Plexus Corp. | 97,800 | 5,311 |
| * | EPAM Systems Inc. | 80,600 | 5,187 |
| * | Synaptics Inc. | 87,757 | 4,948 |
| ^,* Nutanix Inc. | 162,821 | 4,929 | |
| * | LivePerson Inc. | 652,912 | 4,766 |
| TeleTech Holdings Inc. | 157,042 | 4,648 | |
| * | Amkor Technology Inc. | 471,885 | 4,440 |
| * | Paycom Software Inc. | 92,500 | 4,277 |
| * | Nimble Storage Inc. | 471,200 | 4,038 |
| * | Trivago NV ADR | 335,330 | 3,890 |
| NIC Inc. | 155,285 | 3,742 | |
| * | Sykes Enterprises Inc. | 128,871 | 3,599 |
| * | FireEye Inc. | 264,400 | 3,583 |
| * | RingCentral Inc. Class A | 131,000 | 3,059 |
| * | Carbonite Inc. | 174,264 | 3,006 |
| Avnet Inc. | 64,200 | 2,981 | |
| * | Brightcove Inc. | 412,565 | 2,970 |
| * | Care.com Inc. | 344,986 | 2,912 |
| * | Lumentum Holdings Inc. | 76,032 | 2,885 |
| * | PDF Solutions Inc. | 109,954 | 2,475 |
| * | Apptio Inc. Class A | 177,140 | 2,452 |
| * | Inphi Corp. | 52,610 | 2,411 |
| Western Digital Corp. | 30,000 | 2,392 | |
| * | Square Inc. | 142,175 | 2,079 |
| * | Synopsys Inc. | 30,081 | 1,892 |
| * | CommScope Holding Co. Inc. | 49,029 | 1,854 |
| Monotype Imaging Holdings Inc. | 76,113 | 1,667 | |
| * | NETGEAR Inc. | 25,789 | 1,467 |
| * | Workiva Inc. | 115,148 | 1,451 |
| * | Jive Software Inc. | 378,129 | 1,437 |
| * | Zebra Technologies Corp. | 17,030 | 1,425 |
| * | Box Inc. | 75,651 | 1,291 |
| * | Ellie Mae Inc. | 14,215 | 1,176 |
| * | ShoreTel Inc. | 167,418 | 1,164 |
| * | Avid Technology Inc. | 203,067 | 1,086 |
| * | Travelzoo Inc. | 116,721 | 1,068 |
| * | Amber Road Inc. | 102,000 | 903 |
| * | ePlus Inc. | 7,800 | 874 |
| * | NeoPhotonics Corp. | 76,009 | 832 |
| ADTRAN Inc. | 30,601 | 670 | |
| * | Guidance Software Inc. | 90,300 | 656 |
| * | Angie's List Inc. | 82,493 | 517 |
| InterDigital Inc. | 5,209 | 487 | |
| ^,* Acacia Communications Inc. | 7,680 | 447 | |
| * | Lattice Semiconductor Corp. | 59,607 | 429 |
| Intersil Corp. Class A | 15,600 | 350 | |
| * | Eastman Kodak Co. | 16,100 | 216 |
| * | InvenSense Inc. | 7,600 | 96 |
| * | Paylocity Holding Corp. | 1,400 | 43 |
| * | Allot Communications Ltd. | 7,300 | 36 |
| * | Infinera Corp. | 1,200 | 11 |
| * | Digimarc Corp. | 400 | 11 |
| * | SecureWorks Corp. Class A | 800 | 8 |
| 2,733,860 | |||
| Materials (3.8%) | |||
| PolyOne Corp. | 1,642,963 | 56,041 | |
| Minerals Technologies Inc. | 667,562 | 53,505 | |
| RPC Group plc | 3,851,370 | 52,010 | |
| ^ | Methanex Corp. | 843,836 | 42,234 |
| Smurfit Kappa Group plc | 1,359,569 | 35,636 | |
| Graphic Packaging Holding Co. | 2,559,798 | 32,023 | |
| Ashland Global Holdings Inc. | 181,005 | 21,545 | |
| * | Axalta Coating Systems Ltd. | 689,460 | 19,994 |
| Quaker Chemical Corp. | 112,715 | 14,484 | |
| Balchem Corp. | 148,321 | 12,643 | |
| Chemours Co. | 357,351 | 9,441 | |
| * | Owens-Illinois Inc. | 461,997 | 8,732 |
| Trinseo SA | 127,246 | 8,239 | |
| * | Forterra Inc. | 393,700 | 7,575 |
| * | Crown Holdings Inc. | 137,146 | 7,429 |
| * | Koppers Holdings Inc. | 179,617 | 7,266 |
| Steel Dynamics Inc. | 200,039 | 6,763 | |
| Rayonier Advanced Materials Inc. | 418,579 | 5,680 | |
| Martin Marietta Materials Inc. | 23,400 | 5,373 | |
| * | Coeur Mining Inc. | 456,789 | 5,322 |
| Huntsman Corp. | 246,678 | 5,030 | |
| Worthington Industries Inc. | 104,565 | 4,997 | |
| Stepan Co. | 56,653 | 4,425 | |
| Sealed Air Corp. | 74,091 | 3,593 | |
| ^ | Valvoline Inc. | 122,405 | 2,834 |
| * | Ryerson Holding Corp. | 222,130 | 2,355 |
| * | Louisiana-Pacific Corp. | 61,657 | 1,179 |
| Innophos Holdings Inc. | 22,438 | 1,091 | |
| * | OMNOVA Solutions Inc. | 23,600 | 215 |
| 437,654 | |||
| Other (1.6%) | ||||
| ^,3 Vanguard Small-Cap ETF | 960,503 | 125,759 | ||
| ^,3 Vanguard Small-Cap Growth ETF | 384,700 | 52,596 | ||
| *,4 Dropbox Private Placement | 378,066 | 4,234 | ||
| * | Dyax Corp CVR Expire 12/31/2019 | 134,316 | 149 | |
| 182,738 | ||||
| Real Estate (2.0%) | ||||
| LaSalle Hotel Properties | 1,417,400 | 42,763 | ||
| Douglas Emmett Inc. | 917,616 | 34,723 | ||
| Outfront Media Inc. | 1,179,970 | 32,367 | ||
| PS Business Parks Inc. | 197,644 | 22,144 | ||
| National Storage Affiliates Trust | 742,060 | 16,511 | ||
| QTS Realty Trust Inc. Class A | 272,246 | 13,718 | ||
| STAG Industrial Inc. | 440,600 | 10,195 | ||
| Ryman Hospitality Properties Inc. | 137,079 | 8,387 | ||
| Omega Healthcare Investors Inc. | 236,027 | 7,569 | ||
| Medical Properties Trust Inc. | 581,672 | 7,416 | ||
| Gaming and Leisure Properties Inc. | 219,020 | 6,928 | ||
| Sabra Health Care REIT Inc. | 263,531 | 6,694 | ||
| Care Capital Properties Inc. | 260,666 | 6,441 | ||
| Washington Prime Group Inc. | 635,515 | 6,133 | ||
| DuPont Fabros Technology Inc. | 110,682 | 5,255 | ||
| Senior Housing Properties Trust | 268,785 | 5,120 | ||
| * | Forestar Group Inc. | 119,176 | 1,555 | |
| Hersha Hospitality Trust Class A | 53,952 | 1,079 | ||
| Potlatch Corp. | 20,300 | 836 | ||
| 235,834 | ||||
| Telecommunication Services (0.9%) | ||||
| * | Vonage Holdings Corp. | 8,121,371 | 57,581 | |
| * | SBA Communications Corp. Class A | 210,700 | 22,178 | |
| Cogent Communications Holdings Inc. | 260,007 | 10,868 | ||
| * | Cincinnati Bell Inc. | 88,800 | 2,038 | |
| Windstream Holdings Inc. | 234,077 | 1,891 | ||
| * | General Communication Inc. Class A | 87,063 | 1,752 | |
| * | Zayo Group Holdings Inc. | 31,532 | 1,008 | |
| * | Boingo Wireless Inc. | 73,431 | 859 | |
| IDT Corp. Class B | 23,187 | 445 | ||
| Consolidated Communications Holdings Inc. | 10,195 | 268 | ||
| Inteliquent Inc. | 1,000 | 23 | ||
| 98,911 | ||||
| Utilities (0.2%) | ||||
| ^ | 8Point3 Energy Partners LP Class A | 1,728,749 | 23,407 | |
| Southwest Gas Holdings Inc. | 42,922 | 3,458 | ||
| ^ | Spark Energy Inc. Class A | 71,010 | 1,836 | |
| 28,701 | ||||
| Total Common Stocks (Cost $9,183,938) | 11,328,347 | |||
| Coupon | ||||
| Temporary Cash Investments (4.8%)1 | ||||
| Money Market Fund (4.3%) | ||||
| 5,6 Vanguard Market Liquidity Fund | 0.856% | 4,995,037 | 499,554 | |
| Face | Market | ||||
| Maturity | Amount | Value | |||
| Coupon | Date | ($000) | ($000) | ||
| Repurchase Agreement (0.4%) | |||||
| Deutsche Bank Securities, Inc. | |||||
| (Dated 1/31/17, Repurchase Value | |||||
| $51,601,000, collateralized by Government | |||||
| National Mortgage Assn. 2.500%-4.000%, | |||||
| 6/20/27-11/15/46, with a value of | |||||
| $52,632,000) | 0.540% | 2/1/17 | 51,600 | 51,600 | |
| U.S. Government and Agency Obligations (0.1%) | |||||
| 7 | United States Treasury Bill | 0.381%-0.486% | 3/9/17 | 400 | 400 |
| 7 | United States Treasury Bill | 0.574% | 5/11/17 | 3,000 | 2,996 |
| 7 | United States Treasury Bill | 0.587% | 5/18/17 | 2,700 | 2,696 |
| 7 | United States Treasury Bill | 0.577%-0.597% | 5/25/17 | 5,700 | 5,690 |
| 11,782 | |||||
| Total Temporary Cash Investments (Cost $562,918) | 562,936 | ||||
| Total Investments (102.0%) (Cost $9,746,856) | 11,891,283 | ||||
| Other Assets and Liabilities-Net (-2.0%)6 | (230,347) | ||||
| Net Assets (100%) | 11,660,936 | ||||
^ Includes partial security positions on loan to broker-dealers. The total value of securities on loan is $178,531,000.
* Non-income-producing security.
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 3.5%, 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 Restricted security represents 0.0% of net assets.
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 $182,845,000 of collateral received for securities on loan.
7 Securities with a value of $9,396,000 have been segregated as initial margin for open futures contracts.
ADR—American Depositary Receipt.
CVR—Contingent Value Rights.
REIT—Real Estate Investment Trust.
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 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).
The following table summarizes the market value of the fund's investments as of January 31, 2017, based on the inputs used to value them:
| Level 1 | Level 2 | Level 3 | |
| Investments | ($000) | ($000) | ($000) |
| Common Stocks | 11,212,961 | 111,003 | 4,383 |
| Temporary Cash Investments | 499,554 | 63,382 | — |
| Futures Contracts—Assets1 | 1,376 | — | — |
| Total | 11,713,891 | 174,385 | 4,383 |
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.
Futures contracts are valued at their quoted daily settlement prices. The aggregate settlement values of the contracts are not recorded in the Schedule of Investments. Fluctuations in the value of the contracts are recorded as an asset (liability).
At January 31, 2017, the aggregate settlement value of open futures contracts and the related unrealized appreciation (depreciation) were:
| ($000) | ||||
| Aggregate | ||||
| Number of | Settlement | Unrealized | ||
| Long (Short) | Value Long | Appreciation | ||
| Futures Contracts | Expiration | Contracts | (Short) | (Depreciation) |
| E-mini Russell 2000 Index | March 2017 | 2,279 | 154,915 | (2,013) |
Unrealized appreciation (depreciation) on open futures contracts is required to be treated as realized gain (loss) for tax purposes.
F. At January 31, 2017, the cost of investment securities for tax purposes was $9,746,856,000. Net unrealized appreciation of investment securities for tax purposes was $2,144,427,000, consisting of unrealized gains of $2,502,656,000 on securities that had risen in value since their purchase and $358,229,000 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 | ||||||
| Proceeds | ||||||
| Oct. 31, 2016 | from | Capital Gain | Jan. 31, 2017 | |||
| Market | Purchases | Securities | Distributions | Market | ||
| Value | at Cost | Sold1 | Income | Received | Value | |
| ($000) | ($000) | ($000) | ($000) | ($000) | ($000) | |
| Callidus Software Inc. | NA2 | 11,672 | 7,859 | — | — | 58,632 |
| eHealth Inc. | 7,324 | — | — | — | — | 11,468 |
| H&E Equipment Services Inc. | 27,559 | — | 32,223 | — | — | — |
| Information Services Group Inc. | 8,649 | 147 | 8,178 | — | — | — |
| MarineMax Inc. | 28,588 | 1,467 | 24,880 | — | — | — |
| National CineMedia Inc. | NA2 | 23,268 | 13,572 | — | — | 50,639 |
| Vanguard Market Liquidity Fund | 504,433 | NA3 | NA3 | 687 | — | 499,554 |
| Vanguard Small-Cap ETF | 90,564 | 218,849 | 198,094 | 573 | — | 125,759 |
| Vanguard Small-Cap Growth ETF | 47,964 | — | — | 240 | — | 52,596 |
| Total | 715,081 | 1,500 | — | 798,648 | ||
1 Includes net realized gain (loss) on affiliated investment securities sold of ($9,167,000).
2 Not applicable—at October 31, 2016, the issuer was not an affiliated company of the fund.
3 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 FUNDS | ||
| By: | /s/ F. WILLIAM MCNABB III* | |
| F. WILLIAM MCNABB III | ||
| CHIEF EXECUTIVE OFFICER | ||
| Date: | March 22, 2017 | |
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 FUNDS | ||
| By: | /s/ F. WILLIAM MCNABB III* | |
| F. WILLIAM MCNABB III | ||
| CHIEF EXECUTIVE OFFICER | ||
| Date: | March 22, 2017 | |
|
|
VANGUARD EXPLORER FUNDS | |
| /s/ THOMAS J. HIGGINS* | ||
| THOMAS J. HIGGINS | ||
| CHIEF FINANCIAL OFFICER | ||
| Date: | March 22, 2017 | |
* By:/s/ ANNE E. ROBINSON
Anne E. Robinson, pursuant to a Power of Attorney filed on October 4, 2016, see file Number
33-32548, Incorporated by Reference.
I, F. William McNabb III, certify that:
1. I have reviewed this report on Form N-Q of Vanguard Explorer Fund;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;
4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:
(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and
(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5. The registrant’s other certifying officer(s) and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date: March 22, 2017 |
/s/ F. William McNabb III |
|
|
F. William McNabb III |
|
|
Chief Executive Officer |
0362216, v0.162
I, Thomas J. Higgins, certify that:
1. I have reviewed this report on Form N-Q of Vanguard Explorer Fund;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;
4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:
(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and
(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5. The registrant’s other certifying officer(s) and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date: March 22, 2017 |
/s/ Thomas J Higgins |
|
|
Thomas J. Higgins |
|
|
Chief Financial Officer |
0362216, v0.162