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                              THE VANGUARD GROUP(R)

                     VANGUARD(R) CONVERTIBLE SECURITIES FUND
                          SUPPLEMENT TO THE PROSPECTUS


FUND OPEN TO NEW ACCOUNTS
NO LIMITS ON ADDITIONAL INVESTMENTS
MINIMUM INITIAL INVESTMENT FOR NEW ACCOUNTS

Effective  as of the close of business on June 23,  2005,  Vanguard  Convertible
Securities  Fund will  reopen  to new  investors  and  discontinue  its  current
limitation  on  additional  investments  by  existing  shareholders.  The Fund's
minimum  initial  investment for all new accounts,  including IRAs and custodial
accounts for minors, will be $10,000.

NEW REDEMPTION FEE
Effective  September 15, 2005,  the Fund will begin  charging a 1% fee on shares
that are redeemed within one year of purchase.  This fee applies when shares are
redeemed by selling,  by exchanging to another  Vanguard fund, or by application
of the  low-balance  account-closure  policy.  Shares held the  longest  will be
redeemed  first.  Unlike  a sales  charge  or  load  paid  to a  broker  or fund
management  company,  the  redemption fee is paid directly to the Fund to offset
the costs of buying and selling  securities.  The fee is designed to ensure that
short-term  investors pay their share of the Fund's  transaction  costs and that
long-term investors do not subsidize the activities of short-term traders.  This
policy only applies to shares purchased on or after September 15, 2005.

Vanguard  Convertible  Securities  Fund may modify  these  policies  at any time
without  giving advance notice to  shareholders.  For more detailed  information
about the Fund's transaction policies,  investors in nonretirement  accounts and
IRAs  may call  Vanguard's  Investor  Information  Department  at  800-662-7447.
Participants  in  employer-sponsored   retirement  accounts  may  call  Vanguard
Participant Services at 800-523-1188.


(C)2005 The Vanguard Group, Inc.  All rights reserved.
Vanguard Marketing Corporation, Distributor.                        PS82A 062005