N-Q 1 quantitative93.htm VANGUARD QUANTITATIVE FUNDS 93

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: 811-4526

Name of Registrant: VANGUARD QUANTITATIVE FUNDS

Address of Registrant: P.O. Box 2600
Valley Forge, PA 19482

Name and address of agent for service: Heidi Stam, Esquire
P.O. Box 876
Valley Forge, PA 19482

Registrant’s telephone number, including area code: (610) 669-1000


Date of fiscal year end: September 30

Date of reporting period: June 30, 2005

Item 1: Schedule of Investments


Vanguard Growth & Income Fund
Schedule of Investments
June 30, 2005

Shares Market
Value
($000)

COMMON STOCKS (98.6%)

Auto & Transportation (3.1%)    
Harley-Davidson, Inc. 963,300  $47,780 
PACCAR, Inc. 651,500  44,302 
CSX Corp. 988,700  42,178 
Burlington Northern Santa Fe Corp. 854,000  40,206 
Norfolk Southern Corp. 959,300  29,700 
* The Goodyear Tire & Rubber Co. 1,362,700  20,304 

     224,470 

Consumer Discretionary (17.5%)
Home Depot, Inc. 3,965,300  154,250 
The Walt Disney Co. 5,009,000  126,127 
Kimberly-Clark Corp. 1,879,100  117,613 
Cendant Corp. 5,118,100  114,492 
Black & Decker Corp. 1,237,400  111,180 
Wal-Mart Stores, Inc. 2,136,500  102,979 
NIKE, Inc. Class B 1,002,000  86,773 
Staples, Inc. 3,152,500  67,211 
* Time Warner, Inc. 3,579,900  59,820 
Viacom Inc. Class B 1,694,900  54,271 
Marriott International, Inc. Class A 773,400  52,761 
Darden Restaurants Inc. 1,533,100  50,562 
Waste Management, Inc. 1,777,000  50,360 
Sabre Holdings Corp. 1,360,400  27,140 
Costco Wholesale Corp. 584,500  26,197 
R.R. Donnelley & Sons Co. 728,100  25,127 
The Stanley Works 300,100  13,667 
McDonald's Corp. 474,400  13,165 
Mattel, Inc. 227,800  4,169 

     1,257,864 

Consumer Staples (5.0%)
General Mills, Inc. 2,501,100  117,027 
The Procter & Gamble Co. 1,844,700  97,308 
The Coca-Cola Co. 1,245,000  51,979 
Sara Lee Corp. 2,126,100  42,118 
Brown-Forman Corp. Class B 355,700  21,506 
The Pepsi Bottling Group, Inc. 741,500  21,214 
Altria Group, Inc. 162,506  10,508 

     361,660 

Financial Services (20.3%)
Bank of America Corp. 5,156,260  235,177 
SunTrust Banks, Inc. 1,800,100  130,039 
Wachovia Corp. 2,532,550  125,615 
Wells Fargo & Co. 1,928,100  118,732 
Countrywide Financial Corp. 2,682,000  103,552 
Washington Mutual, Inc. 2,458,500  100,036 
MetLife, Inc. 1,829,200  82,204 
American International Group, Inc. 1,249,458  72,594 
Citigroup, Inc. 1,463,900  67,676 
The Goldman Sachs Group, Inc. 579,300  59,100 
CIGNA Corp. 483,300  51,728 
Prudential Financial, Inc. 736,800  48,378 
Lehman Brothers Holdings, Inc. 483,400  47,992 
MBNA Corp. 1,655,700  43,313 
* Providian Financial Corp. 2,117,900  37,339 
Cincinnati Financial Corp. 754,308  29,840 
Fannie Mae 256,100  14,956 
XL Capital Ltd. Class A 189,200  14,080 
* Fiserv, Inc. 298,200  12,808 
Capital One Financial Corp. 155,900  12,474 
American Express Co. 198,000  10,540 
SLM Corp. 198,800  10,099 
MBIA, Inc. 141,400  8,386 
The Chubb Corp. 76,900  6,583 
Paychex, Inc. 197,300  6,420 
National City Corp. 183,800  6,271 
Allstate Corp. 48,000  2,868 
CIT Group Inc. 34,800  1,495 
H & R Block, Inc. 25,600  1,494 

     1,461,789 

Health Care (13.7%)
Johnson & Johnson 3,312,100  215,287 
* Gilead Sciences, Inc. 2,901,800  127,650 
* Forest Laboratories, Inc. 2,888,700  112,226 
Merck & Co., Inc. 3,331,900  102,623 
* Zimmer Holdings, Inc. 1,293,600  98,534 
Allergan, Inc. 833,100  71,013 
Becton, Dickinson & Co. 1,254,100  65,803 
Aetna Inc. 690,500  57,187 
Pfizer Inc. 1,319,527  36,393 
* Amgen, Inc. 583,400  35,272 
Quest Diagnostics, Inc. 500,100  26,640 
AmerisourceBergen Corp. 279,600  19,334 
HCA Inc. 196,100  11,113 
* Humana Inc. 195,800  7,781 
Health Management Associates Class A 59,900  1,568 

     988,424 

Integrated Oils (8.9%)
ExxonMobil Corp. 6,240,436  358,638 
Chevron Corp. 2,775,500  155,206 
ConocoPhillips Co. 2,269,600  130,479 

     644,323 

Other Energy (0.9%)
Anadarko Petroleum Corp. 535,800  44,016 
* Nabors Industries, Inc. 221,400  13,421 
Burlington Resources, Inc. 118,000  6,518 

     63,955 

Materials & Processing (3.8%)
Dow Chemical Co. 2,309,000  102,820 
Phelps Dodge Corp. 804,200  74,389 
Nucor Corp. 1,062,400  48,467 
Rohm & Haas Co. 765,200  35,459 
Archer-Daniels-Midland Co. 376,400  8,047 
Louisiana-Pacific Corp. 145,000  3,564 

     272,746 

Producer Durables (4.4%)
Northrop Grumman Corp. 2,280,000  125,970 
KB Home 1,179,500  89,913 
Lockheed Martin Corp. 768,200  49,833 
KLA-Tencor Corp. 700,200  30,599 
Deere & Co. 161,900  10,603 
Danaher Corp. 177,500  9,290 

     316,208 

Technology (14.3%)
Intel Corp. 8,593,900  223,957 
Microsoft Corp. 5,881,326  146,092 
* Apple Computer, Inc. 3,600,000  132,516 
* EMC Corp. 9,246,400  126,768 
General Dynamics Corp. 1,073,400  117,580 
International Business Machines Corp. 1,096,200  81,338 
Motorola, Inc. 3,104,031  56,680 
* NCR Corp. 1,253,200  44,012 
National Semiconductor Corp. 1,558,400  34,332 
* Jabil Circuit, Inc. 855,100  26,277 
Texas Instruments, Inc. 773,800  21,721 
* Oracle Corp. 1,386,600  18,303 
* Lucent Technologies, Inc. Warrants Exp. 12/10/07 27,451  21 

     1,029,597 

Utilities (4.4%)
Edison International 2,566,100  104,055 
SBC Communications Inc. 3,686,500  87,554 
ALLTEL Corp. 654,700  40,775 
KeySpan Corp. 878,000  35,735 
Exelon Corp. 506,600  26,004 
Citizens Communications Co. 1,058,400  14,225 
PG&E Corp. 166,000  6,232 

     314,580 

Other (2.3%)
General Electric Co. 4,720,000  163,548 


TOTAL COMMON STOCKS
(Cost $6,049,463)    7,099,164 

TEMPORARY CASH INVESTMENTS (1.3%)

Money Market Fund (1.2%)
Vanguard Market Liquidity Fund, 3.139%** 92,412,125  92,412 

  Face    
  Amount    
  (000)   

U.S. Government Obligation (0.1%)
U.S. Treasury Bill
(1) 2.952%, 9/15/2005 $4,905  4,874 

TOTAL TEMPORARY CASH INVESTMENTS
(Cost $97,286)    97,286 

TOTAL INVESTMENTS (99.9%)
(Cost $6,146,749)    7,196,450 

OTHER ASSETS AND LIABILITIES—NET (0.1%)    6,352 

NET ASSETS (100%)    $7,202,802 

* Non-income-producing security.
** Money market fund available only to Vanguard funds and certain trusts and accounts managed by Vanguard. Rate shown is the 7-day yield.
(1) Securities with a value of $4,874,000 have been segregated as initial margin for open futures contracts.

Investment Securities: Securities are valued as of the close of trading on the New York Stock Exchange (generally 4:00 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 materially affected by events occurring before the fund’s pricing time but after the close of the securities’ primary markets, are valued by methods deemed by the board of trustees to represent fair value. Investments in Vanguard Market Liquidity Fund are valued at that fund’s net asset value. Temporary cash investments acquired over 60 days to maturity 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. Other temporary cash investments are valued at amortized cost, which approximates market value.

At June 30, 2005, the cost of investment securities for tax purposes was $6,146,749,000. Net unrealized appreciation of investment securities for tax purposes was $1,049,701,000, consisting of unrealized gains of $1,145,803,000 on securities that had risen in value since their purchase and $96,102,000 in unrealized losses on securities that had fallen in value since their purchase.

Futures Contracts: 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 99.8% and 0.1%, respectively, of net assets. Futures contracts are valued at their quoted daily settlement prices.

At June 30, 2005, the aggregate settlement value of open futures contracts expiring in September 2005 and the related unrealized appreciation (depreciation) were:


(000)

Futures Contracts Number of
Long Contracts
Aggregate
Settlement
Value
Unrealized
Appreciation
(Depreciation)

S&P 500 Index 305  $91,157  ($1,344)

Unrealized appreciation (depreciation) on open futures contracts is required to be treated as realized gain (loss) for tax 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.

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

VANGUARD QUANTITATIVE FUNDS

BY: (signature)
(HEIDI STAM)
JOHN J. BRENNAN*
CHIEF EXECUTIVE OFFICER

Date: August 16, 2005

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 QUANTITATIVE FUNDS

BY: (signature)
(HEIDI STAM)
JOHN J. BRENNAN*
CHIEF EXECUTIVE OFFICER

Date: August 16, 2005

VANGUARD QUANTITATIVE FUNDS

BY: (signature)
(HEIDI STAM)
THOMAS J. HIGGINS*
TREASURER

Date: August 16, 2005

*By Power of Attorney. Filed on December 20, 2004, see File Number 002-14336. Incorporated by Reference.