Vanguard's Sauter set to retire

The Vanguard Group Inc. announced Friday that chief investment officer Gus Sauter, 57, is set to retire at the end of the year. Mortimer J. “Tim” Buckley, managing director of Vanguard's retail-investor group, will succeed him. “Under Gus' leadership, Vanguard has emerged as a world-class investment management firm with an unparalleled record of accomplishment,” Bill McNabb, chief executive, said in a statement. Mr. Sauter joined Vanguard in 1987 as head of the firm's internal equity management group. He was integral in the development of Vanguard's index fund business, and the creation and development of Vanguard's exchange-traded funds. Both moves have been key drivers in Vanguard's rise to the top of the asset management world. Through the first four months of the year, one out of every three dollars invested went to the firm, according to Morningstar Inc. Mr. Buckley, 43, joined Vanguard in 2001 and took over as head of the retail-sales group in 2006. “Tim Buckley has a strong commitment to the Vanguard way of investing, a keen intellect and a passion for serving Vanguard clients,” Mr. McNabb said. The change at the top of Vanguard isn't expected to lead to any changes for investors. “Our focus will continue to be on low-cost, broad-based and enduring investments,” Mr. Buckley said.