Vanguard California Tax-Exempt Bond ETF (VTEC)

The Vanguard California Tax-Exempt Bond ETF is a fixed income fund from Vanguard that invests primarily in investment-grade municipal bonds issued by the State of California, its cities, counties and public agencies.

Interest from these bonds is generally exempt from federal income tax and California state income tax for residents of the state, which is the central purpose of the fund. The portfolio spans a range of issuers such as general obligation borrowers, school districts, utilities and transportation authorities, and it is managed by Vanguard's fixed income group with a focus on credit quality and interest rate sensitivity.

The fund offers diversified access to California municipal debt in an exchange-traded format, with Vanguard serving as sponsor and adviser.