Part 2/10:
Vanguard operates under a unique, client-owned structure that sets it apart from competitors like Fidelity and Schwab. Vanguard Group Inc. is owned by its member funds, which are in turn owned by the shareholders of those funds. Thus, if you hold a Vanguard fund, you possess a fractional ownership of Vanguard itself. However, this setup means that Vanguard remains a privately held entity; its shares are not traded on public exchanges, a factor contributing to limited financial transparency. Unlike other brokerages, Vanguard does not have an obligation to disclose detailed financial information, keeping its operations somewhat shielded from outside scrutiny.