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VANGUARD EXPLORER(TM) FUND
SUPPLEMENT TO THE PROSPECTUS DATED MAY 30, 2000
Effective August 1, 2000, the Fund's benchmark will change from the Small
Company Growth Fund Stock Index to the Russell 2000 Growth Index. The new
benchmark will assist investors in evaluating the Fund's performance, and will
be used to calculate performance fees paid to four of the Fund's five
advisers--Granahan Investment Management, Inc., Wellington Management Company,
LLP, Chartwell Investment Partners, and Grantham, Mayo, Van Otterloo & Co. LLC
(Vanguard Quantitative Equity Group provides its services on an at-cost basis).
While the Small Company Growth Fund Stock Index has been a suitable
benchmark for the Fund, the Russell 2000 Growth Index is a more widely
recognized measure of the performance of small-cap growth stocks. Because the
two indexes' characteristics are broadly similar, however, the change will have
little effect on the Fund's investments, strategies, or risk level, and no
effect on its policies.
(C)2000 The Vanguard Group, Inc. All rights reserved. PS24N 082000
Vanguard Marketing Corporation, Distributor.
