February 15, 1995
Securities and Exchange Commission
450 5th Street, N.W.
Washington, D.C. 20549
Re: Vanguard Bond Index Fund, Inc. (formerly
known as Vanguard Bond Market Fund, Inc.)
File No. 33-6001
Gentlemen:
Pursuant to Rule 24f-2 under the Investment Company Act of 1940, Vanguard
Bond Index Fund, Inc. (the "Fund") hereby files its Rule 24f-2 Notice for
the fiscal year ended December 31, 1994. A wire transfer in the amount of
$141,552.60 in payment of the registration fee due for the Fund's Rule
24f-2 filing has been sent to the lockbox at Mellon Bank in Pittsburgh for
deposit to the Securities and Exchange Commission's account number 910-
8739.
1. At the beginning of the fiscal year, the Fund had the following
securities registered under the Securities Act of 1933 (the "1933 Act")
other than pursuant to Rule 24f-2, but which remained unsold:
Aggregate Offering
Price of Shares on
which Registration
Name of Securities Number of Shares Fee was Paid
Shares of Common Stock
($.001 Par Value)
Total Bond Market Portfolio None None
Short-Term Bond Portfolio None None
Intermediate-Term
Bond Portfolio None None
Long-Term Bond Portfolio None None
2. During the fiscal year the Fund registered the following securities
under the 1933 Act other than pursuant to Rule 24f-2:
Aggregate Offering
Price of Shares on
which Registration
Name of Securities Number of Shares Fee was Paid
Shares of Common Stock
($.001 Par Value)
Total Bond Market Portfolio None None
Short-Term Bond Portfolio None None
Intermediate-Term
Bond Portfolio None None
Long-Term Bond Portfolio None None
3. The number and the aggregate sales price of shares of the Fund sold
during the fiscal year was as follows:
Name of Securities Number of Shares Aggregate Sales Price
Shares of Common Stock
($.001 Par Value)
Total Bond Market Portfolio 84,133,559 $801,705,280
Short-Term Bond Portfolio 8,976,351 88,435,885
Intermediate-Term
Bond Portfolio 8,448,402 81,738,421
Long-Term Bond Portfolio 1,179,495 11,072,263
Total 102,737,807 $982,951,849
4. The number and aggregate sales price of shares of the Fund sold during
the fiscal year in reliance upon registration pursuant to Rule 24f-2 is as
follows (See footnote attached as Exhibit A hereto):
Name of Securities Number of Shares Aggregate Sales Price
Shares of Common Stock
($.001 Par Value
Total Bond Market Portfolio 84,133,559 $801,705,280
Short-Term Bond Portfolio 8,976,351 88,435,885
Intermediate-Term Bond Portfolio 8,448,402 81,738,421
Long-Term Bond Portfolio 1,179,495 11,072,263
Total 102,737,807 $982,951,849
Enclosed is an opinion of counsel (Exhibit B) indicating that the
securities sold in reliance upon Rule 24f-2 were legally issued, fully paid
and non-assessable.
Very truly yours,
VANGUARD BOND INDEX FUND, INC.
BY: (Raymond J. Klapinsky)
Secretary
EXHIBIT "A"
FOOTNOTE TO RULE 24F2 NOTICE OF
VANGUARD BOND INDEX FUND, INC.
The calculation of the registration fee pursuant to subsction (c) of Rule
24f-2 is set forth below. The Fund did not apply any redemptions or
repurchases which took place during the fiscal year to the registration of
any securities pursuant to Section 24(e) of the Investment Company Act.
<TABLE>
<CAPTION>
(a) (b) (c) (d)
Aggregate Sales Aggregate Price of Aggregate Sales Fee Payable
Price of Securities Securities Redeemed Price on which pursuant to
Sold in Reliance or Repurchased fee will be based Section 6(b)
upon Rule 24f-2 During Fiscal Year (a minus b) of 1933 Act
<S> <C> <C> <C> <C>
Vanguard Bond
Index Fund, Inc.
Shares of Common
Stock ($.001 Par
Value)
Total Bond Market Portfolio $801,705,280 $550,589,309 -- --
Short-Term Bond Portfolio 88,435,885 10,951,842 -- --
Intermediate-Term
Bond Portfolio 81,738,421 8,627,700 -- --
Long-Term Bond Portfolio 11,072,263 2,283,355 -- --
Total $982,951,849 $572,452,206 $410,499,643 $141,552.60
</TABLE>
EXHIBIT "B"
February 15, 1995
Vanguard Bond Index Fund, Inc.
1300 Morris Drive, P.O. Box 876
Valley Forge, PA 19482
Gentlemen:
As a member of the Pennsylvania bar acting as Counsel to Vanguard Bond
Index Fund, Inc. (the "Fund"), I have examined the Fund's: (1) Articles of
Incorporation and amendments thereto; (2) minutes of the meetings of
shareholders and Board of Directors; (3) Notification of Registration on
Form N-8A under the Investment Company Act of 1940 ("1940 Act"); (4)
Registration on Form N-1A under the Securities Act of 1933 ("1933 Act") and
1940 Act, and all amendments thereto; and (5) all other relevant documents
and records, as well as the procedures and requirements relative to the
issuance and sale of the Fund's common stock par value $.001 per share.
My examination disclosed the following information:
1. The Fund is legally authorized to issue 1,000,000,000 shares with a
$.001 par value. On December 31, 1994, (the end of the Fund's fiscal
year), the Fund had 188,782,025 shares of common stock from the Total Stock
Market Portfolio, 8,100,217 shares from the Short-Term Bond Portfolio,
7,780,739 shares from the Intermediate-Term Bond Portfolio, and 958,934 from
the Long-Term Bond Portfolio were issued and outstanding. The Board of
Directors has the power to designate one or more Portfolios of shares of
common stock and to classify or reclassify any unissued shares with respect
to such Portfolios.
2. On January 1, 1994, (the beginning of the Fund's last fiscal year),
the Fund had no shares registered under the 1933 Act other than pursuant to
Rule 24f-2 of the 1940 Act, but which remained unsold on that date.
3. During the fiscal year ended December 31, 1994, the Fund did not
register any shares under the 1933 Act other than pursuant to Rule 24f-2.
4. During the fiscal year ended December 31, 1994, the Fund sold a combined
total of 102,737,807 shares from four Portfolios at an aggregate sales price
of $982,951,849 in reliance upon registration pursuant to Rule 24f-2 of the
1940 Act. During the same fiscal year, the Fund redeemed a combined total of
60,205,314 shares from such Portfolio at an aggregate redemption price of
$572,452,206.
You have instructed me to file, on behalf of the Fund, a Notice pursuant to
Rule 24f-2 of the 1940 Act, for the purpose of registering, under the 1933
Act, the combined total of 102,737,807 shares which were sold by the Fund
during the fiscal year in reliance upon Rule 24f-2 of the 1940 Act.
Based upon the foregoing information and my examination, it is my opinion
that:
1. The Fund is a validly organized and subsisting corporation of the
State of Maryland authorized to issue 1,000,000,000 shares, with a $.001
par value. The Board of Directors has the power to designate one or more
Portfolio of shares of common stock and to classify and reclassify any
unissued shares with respect to such Portoflios.
2. The proposed registration of 102,737,807 shares of the Fund's four
Portfolios in existence on December 31, 1994 in reliance upon Rule 24f-2 of
the 1940 Act is proper;
3. Such shares, which were issued for a consideration deemed by the Board
of Directors to be consistent with the Articles of Incorporation, are
legally authorized and issued, fully paid and non-assessable; and
4. The holders of such shares have the rights provided with respect to
such holdings by the Articles of Incorporation and the laws of the State of
Maryland.
I hereby consent to the use of this opinion as an Exhibit to the Rule 24f-2
Notice to be filed on behalf of the Fund, covering the registration of such
shares under the 1933 Act, and to the applications and registration
statements, and amendments thereto, filed in accordance with the securities
laws of the states in which shares of the Fund are offered. I further
consent to the reference in the Prospectus of the Fund to the fact that
this opinion concerning the legality of the issue has been rendered by me.
Very truly yours,
By: (Raymond J. Klapinsky)
