This is the news media trying to be sensationalist. Vanguard is mutualized... Ultimately this means ETFs and mutual funds assets are part of the same pool. You

This is the news media trying to be sensationalist. Vanguard is mutualized... Ultimately this means ETFs and mutual funds assets are part of the same pool. You can argue that they would be violating their fiduciary duty if they didn't do something like this, which is completely legal and above board, and saves their investors billions every year.