Vanguard has announced a significant reduction in its average fees, now sitting at just 0.07%, the largest cut in the company's history. This move is seen as a strategy to better compete against rival Fidelity, which has gained traction in the indexing market while Vanguard struggled with poor software and service perceptions. Despite the fee reduction, some users argue that the differences in management fees have a diminishing impact on overall investment returns, and that Vanguard's fund performance remains competitive. There is also discussion about the potential drawbacks of index fund investing, including market correlation risks associated with widespread asset ownership.