vanguard non-dollar funds?

No. According to Lipper, there are only 9 international noload bond funds. (International as opposed to "world" or "global", because the latter would invest in US [dollar] as well as foreign bonds.) Fewer once you rule out institutional funds.

Even fewer if you want funds that don't hedge the currency (funds that hedge currency won't rise as much when the dollar falls, and won't fall as much when the dollar rises).

That leaves you with: Am Cent (BEGBX), Merk Hard Currency (MERKX), PIMCO (PFBDX), Prudent Global (PSAFX), T. Rowe Price (RPIBX), Target (TIBPX). I believe that all of them invest primarily in sovereigns (gov debt), but you'll have to check.

You might consider currency shares an alternative, but these invest in single currencies, not a basket of various ones. If you want a basket of currencies, you could check out Everbank - it has a wide variety of offerings including baskets of currencies. But IMHO you are trading some yield for the greater variety of offerings.

Mark Freeland snipped-for-privacy@sbcglobal.net

You may want to consider going to a major brokerage firm and purchasing short-term foreign government bonds denominated in whatever currency/currencies you want to invest in. They will be able to handle the FX side of the transaction as well. You should consider bonds with maturites of 3 months to 1 year. By doing so, you take on the currency risk (which you want) and minimize all other risks (interst rate, liquidity, etc.) to the greatest extent possible. The advantage of bonds over a bank CD is liquidity. When it is time to get out, you can without penalty. While there are transaction costs and there is a tendancy for some unscrupulous brokers to build in substantial fees for themselves, as government bonds, the prices of these securities are readily available on the Web (as is the FX rate). Don't be afraid to negotiate, or ask to be charged a commission (like a stock trade). The good thing about foreign currency investing is there is usually some positive story out there as compared to the US dollar. Shifting from one currency to another to take advantage of this is relatively simple once you get started.

Finally, you can always just open an online FX account (DB comes to mind). But, this usually involves leverage which can wipe out your investment very quickly if you aren't monitoring it actively.