Combine all ingredients (excluding vanilla) in large sauce pot.
Heat to medium-high and stir occasionally until rhubarb begins to break down completely.
Remove from heat, stir in vanilla bean paste (or extract), and allow to cool to room temperature. Refrigerate and use as desired.
This recipe has just the right amount of sugar, so that the rhubarb still maintains its distinct tart flavor, without being too overpowering. However, if you find it too tart for your liking, feel free to add a bit more sweetness with sugar, maple syrup, or whatever else your heart desires.