Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY) is an attractive option for investors seeking reliable income and stability through high-dividend Canadian stocks. With a dividend yield of approximately 3.73%, VDY has delivered impressive returns of 25.82% over the past year and 89.05% over five years, making it a solid choice for those looking to build wealth over time. Its strong performance, tax efficiency, and consistent payouts continue to earn it a top rating among Canadian dividend ETFs, appealing especially to beginners in the market.
Pros:
- High dividend yield
- Strong historical returns
Cons:
- Concentration in Canadian stocks
- Market risk exposure
The Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY.TO) may be suitable for income-focused investors and those looking for exposure to high-quality Canadian equities with a strong track record of performance. Its combination of a competitive dividend yield and substantial long-term return potential makes it a viable option for both novice and experienced investors seeking to enhance their portfolio's income and growth.