Vanguard High Dividend Yield ETF (VYM) Stock 2026 Review

Dividend yield
2.44%
Distribution
Quarterly
1-Year Return
16.07%
5-Year Return
55.43%

The Vanguard High Dividend Yield ETF (VYM) is an attractive investment for those prioritizing income, featuring a robust dividend yield of 2.44% and a remarkable 5-year return of 55.43%. This diversified fund spans over 500 high-yield stocks, providing investors with exposure to financially healthy companies known for their consistent payouts. With an ultra-low expense ratio of just 0.06%, VYM stands out as a top-rated choice for yield-focused investors.

Pros:

  • Diversified across high-yield stocks
  • Strong historical returns

Cons:

  • Lower yield compared to some competitors
  • Market risk exposure

The Vanguard High Dividend Yield ETF (VYM) may be suitable for income-focused investors seeking exposure to a diversified portfolio of high-yield stocks, particularly those looking for a blend of consistent dividend payouts and capital appreciation. Its low expense ratio and strong historical returns make it a compelling option for those prioritizing dividends within their investment strategy.

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