Vanguard Dividend Appreciation ETF

VIG

Market cap $101B

Stock picking is getting increasingly difficult given high valuations in the stock market. Investing in balanced exchange-traded funds can reduce risk for investors in the long run.

Given that your goal is almost always going to be growth, make a point of owning a solid, well-diversified growth holding. Even if you don't need dividend income just yet, know that high-quality dividend payers tend to produce growth-like gains.

The Vanguard S&P 500 ETF should be a core holding for most investors. The Vanguard Mega Cap Growth ETF is a great way to invest in top growth stocks.

If you want to buy and hold dividend ETFs that won't disappoint you over the long run, it's a good idea to look at iShares Select Dividend ETF (NASDAQ:DVY), Amplify CWP Enhanced Dividend Income ETF (NYSEARCA:DIVO), and Vanguard Dividend Appreciation Index Fund ETF (NYSEARCA:VIG).

There are many different exchange-traded fund (ETF) providers in the industry, but Vanguard stands out as one of the best.

Investors can now access 4–7% from top-quality REITs, 3.5%+ from dividend ETFs, and 6%+ from midstream infrastructure — without taking on excessive risk. While the S&P 500 is up ~110% since 2020, 70–80% of returns come from the Mag7, leaving broad-market returns near inflation levels. US inflation sits at 3%, and Western Europe reports 3.5–4%, emphasizing the need for income-producing assets to preserve purchasing power for retirees.

Making its debut on 04/21/2006, smart beta exchange traded fund Vanguard Dividend Appreciation ETF (VIG) provides investors broad exposure to the Style Box - Large Cap Blend category of the market.

The Vanguard Dividend Appreciation ETF charges a lower expense ratio but delivers a much lower yield than iShares Core High Dividend ETF VIG has outperformed HDV over the past year and five years, though with a steeper recent drawdown The two funds differ sharply in sector exposures, with VIG overweight technology and HDV tilted toward defensive and energy stocks

The Vanguard S&P 500 ETF is a great core holding. The Vanguard Growth ETF gives investors exposure to the top growth stocks that have been leading the market higher.

‘Dividend aristocrats' can do more for risk-averse portfolios than supersafe Treasury bonds.