Vanguard Dividend Appreciation ETF (VIG)

Vanguard Dividend Appreciation ETF — analysis

Holding $9.1B in AUM at a 8 bps expense ratio, VIG sits in the dividend growth bucket on the ValueMarkers ETF coverage list. The fund tracks Index Benchmark and dates back to 2012.

Inside the ETF, the underlying companies' fundamentals stack to a VMCI-Composite of 65/100 on VIG. The composite is built from the top-10 holdings, weighted by index allocation. The read is above-average composite quality, which is the right anchor when comparing VIG to peer funds in the dividend growth category.

On a five-year compound basis, VIG returned 14.5% per year. Against the 15.0% benchmark print, that's a -0.5-pp below-index annualized result, before tax.

VIG pays a trailing-twelve-month dividend yield of 2.00%. Distribution growth has compounded at 0.5% per year over the past five years, which sets the carry profile for income-oriented allocators inside the dividend growth category.

Inside VIG: top-10 weight 31%, top position AAPL at 3.81%, top sector Technology at 31%. The concentration profile shapes how much of the fund's return is driven by a small set of names.

VIG's comparable set: VYM, SCHD, NOBL. Each is a dividend growth ETF; the relative-value question is whether the 8 bps expense ratio, the 14.5% 5y CAGR, and the 2.00% yield clear the bar against the peer trio.