VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You?

Key Points

• Vanguard now manages about $4.7 trillion in ETF assets and briefly overtook BlackRock as the largest U.S. ETF provider.
• Vanguard offers 116 ETFs, including three dividend-focused funds, VIG, VYM, and VYMI, each with distinct yield and growth strategies.
• VYMI, Vanguard's international high-dividend fund, currently offers the highest yield at 3.42% and has posted the strongest year-to-date gain of nearly 17%.

Vanguard has cemented itself as one of the biggest names in exchange-traded funds (ETFs). The investment advisory firm and global asset manager briefly surpassed BlackRock NYSE: BLK as the largest U.S. ETF provider by assets.

In fact, the firm now manages around $4.7 trillion in assets just in its ETFs, with the Vanguard S&P 500 ETF NYSEARCA: VOO becoming the first fund ever to surpass $1 trillion in assets under management (AUM) in June 2026.

The company debuted its first-ever ETF, the Vanguard Total Stock Market ETF NYSEARCA: VTI, in 2001. It has since built on that success, now offering 116 ETFs, including an array of reputable and diverse dividend-focused funds for income investors.

VIG: Dividend Appreciation

By tracking the S&P U.S. Dividend Growers Index, the Vanguard Dividend Appreciation ETF NYSEARCA: VIG targets high-quality companies with proven track records of increasing their dividend payments over time rather than chasing the highest yields.

The fund holds all the index's stocks in approximately the same proportions as their index weightings.

With more than $112 billion in AUM and an expense ratio of just 0.04%, the VIG currently yields 1.47%, or $3.58 per share annually.

The VIG focuses on U.S.-based Dividend Achievers and Dividend Contenders—companies that have at least 10 consecutive years of increasing annual regular dividend payments—while excluding the top 25% highest-yielding stocks to avoid risk.

Shareholders get exposure to traditional dividend stocks like Johnson & Johnson NYSE: JNJ alongside high-growth tech stocks like Broadcom NASDAQ: AVGO, the fund’s largest current allocation, with a weighting of 4.52%.

Because of that strategy, the VIG is also capable of providing strong share appreciation. The fund has gained around 11% year to date (YTD).

VYM: High Yield From U.S. Companies

The Vanguard High Dividend Yield ETF NYSEARCA: VYM is an exchange-traded fund designed to track the performance of the FTSE High Dividend Yield Index.

The fund provides exposure to U.S. companies that are forecast to pay above-average dividends, offering investors a diversified way to access income-generating equities.

With about $83 billion in AUM, the fund carries an expense ratio of 0.04%.

The VYM primarily focuses on large-cap stocks across a range of sectors.

Financials is currently the ETF’s largest sector exposure at 21.8%, followed by tech at 17% and healthcare at 13.1%.

Top holdings include JPMorgan Chase NYSE: JPM, Broadcom, and Johnson & Johnson.

What sets VYM apart from VIG is its dividend.

The fund currently yields 2.2%, or $3.63 per share annually. That high yield, combined with targeted value stock exposure has made the ETF extremely popular among institutional investors. with more than $24 billion in inflows over the past 12 months against just over $3 billion in outflows.

In addition to its notable yield, the VYM has outperformed the S&P 500 with a YTD gain of about 15%.

VYMI: High Yield With a Global Twist

Like the VYM, the Vanguard International High Dividend Yield ETF NYSEARCA: VYMI targets high yield but through a global lens.

The fund has apprximately $21.3 billion in AUM, an expense ratio of 0.07%—the highest of the three ETFs on this list—and mostly invests in high-yield international equity.

The VYMI tracks a market-cap-weighted index of developed and emerging market firms (ex-U.S.) that are forecast to pay above-average dividends over the next 12 months.

Now in its 10th year, the ETF’s portfolio includes names like London-based HSBC Holdings NYSE: HSBC, Swiss multinational pharmaceutical company Novartis NYSE: NVS, and the Royal Bank of Canada TSE: RY.

However, the largest geographic exposure is from Japan, which accounts for nearly 12% of the VYMI’s holdings.

The fund is of particular interest to investors looking for substantial and immediate income.

VYMI currently yields 3.42%—the highest of all three Vanguard ETFs profiled herein—or $3.60 per share annually.

As international equities continue to outperform their U.S. counterparts, so far in 2026, the VYMI has outperformed the three other ETFs on this list, posting a YTD gain of nearly 17%.

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