VOOG vs. VYM: Which Vanguard ETF Is the Better Choice?
This Vanguard dividend ETF has a recent track record as a safe defensive move during a tech stock bear market.
VOOG vs. VYM: Which Vanguard ETF Is the Better Choice?
Overview
One big debate many investors might be wrestling with right now is whether to buy growth stocks or high-yield dividend stocks. Two Vanguard exchange-traded funds (ETFs) allow you to gain exposure to two very different parts of the U.S. economy.
The Vanguard S&P 500 Growth ETF (NYSEMKT: VOOG) offers a portfolio of 146 U.S. large-cap growth stocks, with a heavy weighting toward the tech sector -- 52.6% of the fund's assets are in tech stocks. It has strongly outperformed the S&P 500 index for the past 10 years.
Details
The Vanguard High Dividend Yield ETF (NYSEMKT: VYM) is more diversified and puts your money to work in companies less involved with the U.S. artificial intelligence (AI) boom. This ETF offers a portfolio of 605 holdings, with a focus on large-cap value stocks. The types of companies it invests in tend to be financially strong, consistently profitable, and pay steady dividends.
Source
Originally published at www.fool.com.
