HDV vs VYM: Dividend Yield, Growth & Safety Comparison
iShares Core High Dividend ETF (HDV) and Vanguard High Dividend Yield ETF (VYM) are both in the ETF sector, making them natural rivals for dividend investors. HDV edges ahead on yield at 2.96% versus VYM's 2.33%. Both stocks show similar dividend growth rates, each around 2.8% over the past five years. VYM is a Dividend Contender with 15 years of consecutive increases.
Key Metrics Comparison
| Metric | HDV | VYM |
|---|
| Dividend Yield | 2.96% | 2.33% |
| Annual Dividend | $3.91 | $3.50 |
| 5-Year CAGR | 2.8% | 3.1% |
| Payout Ratio | N/A | N/A |
| Consecutive Years | 0 | 15 |
| Price | $138.92 | $155.43 |
Yield Comparison
iShares Core High Dividend ETF (HDV) currently yields 2.96%, which is solid for the broader market. That's 0.63% more than Vanguard High Dividend Yield ETF (VYM), which yields 2.33%. In dollar terms, HDV pays $3.91/share annually versus VYM's $3.50/share.
Dividend Growth
Over the past five years, VYM has grown its dividend at a 3.1% CAGR compared to HDV's 2.8%. HDV: Dividend growth is slowing — the 3-year CAGR of 0.2% trails the 5-year rate of 2.8% and the 10-year rate of 4.2%. VYM: Dividend growth is slowing — the 3-year CAGR of 0.3% trails the 5-year rate of 3.1% and the 10-year rate of 5.3%.
Dividend Safety
HDV's dividend safety is rated "Unknown." Insufficient data to assess dividend safety. VYM's dividend safety is rated "Unknown." Insufficient data to assess dividend safety.
Income Comparison
A $10,000 investment in HDV generates approximately $296/year in dividend income, compared to $233/year from VYM — a difference of $63/year. At $100,000, that gap widens to $630/year.
Verdict
Frequently Asked Questions
Which has a higher dividend yield, HDV or VYM?
iShares Core High Dividend ETF (HDV) has a higher dividend yield of 2.96% compared to Vanguard High Dividend Yield ETF (VYM) at 2.33%.
Is HDV or VYM a better dividend growth stock?
Vanguard High Dividend Yield ETF has the stronger dividend growth with a 5-year CAGR of 3.1%, compared to iShares Core High Dividend ETF's 2.8%.
How much income does $10,000 in HDV vs VYM generate?
A $10,000 investment in HDV generates approximately $296/year in dividends, while the same amount in VYM generates about $233/year.
Is HDV or VYM a Dividend Aristocrat?
Vanguard High Dividend Yield ETF is a Dividend Contender with 15 consecutive years of increases. iShares Core High Dividend ETF does not currently qualify for aristocrat status.
HDV vs VYM: which is better for retirement income?
It depends on your priorities. HDV for current income. Many retirement investors hold both for diversification.
HDV Dividend Analysis | VYM Dividend Analysis | All Comparisons | Comparison Tool