What's the main difference between VYM and HDV?

VYM is a high-dividend etf from Vanguard; HDV is a high-dividend etf from iShares. Two large high-dividend ETFs with different index methodologies and sector tilts.

Does VYM or HDV pay more dividends?

It depends on current figures, which change — use the calculators linked below with each fund's live yield rather than a fixed number. As a rule, higher-yield funds pay more today, while dividend-growth funds start lower and raise the payout over time.

Which is better, VYM or HDV?

Neither is universally better — they suit different goals. VYM fits an investor who wants a higher current yield from a diversified large-cap base; HDV fits one who wants a higher current yield from a diversified large-cap base. Match the fund to your objective, time horizon, and tax situation, and consider a licensed advisor.

Can I hold both VYM and HDV?

Many investors do, to blend current income with growth. Just be aware of overlap — if both hold similar large-cap US stocks, you may be less diversified than the two tickers suggest.

VYM vs HDV

Two large high-dividend ETFs with different index methodologies and sector tilts. Here’s how VYM and HDV compare for dividend investors — with a calculator for each so you can model the income yourself.

VYM

Vanguard High Dividend Yield ETF

Type: High-dividend ETF
Issuer: Vanguard
Pays: quarterly

VYM tracks the FTSE High Dividend Yield Index, weighting toward established U.S. companies that pay above-average dividends. It aims for a higher current yield than the broad market while keeping a diversified, large-cap profile.

VYM dividend calculator

HDV

iShares Core High Dividend ETF

Type: High-dividend ETF
Issuer: iShares
Pays: quarterly

HDV tracks the Morningstar Dividend Yield Focus Index, screening for higher-yielding US companies with quality and financial-health filters. It tilts defensive, with heavy energy, healthcare, and consumer-staples exposure.

HDV dividend calculator

How VYM and HDV differ

VYM — VYM tracks the FTSE High Dividend Yield Index, weighting toward established U.S. companies that pay above-average dividends. It aims for a higher current yield than the broad market while keeping a diversified, large-cap profile.

HDV — HDV tracks the Morningstar Dividend Yield Focus Index, screening for higher-yielding US companies with quality and financial-health filters. It tilts defensive, with heavy energy, healthcare, and consumer-staples exposure.

In practice the choice comes down to your goal. VYM suits an investor who wants a higher current yield from a diversified large-cap base, while HDV suits one who wants a higher current yield from a diversified large-cap base. The two are not mutually exclusive — plenty of portfolios hold a growth-oriented fund and an income-oriented one together. What matters is matching each to its job and not judging a fund on its headline yield alone.

Rather than compare a single snapshot yield (which moves daily), open each calculator and enter current figures: the VYM calculator and the HDV calculator. To compare long-term compounding head to head, run the same contributions through the dividend reinvestment calculator with each fund’s assumptions.

Educational comparison only — not a recommendation to buy or sell either fund. Yields and strategies change; verify current figures and consider a licensed advisor.

VYM vs HDV FAQ

What's the main difference between VYM and HDV?: VYM is a high-dividend etf from Vanguard; HDV is a high-dividend etf from iShares. Two large high-dividend ETFs with different index methodologies and sector tilts.
Does VYM or HDV pay more dividends?: It depends on current figures, which change — use the calculators linked below with each fund's live yield rather than a fixed number. As a rule, higher-yield funds pay more today, while dividend-growth funds start lower and raise the payout over time.
Which is better, VYM or HDV?: Neither is universally better — they suit different goals. VYM fits an investor who wants a higher current yield from a diversified large-cap base; HDV fits one who wants a higher current yield from a diversified large-cap base. Match the fund to your objective, time horizon, and tax situation, and consider a licensed advisor.
Can I hold both VYM and HDV?: Many investors do, to blend current income with growth. Just be aware of overlap — if both hold similar large-cap US stocks, you may be less diversified than the two tickers suggest.

See all dividend ETF comparisons →