VYM News & Analysis

VYM Outperforms S&P 500 With 17% YTD Return Through August 19

The Vanguard High Dividend Yield ETF (VYM) has achieved a 17% year-to-date return as of August 19, surpassing the S&P 500's 13% return. This performance is attributed to VYM's focus on mature dividend-paying companies, resulting in a forward P/E ratio of approximately 16, compared to the S&P 500's 23. Over the past five years, VYM's return stands at 79%, while the S&P 500 has yielded 73%. This ETF's valuation strategy indicates a significant distinction in market behavior, with implications for investors considering dividend-focused strategies in a growth-driven market.