The Vanguard High Dividend Yield ETF (VYM) is more diversified and has higher assets under management than the iShares Core High Dividend ETF (HDV). VYM offers stronger recent total returns, but HDV has a higher dividend yield. Both ETFs have similar risk profiles, but VYM leans more towards financials and technology sectors.

VYM has a lower expense ratio of 0.06% compared to HDV’s 0.08%. HDV pays a higher dividend yield of 3.09% compared to VYM’s 2.49%. VYM’s one-year return is 5.74%, while HDV’s is 2.06%. VYM has assets under management of $81.3 billion, significantly higher than HDV’s $11.7 billion.

VYM contains 566 holdings with a focus on financial services, technology, and industrials. Top holdings include Broadcom, JPMorgan Chase & Co, and Exxon Mobil. HDV holds just 75 stocks, with top positions in Exxon Mobil, Johnson & Johnson, and AbbVie. HDV is more concentrated on traditional dividend leaders.

For income-focused investors, VYM and HDV are both solid options with differing strategies. VYM offers broader diversification and exposure to various sectors, while HDV concentrates on fewer stocks with higher dividends. HDV has a higher dividend yield, but VYM has outperformed in recent returns.

VYM and HDV cater to different investor preferences – VYM provides broad diversification across sectors, while HDV offers a more concentrated approach to high-yielding stocks. HDV has a higher dividend yield but underperformed VYM in recent total returns. Choose based on your priority of dividend yield or diversification.

Read more at Yahoo Finance: Vanguard’s VYM Offers Broader Diversification Than iShares, But HDV Shines With Its Higher Yield