Designed to provide broad exposure to the Foreign Large Blend ETF category of the market, the Vanguard International Dividend Appreciation ETF (VIGI) is a smart beta exchange traded fund launched on 03/03/2016.
The search for top dividend ETFs is always on, particularly for investors who don't have the time or energy to invest in researching hundreds or thousands of potential options in this universe.
International diversification is gaining traction as foreign equities outperform, but foreign growth ETFs remain underappreciated due to recent underperformance versus value. VIGI, while classified as a growth ETF, leans more toward value/blend through its focus on high-quality, dividend-growing stocks, offering lower volatility and defensive characteristics. EFG provides pure developed market growth exposure with higher volatility and no emerging market allocation, but comes at a higher expense ratio/turnover than VIGI.
| NASDAQ (NMS) Exchange | US Country |
The described company operates within the financial sector, concentrating on offering investment opportunities in global markets, specifically targeting high-quality companies outside of the U.S. These companies are selected based on their potential and commitment to increase their dividend payouts over time. By focusing on both developed and emerging markets, the company provides a diversified investment approach excluding U.S.-based stocks. Their investment strategy involves closely mirroring a target index, which consists of a collection of securities known for their dividend growth potential. The firm commits to investing all or a substantial portion of its assets into the securities that constitute the index, maintaining each stock's proportion relative to its index weighting. This approach underscores the company's objective to offer investors exposure to consistent dividend growers on a global scale, aiming at achieving long-term growth and income.
This product offers investors an opportunity to invest in a diversified portfolio of international companies with a track record and future potential for dividend growth. By targeting entities outside of the U.S. across both developed and emerging markets, this investment option focuses on achieving long-term income and capital growth. The selection criteria ensure that only companies with high quality and the ability to grow their dividends over time are included, aiming to provide a consistent and growing income stream alongside potential capital appreciation.
The firm follows a strategy of replicating a target index by investing all, or substantially all, of its assets in the securities that make up the target index. This strategy ensures each stock is held in approximately the same proportion as its weighting in the index. Such an approach is designed to minimize tracking error relative to the benchmark index, thereby aiming to closely mirror its performance. This technique allows investors to gain exposure to a wide range of high-quality, dividend-growing companies efficiently, with the goal of replicating the returns of the selected index as closely as possible.