Dividend comparison

VYM vs DGRO: Which Is Better for Income?

Fees, yield, total returns, drawdowns, holdings overlap and dividend history for Vanguard High Dividend Yield ETF and iShares Core Dividend Growth ETF, side by side. Updated October 21, 2026.

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VYM vs DGRO: key differences
The short answer, from the latest data on this page.
  • Fees. VYM is cheaper at 0.04% a year versus 0.08% for DGRO. On $10,000 that is $4 a year less in fees.
  • Income. VYM pays more income, yielding 2.28% over the last twelve months versus 1.88% for DGRO. That is about $40 more a year on $10,000. Both pay quarterly.
  • Performance. Over the last 5 years, VYM returned 67.0% versus 64.5% for DGRO, with dividends reinvested. $10,000 would have grown to $16,701 in VYM and $16,454 in DGRO.
  • Risk. DGRO has been the bumpier ride. Its worst peak-to-trough decline over the last 5 years was -19.3%, against -15.8% for VYM.
  • Diversification. VYM holds 589 positions and DGRO holds 391.
  • Dividend growth. DGRO grew its yearly payout 7.9% a year over the last 4 years, versus 3.1% for VYM.
  • Size. VYM is the larger fund with $95.8 billion in assets, against $44.2 billion for DGRO.

Bottom line: VYM fits better if you care most about lower fees, more income today, stronger 5-year returns, smaller drawdowns and broader diversification. DGRO fits better if you care most about faster dividend growth.

Side-by-side snapshot
Trailing twelve-month figures where available. Higher yield is highlighted — not a buy recommendation.
MetricVYM
Vanguard High Dividend Yield ETF
DGRO
iShares Core Dividend Growth ETF
Dividend yield (TTM)2.28%1.88%
Dividend / share (TTM)$3.68$1.49
Payout frequencyQuarterlyQuarterly
Last dividend$0.8869 on Sep 22, 2026$0.3850 on Sep 18, 2026
Ex-dividend dateSep 18, 2026Sep 15, 2026
Dividend growth (CAGR)3.1% over 4 yrs7.9% over 4 yrs
Price$161.15$79.26
Dividend growth streak15 years10 years
Beta0.750.67
Max drawdown (5Y)-15.8%-19.3%
Market cap$95.79B$43.96B
ExchangeAMEXAMEX
Expense ratio0.04%0.08%
Assets under management$95.80B$44.19B
Number of holdings589391
Top 10 concentration26.2%—
Income on a $10,000 investment
Illustrative only — assumes current TTM yield stays constant. Actual distributions change.

VYM

$19.01/mo

$228 /yr at 2.28% yield

DGRO

$15.71/mo

$188 /yr at 1.88% yield

Dividend history
Total dividends paid per share in each calendar year. VYM pays quarterly; DGRO pays quarterly.
YearVYMDGRO
2025$3.5008$1.4506
2024$3.4945$1.3851
2023$3.4780$1.3159
2022$3.2518$1.1679
2021$3.0961$1.0718
Strategy: Dividend equity
Rules-based equity funds that screen for companies paying sustainable or rising dividends, aiming at income plus long-term share-price participation. The screen is what defines the fund: yield-ranked indexes deliver more cash now, dividend-growth indexes deliberately exclude the highest payers in favor of durability. Both approaches produce a sector mix that looks nothing like the broad market, typically heavier in financials, healthcare, staples and industrials.

Expect stretches of underperformance versus the broad market whenever leadership comes from the high-growth, low-yield companies these screens exclude.

What VYM vs DGRO actually do

VYM
A broad index fund holding the higher-yielding side of the US dividend-paying market, several hundred companies deep.

It tracks the FTSE High Dividend Yield Index, which ranks US dividend payers by forecast yield, excludes REITs, and works down that ranking until roughly half the market value of the eligible universe is covered. Selection is on yield alone with no quality or growth screen, so the portfolio is wide and diversified but includes some payers a stricter screen would reject. Weighting is by market cap, meaning the biggest dividend-paying companies dominate.

Suits an investor who wants dependable above-market income with maximum breadth and minimum concentration risk. Less suitable if you specifically want dividend growth or a fundamental quality filter, since neither is part of the selection rule.

Core dividend holding

DGRO
An iShares fund holding a wide set of US companies with a record of raising their dividends.

It tracks the Morningstar US Dividend Growth Index, which requires at least five consecutive years of dividend growth, a payout ratio under 75%, a positive earnings forecast, no REITs, and excludes the top 10% of the universe by yield. The five-year requirement is looser than VIG's ten, so the portfolio is broader, running to several hundred names. Holdings are weighted by the total dollar value of dividends paid rather than by market cap, which tilts weight toward the largest actual dividend payers rather than the largest companies.

Suits an investor who wants dividend growth with more names and a slightly higher starting yield than a stricter growth screen delivers. Less suitable for someone who wants concentrated exposure to only the longest-running dividend raisers.

Dividend growth, broad

Performance
Total returns with dividends reinvested, from the adjusted closing price series. $10,000 invested on Oct 20, 2021 would now be worth $16,701 in VYM and $16,454 in DGRO.
PeriodVYMDGRO
1 month1.19%3.08%
3 months0.62%2.75%
Year to date12.28%14.17%
1 year14.10%15.72%
3 years68.66%70.71%
5 years67.01%64.54%
  • VYM
  • DGRO
80129178202120222023202420252026167165

Both series indexed to 100 on 2021-10-20 using the adjusted closing price series. Past performance does not guarantee future results.

Sector allocation
Weight of each sector within the fund. Sectors are aligned on the same row so the two funds can be read against each other directly.
  • VYM
  • DGRO
0%6%12%18%24%Financial Services20.9%19.7%Technology17.5%19.5%Healthcare14.1%17.2%Industrials11.6%11.2%Consumer Defensive8.2%12.2%Financials19.2%Information Technology17.8%Health Care17.4%Energy10.2%5.8%Consumer Staples12.8%Other17.5%24.1%
Top 10 holdings
Largest positions by portfolio weight.

VYM589 holdings total

NameWeight
AVGOBroadcom Inc6.93%
JPMJPMorgan Chase & Co3.75%
XOMExxonMobil Holdings Corp2.84%
JNJJohnson & Johnson2.71%
ABBVAbbVie Inc1.96%
CSCOCisco Systems Inc1.80%
CVXChevron Corp1.61%
CATCaterpillar Inc1.56%
MRKMerck & Co Inc1.52%
BACBank of America Corp1.50%

Quick verdict

VYM fits better if you care most about lower fees, more income today, stronger 5-year returns, smaller drawdowns and broader diversification. DGRO fits better if you care most about faster dividend growth. Model the holding inside your real portfolio before deciding.

Still deciding? Compare them in your portfolio
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Frequently asked questions

Is VYM or DGRO better for dividend income?
It depends on your goals. VYM currently yields 2.28% Trailing Twelve Months (TTM) while DGRO yields 1.88%. Higher yield means more current income per dollar invested, but may come with different risk, growth, or NAV characteristics. Compare total return and payout sustainability — not just the headline yield.
What is the difference between VYM and DGRO?
Vanguard High Dividend Yield ETF (VYM) is an ETF listed on AMEX. iShares Core Dividend Growth ETF (DGRO) is an ETF listed on AMEX. Side-by-side metrics on this page cover yield, fees, returns, drawdowns, holdings overlap and dividend history when available.
Which is cheaper, VYM or DGRO?
VYM has the lower expense ratio. VYM charges 0.04% a year and DGRO charges 0.08%, a difference of $4 a year on a $10,000 investment.
Which has performed better, VYM or DGRO?
Over the last 5 years, VYM has the higher total return with dividends reinvested: VYM returned 67.0% and DGRO returned 64.5%. Past performance does not predict future returns.
Which is riskier, VYM or DGRO?
Measured by the worst peak-to-trough decline over the last five years, DGRO has been riskier: VYM fell as much as 15.8% and DGRO as much as 19.3%. Their betas are 0.75 and 0.67.
How often do VYM and DGRO pay dividends?
Both pay quarterly. The most recent payments were $0.8869 for VYM and $0.3850 for DGRO.
How much income does $10,000 in VYM vs DGRO generate?
At current TTM yields, $10,000 in VYM would generate roughly $19.01 per month ($228 annually). The same amount in DGRO would produce about $15.71 per month ($188 annually). Actual payouts vary with distribution changes and reinvestment.
Can I hold both VYM and DGRO?
Yes. Many income investors hold both to diversify strategy or index exposure. Whether the combination actually diversifies depends on overlapping holdings and factor exposure. Model both inside Dividend Wealth to see combined income, sector mix, and forecast impact.
Where can I compare VYM vs DGRO with my full portfolio?
Create a free Dividend Wealth account to import or enter holdings, forecast dividend income, and see how VYM and DGRO fit alongside the rest of your portfolio. A 14-day free trial of Standard is available with no credit card required; a limited Free plan is also available.

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For informational and educational purposes only. Not investment advice. Past performance and current yields do not guarantee future results. Verify figures independently before making investment decisions.