Skip to Content

VIG vs. VT

Vanguard Dividend Appreciation ETF

VIG
$--
vs

Vanguard Total World Stock ETF

VT
$--

Correlation

0.93
VIGVanguard Dividend Appreciation ETF
VTVanguard Total World Stock ETF

What is VIG?

VIG Seeks to track the performance of the S&P U.S. Dividend Growers Index. Index is composed of Large-cap equity, emphasizing stocks with a record of growing their dividends year over year. Effective September 20, 2021, the fund changed its benchmark from the NASDAQ US Dividend Achievers Select Index to the S&P U.S. Dividend Growers Index.

Snapshot
**

VIG Vanguard Dividend Appreciation ETF
VT Vanguard Total World Stock ETF
Inception date
Apr 21 2006
Jun 24 2008
Expense ratio
0.06%
0.07%
VIG has a lower expense ratio than VT by 0.01%. This can indicate that it’s cheaper to invest in VIG than VT.
Type
US Equities
Global Equities
VIG targets investing in US Equities, while VT targets investing in Global Equities.
Fund owner
Vanguard
Vanguard
VIG is managed by Vanguard, while VT is managed by Vanguard.
Volume (1m avg. daily)
$157,665,108
$138,228,150
Both VIG and VT are considered high-volume assets. They’re less likely to be affected by issues like slippage and failed orders on Composer than low-volume assets.
AUM
$67,239,425,848
$28,426,068,465
VIG has more assets under management than VT by $38,813,357,383. Higher AUM can be associated with better liquidity and lower slippage in trading.
Associated index
S&P U.S. Dividend Growers Index
FTSE Global All Cap Index
VIG is based off of the S&P U.S. Dividend Growers Index, while VT is based off of the FTSE Global All Cap Index
Inverse/Leveraged
No
No
VIG and VT use the same leverage ratio. Inverse and leveraged ETFs can be used to either take an opposite position or amplify returns of a given index.
Passive/Active
Passive
Passive
VIG and VT both use a Passive investing strategy. In an actively managed fund, the fund manager makes decisions about how funds are invested. A passively managed fund typically tries to track or follow a market index.
Dividend
Yes
No
VIG may offer dividends, while VT does not. The frequency and yield of the dividend for VIG may vary.
Prospectus
Neither VIG nor VT require a K1.
VIG and VT’s Correlation
When ETFs are correlated, there are 3 main topics to analyze that will help you build your automated trading strategy: liquidity, expense, and risk.
  • Liquidity: In an active trading strategy (trading multiple time per week), it’s important to consider the liquidity of the ETF you’re using. Lower liquidity can mean more money lost in slippage. AUM and average daily volume are both indicators of liquidity.
  • Expense: Some ETFs are more expensive to use than others. For strategies that are focused on longer holding periods, it’s important to factor in how expensive it is to hold this ETF. Expense ratio is the main indicator of how expensive an ETF is.
  • Risk: Some ETFs will be highly correlated, but have varying degrees of returns, due to leverage. It’s important to consider if an ETF is using leverage or not. The main indicators of a riskier ETF will be the use of leverage and higher standard deviation or max drawdown in a backtest.

Automated Strategies
Related toVIG

#RB

Rotating Bonds

Category

Getting Defensive, Diversification

Risk Rating

Moderate

Automated Strategies
Related toVT

#WIR

When Inflation is Rising

Category

Living With High Inflation, Worried about Inflation?

Risk Rating

Moderate

Create your own algorithmic
trading strategy

Disclaimers

*

We show information directly obtained from our data provider, Xignite. Data shown here is provided by Xignite, an unaffiliated third party. Composer believes the information shown here is reliable, but has not been verified and there is no guarantee that the information is accurate.

**

We show information based on calculations performed by Composer using data from our provider. Information provided here is based on calculations performed by Composer using data sourced from Xignite, an unaffiliated third party. Composer believes this information is reliable, but has not verified the data and there is no guarantee that the calculations are accurate.