Where Will VYM Be in 2036? Here’s What the 2.4% Yield Is Hiding.

Despite offering a 2.4% dividend yield—more than double the S&P 500's 1.1%—the Vanguard High Dividend Yield ETF (VYM) has underperformed the Vanguard S&P 500 ETF (VOO) over the past decade, delivering 11.3% versus 15.3% annualized returns. VYM's focus on slower-growing dividend stocks masks lower total returns. The article projects VYM could deliver around 9% annualized returns over the next decade, likely trailing VOO despite its higher income yield.