Low-Risk Dividend Fund #1: Vanguard Dividend Appreciation ETF
Roughly 25% of the Vanguard Dividend Appreciation ETF (NYSE:VIG) is allocated in consumer staples, so don’t expect a lot of jump to shares. That could be a good thing, however, for dividend investors concerned with capital preservation as much as getting paid. The yield is a bit lower at 2.3%, but the rock-bottom expense ratio ensures you’re not paying too much to the fund manager here. The low cost comes from a hard peg to the Dividend Achievers Select Index instead of active management.
For more info, visit this ETF’s page on Vanguard’s website.