Overview
- A new Yahoo Finance piece recommends allocating $1,000 across two less-prominent Vanguard ETFs, splitting the sum between VIG and VXUS.
- VIG selects companies with at least 10 consecutive years of dividend increases while excluding the top 25% highest-yielding eligible firms to avoid yield traps.
- The fund’s yield is about 1.6% and its tilt toward tech and growth includes holdings such as Broadcom, Microsoft, Apple, Visa, and Walmart.
- VXUS offers broad exposure to companies in developed and emerging markets, providing diversification that can help hedge U.S.-centric portfolio risk.
- The recommendation positions these ETFs as supplemental building blocks alongside flagship low-cost index funds like VOO and VTI.