Exchange-Traded Funds (ETFs) have become increasingly popular among investors, offering a convenient way to access diversified portfolios of stocks or bonds. In this article, we will delve into a comprehensive comparison between two well-known ETFs: PFM (Invesco Dividend Achievers ETF) and VYM (Vanguard High Dividend Yield ETF). We will explore various aspects of these ETFs, including their tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking, and exposure.
PFM and VYM are both dividend-focused ETFs, but they have some key differences. PFM seeks to track an index of companies with a history of consistent dividend growth, while VYM aims to provide exposure to high-dividend-yield stocks. Understanding these distinctions is crucial for investors looking to build a dividend-focused portfolio.
When it comes to sectors and top holdings, PFM primarily includes companies from sectors like Consumer Discretionary, Information Technology, and Healthcare. In contrast, VYM's portfolio is more concentrated in sectors like Consumer Staples, Healthcare, and Financials. Examining sector allocation and top holdings can help investors align their investments with specific sector preferences.
PFM overlap PFM VS VYM
PFM and VYM differ in terms of their asset under management (AUM) and investment strategies. PFM has a substantial AUM, reflecting its popularity among investors seeking consistent dividend growth. VYM, on the other hand, emphasizes high-dividend-yield stocks, potentially offering higher income but with varying risk levels. Investors should consider their income and risk preferences when choosing between these ETFs.
The tracking and exposure methods of PFM and VYM also vary. PFM tracks an index of companies with a history of increasing dividends, aiming to capture the potential for dividend growth over time. VYM focuses on stocks with high dividend yields, offering a different approach to income-oriented investing. Understanding these tracking methods and exposure differences is essential for selecting the most suitable ETF for one's investment goals.
PFM and VYM are distinct ETFs, each catering to investors with specific dividend preferences. To gain deeper insights into their holdings, correlations, and potential overlaps, consider using ETF Insider. This user-friendly app offers valuable information on various financial instruments, helping you make informed investment decisions.
Disclaimer: This article does not provide any investment advisory services.
PFM ETF issuer
PFM ETF official page
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