VHYvsSYI
Two of the most popular Australian dividend ETFs compared.
Vanguard Australian Shares High Yield ETF · SPDR MSCI Australia Select High Dividend Yield Fund
SYI yields 11.86% vs VHY's 7.28% - a meaningful income premium. The trade-off: high-yield ETFs concentrate in banks and property, so total returns can lag a broad market index in growth-led periods. Choose based on whether you need income now or prefer total return.
Score Breakdown
Fund Profiles
Vanguard manages VHY, an ASX-listed ETF tracking the FTSE Australia High Dividend Yield Index, which screens the ASX 300 for companies with above-average forecast dividend yields. The resulting portfolio tilts heavily toward banks and property companies - sectors known for generous payouts - and fully passes through franking credits attached to qualifying dividends. Income-focused investors, retirees, and SMSF trustees in pension phase seeking enhanced yield from Australian equities with valuable franking credit benefits will find VHY a compelling income-generation tool.
State Street's SPDR manages SYI, an ASX-listed ETF that tracks the MSCI Australia Select High Dividend Yield Index, targeting Australian companies with sustainable above-average dividend payments. The index screens for dividend sustainability using coverage ratios, aiming to avoid yield traps where high payouts may not be maintained, resulting in a more disciplined approach than simple high-yield selection. Income-seeking investors and SMSF trustees in pension phase who value reliable franked dividends - with an added layer of quality screening - will find SYI a thoughtful income-oriented Australian equity holding.