Monkey-brain ETFs: Dividend ETFs

Never, as I don’t even know how one would do that… I just declare it in my taxes along with other ETFs and stocks. If anyone has instructions on how to do that I could always give it a shot for the 2025 taxes and report back.

S&P 500 dividend yield is now 1.17%. I think the advantage of US ETFs is slowly reducing because S&P 500 is getting concentrated in mag7 which are low dividend stocks anyways

Hmmm interesting food for thought. First gut reaction is that yield doesn’t contain much useful information, it can go up and down but the cash value, which is more practical, can also go up and down.

What’s interesting is your suggestion that as VOO get concentrated in the mag7 it’s very possible that the cash value goes down because the fund is collecting fewer dividends, and yield goes down as well as the ETF’s share price goes up. I hadn’t thought about it that way, I guess we’d need to compare in a year’s time.

I am looking at dividend yield because if we buy S&P for 100 USD and get 1% dividend then that’s what we would get as investor. The actual payment number (USD / share) might be increasing but for people looking for cash flow the comparison is against bond coupons or rent from RE

For Swiss investors (inventing in global stocks) this number mainly matters while comparing effective difference between VT & WEBG. The whole idea of buying US ETFs and subjecting to IRS jurisdiction was to save money on dividend WHT. If this dividend keeps going down then IE ETFS are becoming more competitive

chart below is interesting - last time dividend yields were so low was during dot com mania

Source

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And it makes sense, it inversely mirrors P/E, add on top that some tech bros don’t believe in dividends, and young growth companies don’t typically have cashflow for dividends and it all lines up.

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Do you know what ex-US is per chance?

For EXUS ETF (Msci world ex USA), accumulating, ictax reports 0.758/28.17=2.7% for 2024, but that’s price at 31.12.

There’s a distributing alternative but this share class has not lived a full year yet and is
distributing several times a year.

VXUS announces 2.67% so that’s consistent.

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What about XMAG ? Or there are other similar ETF ? sp500 ex mag7

No idea. I don’t really invest in such ETFs

I couldn’t find it. Normally it’s easy to find data on dividend amount but to plot dividend (trailing twelve months) divided by price at that moment is a different exercise.

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I was fetching all kinds of historical data from investing.com . Was surprised myself by the versatility of the data available. You will need to login, I think I used Google account to keep things simple.

Well, Google finance might be even easier to fetch data for specific tickers and dates. Or Microsoft office :woman_facepalming:.

Claude Deep Research has produced this document, which says it’s about 2.8% for DM ex-US and 2.6% for DM ex-US + EM

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