Top 4 Dividend ETFs for 2022 - Australia (High Dividend Yield)

[@LukeCollins80]

I have a 30% VHY, 30% VAS and 40% VGS split. Gives a good balance of income and growth. I know VHY and VAS have some obvious overlap but plan to use these dividends to reinvest into VGS and help with School fees. I look forward to the comparison.

[@lukepilky_ar]

So you diversified your already diversified holdings?

[@dylanprocter5297]

Ausfinance be proud of you 👍

[@wazakiYEAH]

Vhy and Vas a bit overkill mate

[@keithbrewster8427]

Just want to say how much I appreciate the effort you go to to explain things simply so you take everyone with you. Its a great principle that you apply to all your vids. Thank you it’s a service to all listeners.

[@amrutasawant4123]

Can't wait to watch the VAS vs VHY video. Keep up the good work Sanjee. I always look forward to your videos and learning so much. Thanks for sharing the knowledge.

[@SanjeeSen]

Thanks Amuruta, me too!

[@Namlange70]

Great explanation. I like VAS, VHY and VAP for my retirement income.

[@irenehoimes7186]

Love this video! Can't wait for your next video .. VHY, VAS & VAP ... you explain your knowledge so well 👍

[@SanjeeSen]

Thanks Irene, yeah i'm looking forward to it too

[@alanbarends158]

You have a great understanding of investing & your explanation & delivery is valued. Thanks Sanjee

[@Sauvage_Foxes]

Great vid. Really getting to the point of what we are all here for. can't wait for the vanguard comparison

[@swankykoala4836]

UNLESS you're close or in retirement, I wouldn't recommend high-dividend ETFs. You need to pay tax on dividends earned minus franking credits, whereas you only need to pay tax on 50% of the capital gains if you decide to sell (for shares > 12 months). If you're investing for the long-term, you're better off buying growth ETFs rather than reinvesting dividends from high-dividend ETFs.

[@padmajapakkurthi733]

At the time of retirement how to generate income with growth etfs? Should we sell to get the cash or buy high dividend etf 🤔

[@lukeneave]

How much tax? So your saying to compound interest?

[@johnsonwithat2322]

The whole point of investing in dividend ETFs is that it compounds because you're reinvesting it back into the ETF. You shouldn't be withdrawing the small amount you make from dividends lol. That's just silly.

[@swankykoala4836]

@@johnsonwithat2322 Let's take 2 companies and assume they have the same share price, returns, and have the same amount of earnings to either give to shareholders or reinvest back into the company: Company A - Gives 20% to shareholders and 80% back into the company. Company B - Invests 100% back into the company. Since company B is putting more money into the company, that most likely means higher returns and higher stock prices next year than company A, and this will continue in the long run. Even if investing in company B is the same as investing in company A + reinvesting the dividends, you're still paying tax on those dividends. If you don't believe in my example, the performance over 5 years for VAS was 9.91% vs VHY 7.77% (this includes reinvested dividends). Although it may not look like a big difference, in the long term, VAS is objectively better.

[@LukeCollins80]

@@swankykoala4836 over 10 years you are splitting hairs between VHY and VAS and remember over 90% franked so very minimal tax on income and no need to sell down to generate income.

[@ellie_ellie_ellie]

Really really good in-depth analysis! And definitely looking forward to your vhy vs vas video! Keep up the good work 👍

[@biplabdhar1418]

Very well explained Sanjee. Hugely appreciate what you are doing to educate us 👍

[@biplabdhar1418]

What platform do you use or suggest for AU ETF investments?

[@MrDraidis]

An excellent video. Very informative and balanced.

[@robertleedham2157]

Great idea with the Vas etc Video mate - will appreciate for sure!

[@SanjeeSen]

Thanks for the comment Robert, yeah I'm looking forward to do it

[@darrylknight2675]

Just found your show, great content. I have subscribed

[@anglesea2026]

If you want greater exposure to the mining sector then SYI and to some extent IHD are better positioned with their portfolio

[@graciebarrawestryde6442]

Nobody talks about the high yields with Rio Tinto shares? it's 14% surely that beats any of these ETF's? Am I missing something?

[@graciebarrawestryde6442]

Great comment/question mate

[@cosyville]

Thank you Sanjee, really love your videos ✨

[@anuraagpandey1129]

Hi Sanji, recently saw your videos on Vanguard ETFs , well explained. Can I ask you a shirt and quick question -that is it good time ( 06/‘22) to invest lump sum /buy VAS -VGS ETFs in Australia?

[@amiteshsharma7440]

Thanks for this great video. What are your thoughts on turnover ratio? VHY has quite a high turnover (21.52% as per ASX) which means the capital gains get passed onto the investor to pay. This compared to STW (ASX200) which has similar total returns performance over the past 3-5 years, has 2.46% turnover ratio, lower Mgmt fees and 89% franking (c.f. VHY which has 91% Franking). Doesn't STW offer better value over long run? Thanks.

[@billiexluxury]

Thank you for sharing another quality video

[@leafmotif]

I Would love to see vas vs vhy Sanjee. Enjoying your videos immensely, thank you

[@SanjeeSen]

Thanks Joshua!

[@wanderlust569]

thank Sanjee. Love your passions in explaining thoroughly . Keep up the good works, Mate. Do you see any effects on VHY,VAS and VAP due to upcoming election In Australia.

[@mitshah7196]

The comparison between those ETF's is what I've been trying to do since a couple of weeks. Would love to hear your analysis.

[@michaelpapp7371]

VAS VGS VAP VAF PMGOLD A video for a broad "covering the world" portfolio

[@MountainofInspiration]

I love the way you break it down. You make the investment journey look so easy

[@SanjeeSen]

Thanks so much!

[@ImJareds]

loved the video man

[@yugi5625]

Great vid Sanjee!

[@SanjeeSen]

Thanks Yugi!

[@PittwaterMowingAustralia]

I class good old VAS as a High Dividend ETF plus you get some growth

[@rekhayeddu862]

Hi Sanjee, what are some of the good longterm investing trading platforms in Australia. Most of the ones I found seem to be for CFDs and not longterm investing. Thanks

[@varasangam9576]

thank you, excellent advice

[@h.d6098]

Thanks for great Video, where do i find whether the dividend from etfs e.g. VHY is automatically reinvested or whether i can receive that dividend as cash to live off, as i dont want it reinvested and want to ensure it can be paid as cash instead?

[@varindersinghmultani7120]

Just want yo know that if we buy vanguard us share etf and got dividends as well on company so the dividend money go to etf compnay so that they reinvest or its come to my account need to fill any form for reinvest divident in case of etf

[@SummerHaze83]

Thanks Sanjee. Would you at some point do a video about the ETFs on the other side of the flowshart - Start -> Growth -> ETF

[@SanjeeSen]

Certainly will Summer. But in general they're referred to as "growth" ETFs so you should be able to find a bit of info out there already :)

[@sarinji4928]

Thank you for your video - so helpful and easy to understand (plus you are cute) :P I wanted to ask - to manage an income ETFs based portfolio, does it only benefit retirees or those planning for their retirement? How about if you are just starting to invest midlife?

[@dailyhacks4634]

Hi Sanjee, love your calm energy that you bring to investing 🌞. Please can I ask what are your thoughts that dividend ETFs do not increase in value . I.e they distribute the profits instead of using them to grow . Also didvind is no guarantee so we cannot depend on these ETFs ? Also growth ETFs will eventually catch up to these increased yeilds ?so it's not worth investing in them especially in accumulation phase .

[@padmajapakkurthi733]

I will check more on income vs growth as you advised. Initially I would be keen to reinvest dividend to grow the portfolio and what would be the best time to stop the reinvestment to generate income? Also what would be the tax implication on income if the portfolio is good after say 20 yrs? Would appreciate your view on tax on income

[@Thisbook2022]

Dividends are taxed as normal income. Selling your stocks with a profit is considered capital gain and has its own tax (CGT). Now if you sell your stocks less than a year of buying them, you pay the 100% CGT tax, but if you were to sell it after holding them for a year, you only get a 50% CGT tax. You should check out the ATO website, lots of good info.

[@ilarums]

Do growth ETFs pay dividends?

[@daweigo6851]

Normally high growth no dividend or extremely low

[@jugglematt100]

Great video, i have been wondering about this idea of growth vs income etf s and where is the best place to invest my $. Yes please do a comparison video re vas and vhy . I really like how you clearly share your information in your videos . Thanks

[@praharshreuben2051]

Is it alright if I make etf investments through commsec

[@sonny4754]

What about your thoughts on lics for dividends

[@AussieZeKieL]

Fully franked dividends, so you could be getting a tax rebate.

[@pratikmehtaau]

Best platform for investing in Australia?

[@SanjeeSen]

Hi Pratik, this comparison site has some useful insights on the topic: www.canstar.com.au/online-trading/online-share-trading-awards-2022/

[@julzylil]

great video just wondering can you buy a couple of stocks at once? with just the one transaction fee?

[@SanjeeSen]

Thanks for watching. Unfortunately no, you have to pay a transaction fee for each company you buy or sell.

[@silviofontana5144]

good info thanks

[@HS-PGA]

A video on Flow risk is needed .

[@mariaparenti41]

thank you

[@SanjeeSen]

You're welcome!

[@ilarums]

would be good to get a view on income generation vs high yield ETFs

[@aguilarkristine7022]

The markets are now very unpredictable. Started investing recently when the market prices were a bit high, today I am more than 60% down.

[@kaitlinmel4316]

@@aguilarkristine7022 You should have used a Robo-investor or traded with Gary Joe Wilde or any other experienced and regulated person. As a complete beginner myself, I have made over $30K in less than 5 months with him.

[@ANTHONY47814]

@@aguilarkristine7022 You should have used a Robo-investor or traded with Gary Joe Wilde or any other experienced and regulated person. As a complete beginner myself, I have made over $30K in less than 5 months with him.

[@espree]

🙌

[@JamesScott-sd3oj]

Which broker do you use ?

[@SanjeeSen]

Hi James, I use CommSec but have used ANZ Etrade in the past too.

[@bartosneville8793]

Better off creating your own etf with direct investment in the underlying shares.

[@jmistry3295]

Hi, I have $100000 to invest. I was thinking to invest in vanguard VOO.IV ( s&p500). What are views on this