See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Vanguard International Dividend Appreciation ETF (VIGI) - free report >>
We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Vanguard International Dividend Appreciation ETF (VIGI) - free report >>
Image: Bigstock
International Dividend Appreciation ETF (VIGI) Hits New 52-Week High
For investors seeking momentum, Vanguard International Dividend Appreciation ETF (VIGI - Free Report) is probably on radar now. The fund just hit a 52-week high of $60.90. Shares of VIGI are up roughly 18.3% from their 52-week low price of $51.50/share.
But could more gains be ahead for this ETF? Let’s take a quick look at the fund and the near-term outlook to get a better idea on where it might be headed:
VIGI in Focus
The fund looks to track the performance of the NASDAQ International Dividend Achievers Select Index. The fund is heavy on Europe (45.5%) followed by emerging markets (20.9%) and Pacific (18.5%). The fund charges 25 bps in total fees (see all World ETFs here).
Why the Move?
No investing area seems to be as appealing as dividend irrespective of market conditions. Investors get to enjoy a steady stream of current income through this technique. Among dividend-focused securities, stocks that have a history of hiking dividends regularly appear to offer considerable quality exposure.
As global growth is expected to pick up this year, central banks are likely not to turn more accommodative. High dividend stocks and ETFs normally underperform in a rising rate scenario. On the other hand, dividend growth ETFs like VIGI have high chances of outperformance in such an environment. Plus, these strong blue-chip companies normally act as a hedge against sudden economic uncertainty.
More Gains Ahead?
The fund has a positive weighted alpha of 16.02. A positive weighted alpha hints at more gains. As a result, there is definitely still some promise for investors who want to ride on this surging ETF.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>