Do you own units of the increasingly popular Vanguard Diversified High Growth Index ETF (ASX: VDHG)? If you count this exchange-traded fund (ETF) as a member of your ASX share portfolio, then you'll want to hear all about the fund's latest announcement.
The Vanguard Diversified High Growth ETF is an interesting and rather unique fund on the ASX. As we've discussed here at the Fool before, this ETF functions as an 'ETF of ETFs', holding stakes in other Vanguard ETFs in its underlying portfolio to give investors a highly diversified investment.
It allows its investors to gain exposure to multiple asset classes across different geographies. An investment in VDHG units exposes investors to ASX shares, international shares, and shares from emerging markets. That's alongside exposure to bonds and fixed-interest investments, as well as currency-hedged shares and cash assets.
But let's get on to today's ASX news regarding VDHG units.
What's the latest for the Vanguard Diversified High Growth ETF?
This morning, ETF provider Vanguard revealed its final dividend distribution amounts for the upcoming unitholder payments for several Vanguard ETFs, including the Vanguard Diversified High Growth ETF.
Last week, we covered the estimated payouts that Vanguard told its ETF investors to expect. In VDHG's case, the provider flagged a payment of 45.47 cents per unit.
This morning, Vanguard confirmed that the actual amount that will come investors' way is 45.28 cents per unit.
VDHG units traded ex-distribution on the ASX for this payment yesterday. This means that any investors who bought new VDHG units from yesterday onwards are not eligible for this particular payment.
Payment day will then come around on 17 October.
The Vanguard Diversified High Growth ETF is a fund that pays out quarterly dividend distributions rather than the typical six-month period we normally see on the AS.
This latest payment comes up well against the corresponding distribution that investors bagged in 2022. This time last year, investors were in line to receive a payment worth 42.87 cents per unit. So this one is a clear improvement.
Combining with VDHG's last three dividend distributions (which were worth 24.8 cents, 25.5 cents, and 66.4 cents respectively), this ETF now has an annual trailing dividend payout of $1.62 per unit. At today's current VDHG unit price of $56.37 (at the time of writing), this Vanguard ETF now has a trailing dividend distribution yield of 2.87%.
VDHG: ASX unit price snapshot
Despite a recent dip, the Vanguard Diversified High Growth ETF is still in the green over 2023 so far, with a year-to-date gain of 5.64%. That rises to an even healthier 11.4% over the past 12 months, as you can see below:
This ETF charges a management fee of 0.27% per annum.
