Long-Term Dividend ETF Built to Outlast Any Market Cycle Over 20 Years

A long-horizon dividend ETF is positioned as a way to stay exposed across market cycles, even though no strategy fully insulates investors during bear markets. The article focuses on Vanguard Dividend Appreciation ETF (VIG), noting that cycles—bull, bear, and sideways markets—tend to appear about once every 3.5 years and last nearly 10 months. It says VIG had lower annualized volatility and smaller maximum drawdown than the S&P 500 over the decade ending Aug. 4. Over 10 years ending July 31, four domestic dividend ETFs beat it. VIG tracks the S&P U.S. Dividend Growers index, holding 322 stocks with at least 10 years of dividend increases, while excluding the top 25% highest-yield names.