Dividend Growth vs Total Returns
Analyst's reasoning:VIG's blended PE of 22.75 is close to its normal of 22 since 2019, offering a 1.47% yield with growth. If PE stays around 19.5, total returns could reach 10% annually, supported by holdings like Broadcom, Apple, and Microsoft.
Analyst's reasoning:The argument is that VIG does not deliver better dividend growth than the S&P 500 while only offering a slightly higher forward yield. That combination is framed as coming alongside much inferior total returns versus sticking with SCHD (especially for someone retiring near-term).