Low international (VXUS) dividend

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.
Post Reply
User avatar
Topic Author
InvestorNewb
Posts: 1663
Joined: Mon Sep 03, 2012 11:27 am

Low international (VXUS) dividend

Post by InvestorNewb »

The March quarterly dividend for VXUS is a whopping $0.10580. This is the lowest I've ever seen it and I have been invested in the ETF since 2012.

Can someone remind me why I should keep this fund in my portfolio?
My Portfolio: VTI [US], VXUS [Int'l], VNQ [REIT], VCN [Canada] (largest to smallest)
MotoTrojan
Posts: 11259
Joined: Wed Feb 01, 2017 7:39 pm

Re: Low international (VXUS) dividend

Post by MotoTrojan »

InvestorNewb wrote: Fri Mar 20, 2020 6:04 am The March quarterly dividend for VXUS is a whopping $0.10580. This is the lowest I've ever seen it and I have been invested in the ETF since 2012.

Can someone remind me why I should keep this fund in my portfolio?
Less tax due, nice.

Total Return; investing for dividends is illogical.
User avatar
simplesimon
Posts: 4578
Joined: Mon Feb 25, 2008 7:53 pm

Re: Low international (VXUS) dividend

Post by simplesimon »

This is the first time I've seen dividend yield as a justification for not holding international.
User avatar
Svensk Anga
Posts: 1612
Joined: Sun Dec 23, 2012 4:16 pm

Re: Low international (VXUS) dividend

Post by Svensk Anga »

If you look at the distribution page for this fund at Vanguard, it is apparent the the majority of the payout comes in June and December. I guess a lot of foreign companies are on semiannual schedules rather than quarterly. The present decline is not much of the annual yield. December 2019 was much higher than December 2018. 9/2019 was higher than 9/2018. Other than the minor March decline, the trend looks good.
columbia
Posts: 3023
Joined: Tue Aug 27, 2013 5:30 am

Re: Low international (VXUS) dividend

Post by columbia »

simplesimon wrote: Fri Mar 20, 2020 6:12 am This is the first time I've seen dividend yield as a justification for not holding international.
It’s been a dog for over a decade, independent of distributions.

Going forward? We’ll see.
lgs88
Posts: 600
Joined: Tue Jun 07, 2016 7:48 am

Re: Low international (VXUS) dividend

Post by lgs88 »

columbia wrote: Fri Mar 20, 2020 9:11 am
simplesimon wrote: Fri Mar 20, 2020 6:12 am This is the first time I've seen dividend yield as a justification for not holding international.
It’s been a dog for over a decade, independent of distributions.

Going forward? We’ll see.
columbia,

Today, VXUS is outperforming VOO. May the investing gods will that this trend continues, so we international die-hards have some relief!

lgs88
merely an interested amateur
lostdog
Posts: 5368
Joined: Thu Feb 04, 2016 1:15 pm

Re: Low international (VXUS) dividend

Post by lostdog »

Most of the dividend payouts are in June and December for international stocks.
Stocks-80% || Bonds-20% || Taxable-VTI/VXUS || IRA-VT/BNDW
snowman
Posts: 1477
Joined: Thu Jan 31, 2013 11:59 am

Re: Low international (VXUS) dividend

Post by snowman »

InvestorNewb wrote: Fri Mar 20, 2020 6:04 am Can someone remind me why I should keep this fund in my portfolio?
Presumably for the same reason you chose it in the first place - diversification. You know it's working when you have a dog in your portfolio. I've had the same dog in mine for about 20 years, the first 10 were good, next 10 were bad. It is what it is, just hang in there.

I agree that this upcoming dividend is the lowest even by March standard. You made me curious, so I looked back to 2012 and it's never been that low. My crystal ball tells me companies are cutting dividends to preserve cash, but what do I know...
Ping Pong
Posts: 708
Joined: Fri Feb 20, 2009 11:51 am

Re: Low international (VXUS) dividend

Post by Ping Pong »

The March dividend is lower for Vanguard’s domestic funds as well. It’s not unique to international.
BionicBillWalsh
Posts: 437
Joined: Sun Oct 21, 2018 1:56 am
Location: Sandwich Islands

Re: Low international (VXUS) dividend

Post by BionicBillWalsh »

Ping Pong wrote: Fri Mar 20, 2020 10:11 am The March dividend is lower for Vanguard’s domestic funds as well. It’s not unique to international.
I’m not going to complain about paying less tax.
Jerry Garcia: If I knew the way...I would take you home.
snowman
Posts: 1477
Joined: Thu Jan 31, 2013 11:59 am

Re: Low international (VXUS) dividend

Post by snowman »

Ping Pong wrote: Fri Mar 20, 2020 10:11 am The March dividend is lower for Vanguard’s domestic funds as well. It’s not unique to international.
How do you know that? I have not seen VTI declared dividend yet. How much is it?
mookie
Posts: 318
Joined: Sun Jul 12, 2015 1:35 pm

Re: Low international (VXUS) dividend

Post by mookie »

I am planning to tax loss harvest by selling VXUS, which I've held for several years, and buying IXUS which doesn't have a dividend date this month. Should I do this before VXUS' ex dividend date, which is 3/23 (i.e. sell today)? Does it not really matter since the dividend is so small?
MotoTrojan
Posts: 11259
Joined: Wed Feb 01, 2017 7:39 pm

Re: Low international (VXUS) dividend

Post by MotoTrojan »

mookie wrote: Fri Mar 20, 2020 10:56 am I am planning to tax loss harvest by selling VXUS, which I've held for several years, and buying IXUS which doesn't have a dividend date this month. Should I do this before VXUS' ex dividend date, which is 3/23 (i.e. sell today)? Does it not really matter since the dividend is so small?
Why not do it today regardless?
Post Reply