VYMI -0.46% NVDA -4.22% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
Many investors are feeling nervous about tech stocks. If you want to invest in something different than the prevailing artificial intelligence (AI) trade, high-yield dividend stocks and international stocks could be a good choice.
Buying stocks like these that are less involved in the AI trade could help you diversify right now. The Vanguard International High Dividend Yield ETF (NASDAQ: VYMI) is a well-diversified exchange-traded fund (ETF) that can support this strategy in more than one way. It owns 1,502 international stocks that tend to pay higher-than-average dividends. The ETF currently yields about 3.6%.
Missed AI's "Act 1"? Act 2 Could Be 14x Bigger. Most investors think they missed the AI boat because they didn't buy Nvidia in 2005. But according to our analysts, we're only at the end of "Act 1"—the R&D phase. "Act 2" is the global rollout. Continue »
And many of the companies in the VYMI portfolio are in sectors quite different from those in the tech-heavy Nasdaq-100 index that has driven much of the recent AI boom. The top 10 holdings of VYMI are mostly international banks, major consumer staples companies, and pharmaceutical giants. These global businesses are not relying so much on AI.
Let's look at how much you could earn in 25 years if you invest $1,000 in VYMI today.
The Vanguard International High Dividend Yield ETF has delivered impressive gains in recent years, with annualized returns (by net asset value) of about 24% in the past year and 13.9% over the past five years.
Over the longer term, the past 10 years since the fund's February 2016 inception, this international ETF has delivered annualized returns of about 11.33%. There's no guarantee that this will continue forever. But let's assume you invest $1,000 in VYMI today, leave it alone to grow for the next 25 years, and it earns an average annual return of 11.33%.
After five years, you'd have $1,710. After 10 years, you'd have $2,925. After 15 years, you'd have $5,002. And after 25 years, your investment would grow to about $14,632.
Before you buy stock in Vanguard International High Dividend Yield ETF, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vanguard International High Dividend Yield ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $334,793!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,257,420!*
Now, it's worth noting Stock Advisor's total average return is 874% — a market-crushing outperformance compared to 209% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of November 2, 2026.
Ben Gran has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
A $1,000 Investment in VYMI Today Could Become $14,632 in 25 Years was originally published by The Motley Fool
