Invested $1,000 in the Vanguard Australian Shares ETF (VAS) 5 years ago? Here's how much dividend income you've received

Has the popular ETF really returned 40% in five year?

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Key points

  • The Vanguard Australian Shares ETF has gained 16.6% over the last five years to trade at $90 a unit today
  • Meanwhile, it's paid out $18.66 per unit in dividends 
  • That leaves the popular ETF having returned more than 40% in the last half-decade 

The last five years have been good for the Vanguard Australian Shares ETF (ASX: VAS).

The exchange-traded fund (ETF) tracking the S&P/ASX 300 Index (ASX: XKO) has seen its unit price shoot 16.5% higher in that time.

The VAS ETF was trading at $77.28 in January 2018. At that price, $1,000 would have bought 12 units, leaving an investor with around $73 in change.

Today, its units are swapping hands for $90 apiece. That means our figurative parcel would now be worth $1,080.

Created with Highcharts 11.4.3Vanguard Australian Shares Index ETF PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.com.au

For comparison, the ASX 300 has gained 20.3% in that time.

But how much has the VAS ETF returned when we also factor in the dividends it's handed out in that time? Let's take a look.

How much has the VAS ETF paid in dividends in 5 years?

Here are all the dividends offered by the Vanguard Australian Shares ETF over the last half-decade, rounded to the nearest cent:

VAS dividends' pay dateDividend value
October 2022$1.45
July 2022$2.16
April 2022$2
January 202270 cents
October 2021$1.41
July 202156 cents
April 202177 cents
January 202143 cents
October 202057 cents
July 202021 cents
April 202067 cents
January 202072 cents
October 2019$1.07
July 201982 cents
April 201992 cents
January 201971 cents
October 2018$1.12
July 2018 $1.02
April 201867 cents
January 201868 cents
Total:$18.66

As the chart above shows, each Vanguard Australian Shares ETF unit has provided $18.66 in dividends over the last five years.

That means our 12-unit-strong parcel likely yielded $223.92 in that time – or around 24% of its purchase price.

Further, the ETF has returned 40.6% since January 2018 when we tally both dividends and share price gains. That's certainly nothing to scoff at.

And those returns might have been bolstered if our imagined investor had reinvested their dividends, thereby compounding their holding.

Right now, the Vanguard Australian Shares ETF is trading with a 7% dividend yield.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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