VAS - Vanguard Australian Shares Index ETF

[sptrawler]

Vanguards VAS and VAP ETF's are doing exceptionally well, so far this year 19% each.
The amount of money getting sent into these ETF's must be a bit of a concern, they are obviously going to have a big impact on the market, if there is a correction. IMO
Having said that, they may well be great to try and pick the bottom, if the 'mother' of all corrections happens.

 

[Belli]

Back in March I added some more VAS to my holding. I noticed yesterday the distribution for the June quarter will be about $0.20 compared with $0.80 pcp. Interesting impact Covid-19 has had on many companies.

 

[sptrawler]

Back in March I added some more VAS to my holding. I noticed yesterday the distribution for the June quarter will be about $0.20 compared with $0.80 pcp. Interesting impact Covid-19 has had on many companies.

The reality of dividends, hasn't yet hit those that rely on them yet, it is going to be a terrible year for some.

 

[Belli]

The reality of dividends, hasn't yet hit those that rely on them yet, it is going to be a terrible year for some.

Yeah, one reason I don't have only ETFs. No reserves whereas the LICs I hold do.

 

[sptrawler]

Yeah, one reason I don't have only ETFs. No reserves whereas the LICs I hold do.

It is times like this, that people gain the experience to make wise decisions, things don't always go up and things don't always recover quickly.
I'm with you on the lic's.

 

[Belli]

VAS, VGS and other Vanguard ETFs have provided estimated distributions for the period ending 30 September.

For VAS it is $0.570344 per Unit.

Down from $1.07096 for September last year. The reduction isn't surprising considering the economic conditions at the moment.

For VGS, the distribution is approximately the same as per last September.

Hold both.

 

[Belli]

Vanguard has announced estimated distributions for its ETFs.

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02326954-2A1272561?access_token=83ff96335c2d45a094df02a206a39ff4

VAS is 43.42c. For the same quarter last year it 72.1c so it is down by 40%.

I hold VAS and didn't have any expectation the result would be spectacular.

 

[Dona Ferentes]

Vanguard has announced estimated distributions for its ETFs.

VAS is 43.42c. For the same quarter last year it 72.1c so it is down by 40% ..... didn't have any expectation the result would be spectacular.

As ETFs can only pass through income, that would have been expected, with the last few quarters seeing many companies delaying, postponing reducing or temporarily suspending dividends altogether.

Also, elsewhere, @Belli wrote

My only real bugbear with these is waiting until the Annual Tax Statements become available

Again, as the sum of its parts, accounts can't be prepared until ALL components are received.

For these two reasons, I prefer the LIC path

 

[Belli]

As ETFs can only pass through income, that would have been expected, with the last few quarters seeing many companies delaying, postponing reducing or temporarily suspending dividends altogether.

Also, elsewhere, @Belli wrote Again, as the sum of its parts, accounts can't be prepared until ALL components are received.

For these two reasons, I prefer the LIC path

I also hold a number of LICs as I've previously mentioned as with ETFs, they are required to empty the "bank account" for each distribution as they are tax through entities whereas LICs have profit reserves which can be used to support dividends for a period

Was useful attribute during the GFC - which is still with us really as such events have a very long tail.

I buy VAS when my prefered LICs are above NTA by a margin greater than 5%.

 

[Belli]

VAS has announced the estimated distribution for the September quarter is $1.412147 and is payable on 18 October.

This compares with $0.548148 for the pcp.

 

[Belli]

Holders of VAS will find out soon enough the distribution for the December quarter. However, as an indication, STW (ASX200) announced yesterday its estimated distribution is $0.465772 per unit. This compares with the actual of $0.382029 for the previous December quarter.

It would imply VAS distribution (should it increase by the same percentage) will be around the $0.53 mark.

 

[Belli]

Holders of VAS will find out soon enough the distribution for the December quarter. However, as an indication, STW (ASX200) announced yesterday its estimated distribution is $0.465772 per unit. This compares with the actual of $0.382029 for the previous December quarter.

It would imply VAS distribution (should it increase by the same percentage) will be around the $0.53 mark.

That was a poor guess. Estimated distribution is $0.696543 per unit. Payable 19 January.

 

[divs4ever]

PLEASE CROSS RELEASE TO ALL BELOW COMPANY CODES

Vanguard Investments Australia Limited announces the following:
• Vanguard Australia Shares Index ETF (ASX: VAS) (ARSN: 090 939 718)
• Vanguard Australian Shares High Yield ETF (ASX: VHY) (ARSN: 091 751 807)
• Vanguard MSCI Australian Large Companies Index ETF (ASX: VLC) (ARSN: 147 936 105)
On 17 August 2021, BHP announced their intention to unify its dual-listed company structure into a single entity, BHP Limited,
incorporated in Australia. Under this unification proposal, shares in BHP Plc would be exchanged for a depositary interest for
shares in BHP Limited on a one-for-one basis. This proposal is subject to shareholders in BHP Group Limited and BHP Group Plc
voting in favour of the company’s proposal at meetings scheduled for 20 January 2022.
To prepare for the proposed unification, from 17 January 2022 Vanguard Investments Australia (VIA) will be able to acquire
BHP Plc shares on the London Stock Exchange to support the investment strategies of the above-named Funds.
Under the BHP proposal, any shares in BHP Plc that VIA acquires will be exchanged for depository interests in BHP Limited,
listed on the London Stock exchange. If approved, the unification is scheduled to be complete on 31 January 2022 at which time
VIA will commence the process to transition the depository interests into ASX listed BHP Limited shares.
US E-mini Index Futures
Vanguard Investments Australia (VIA) will also be able to use US E-mini Index Futures in the period leading up to, and on the
date of BHP’s unification, to maintain fund liquidity, manage market exposure and cash flows, while supporting broader
funding requirements.
Currency Risk
Acquisition of BHP Plc and US E-minis will result in direct exposure to the US and UK markets, which will introduce a small
amount of currency risk. Currency risk is the chance that the value of a foreign investment, measured in Australian dollars, will
decrease because of unfavourable changes in currency exchange rates.
Investment strategy and investment return objective
These short-term changes are consistent with the investment strategy and investment return objectives of the funds, and,
given the significance of the anticipated impact of the proposed unification on the Australian equities market, are being made
in the best interest of investors.
Adjustment to index methodology of the Vanguard Australian Shares High Yield Fund and ETF (VHY)
The Vanguard Australian Shares High Yield ETF (VHY) tracks the FTSE Australia High Dividend Yield Index. This index applies a
10% maximum weighting to any one company when the index is rebalanced semi-annually. To maintain these diversification
17 January 2022
requirements, a 10% cap will be applied to BHP based on the closing price on 21 January 2022. On the effective date, Vanguard
fund weightings in BHP may be over 10% due to market movements.
Please ensure that you refer to the relevant product disclosure statements when making an investment decision.

==========================================================================================================

DYOR

i hold VHY and VAS ( and BHP directly )

well have to think about this i was planning to exit both VAS and VHY shortly after the div. payment date

 

[Belli]

Estimated distribution of 199.8517c per unit announced. Payable 20 April.

 

[Belli]

Estimated distribution of 199.8517c per unit announced. Payable 20 April.

First, I'm OK with accepting a distribution of $2 per unit. No problems with that at all. What is curious is the why.

VAS tracks the ASX 300 and its pcp distribution was $0.77 per unit. STW tracks the ASX 200 yet its current distribution is $0.72c per unit (pcp $0.57.)

A big disparity in current distributions between VAS v STW and the additional 100 companies in VAS would not likely account for that. Maybe each has accommodated the BHP action in a different way.

Doesn't really matter. More than happy to receive a substantial amount in the account on the 20th.

 

[KevinBB]

A big disparity in current distributions between VAS v STW and the additional 100 companies in VAS would not likely account for that. Maybe each has accommodated the BHP action in a different way.

An initial guess as to the cause of the disparity is that the 300 companies in VAS paid more dividends during the last quarter than the 200 companies in STW.

VAS and STW, being trusts, are required to distribute those dividends. Now, whether the distribution is in cash or in kind, or quarterly or annually, is up to the trust, but the distribution has to be made.

KH

 

[Belli]

The ASX 200 accounts for approx 80% of the market whereas the ASX 300 accounts for around 82%. I cannot see how that additional 2% would account for an increase of 150% over the pcp distribution for VAS when the STW increase was 37% over pcp distribution.

Vanguard announced it was buying BHP LLC on the London market before the relocation. STW when I checked was silent on that aspect. Interestingly VAS advises its latest turnover ratio is 0.82% while that for STW is above 2%.

I'll look at the distribution components when Vanguard provides it as that may have a clue. Only a curiosity on my part.

 

[divs4ever]

The ASX 200 accounts for approx 80% of the market whereas the ASX 300 accounts for around 82%. I cannot see how that additional 2% would account for an increase of 150% over the pcp distribution for VAS when the STW increase was 37% over pcp distribution.

Vanguard announced it was buying BHP LLC on the London market before the relocation. STW when I checked was silent on that aspect. Interestingly VAS advises its latest turnover ratio is 0.82% while that for STW is above 2%.

I'll look at the distribution components when Vanguard provides it as that may have a clue. Only a curiosity on my part.

what about M&A activity ( especially in the mid caps ) depending on the timing of div. calculation that might help narrow the difference

in theory STW should have held slightly more BHP percentage wise ( but some clever buying of BHP might have made some difference bought cheap in London sold the excess at a fair price on the ASX )

now also you should be looking at VHY as well in this comparison because VHY holds more ( percentage wise ) BHP than either VAS or STW

maybe VAS was bringing extra cash by lending out the portfolio holdings ( as it has openly declared it will do from time to time )

 

[divs4ever]

STW Total Holdings 209

SPDR S&P/ASX 200, seeks to closely match, before fees and expenses, the returns of the S&P/ASX 200 Index. Our approach is designed to provide portfolios with low portfolio turnover, accurate tracking, and lower costs.

Top 10 Holdings

CODE	COMPANY	ASSET
BHP	BHP Group Ltd	10.92%
CBA	Commonwealth Bank of Australia	7.38%
CSL	CSL Ltd	5.75%
NAB	National Australia Bank Ltd	4.39%
WBC	Westpac Banking Corp	3.71%

CODE	COMPANY	ASSET
ANZ	Australia and New Zealand Banking Group Ltd	3.40%
MQG	Macquarie Group Ltd	2.96%
WES	Wesfarmers Ltd	2.52%
--	Spi 200 Futures Mar22 Xsfe 20220317	2.33%
TLS	Telstra Corp Ltd	2.18%

interesting they hold so many futures contracts , currently

TYPE	CPS	FRANKED	EX-DIV DATE	PAY DATE
Interim	71.910	90.00%	30/03/2022	12/04/2022
Interim	46.580	71.00%	30/12/2021	13/01/2022
Interim	105.660	88.00%	29/09/2021	12/10/2021
Final	54.310	40.00%	29/06/2021	12/07/2021
Interim	51.730	88.00%	30/03/2021	14/04/2021
Interim	38.200	74.00%	30/12/2020	13/01/2021
Interim	42.970	85.00%	29/09/2020	12/10/2020
Final	10.970	52.00%	29/06/2020	10/07/2020
Interim	47.240	83.00%	30/03/2020	14/04/2020
Interim	60.070	62.00%	30/12/2019	13/01/2020

VAS Total Holdings 312

The ETF seeks to track the return (income and capital appreciation) of the S&P/ASX 300 Index before taking into account fund fees, expenses, and tax. The S&P/ASX 300 Accumulation Index is a free-float adjusted capitalisation weighted index of approximately 300 Australian equities (shares) representing over 90 per cent of the value of all Australian based companies and property trusts listed on the ASX.

Top 10 Holdings

CODE	COMPANY	ASSET
BHP	BHP Group Ltd	11.01%
CBA	Commonwealth Bank of Australia	7.43%
CSL	CSL Ltd	5.80%
NAB	National Australia Bank Ltd	4.43%
WBC	Westpac Banking Corp	3.72%

CODE	COMPANY	ASSET
ANZ	Australia and New Zealand Banking Group Ltd	3.42%
MQG	Macquarie Group Ltd	2.98%
WES	Wesfarmers Ltd	2.55%
TLS	Telstra Corp Ltd	2.19%
RIO	Rio Tinto Ltd	2.04%

TYPE	CPS	FRANKED	EX-DIV DATE	PAY DATE
Interim	199.850	--	01/04/2022	20/04/2022
Interim	69.650	63.00%	04/01/2022	19/01/2022
Interim	140.730	87.00%	01/10/2021	18/10/2021
Final	55.640	50.00%	01/07/2021	16/07/2021
Interim	77.000	81.00%	01/04/2021	20/04/2021
Interim	43.420	79.00%	04/01/2021	19/01/2021
Interim	56.840	84.00%	01/10/2020	16/10/2020
Final	20.600	52.00%	01/07/2020	16/07/2020
Interim	67.270	78.00%	01/04/2020	20/04/2020
Interim	72.140	68.00%	02/01/2020	17/01/2020

VHY Total Holdings 67

The fund employs an index management strategy designed to track the return (income and capital appreciation) of the FTSE ASFA Australia High Dividend Yield Index. To closely track the index, the fund will aim to hold all of the securities in the index (at most times) allowing for individual security weightings to vary marginally from the index from time to time. The fund may invest in securities that have been or are expected to be included in the index.

Top 10 Holdings

CODE	COMPANY	ASSET
BHP	BHP Group Ltd	10.36%
CBA	Commonwealth Bank of Australia	9.74%
NAB	National Australia Bank Ltd	7.19%
WES	Wesfarmers Ltd	6.82%
WBC	Westpac Banking Corp	6.01%

CODE	COMPANY	ASSET
TLS	Telstra Corp Ltd	5.88%
ANZ	Australia and New Zealand Banking Group Ltd	5.57%
RIO	Rio Tinto Ltd	5.49%
TCL	Transurban Group	4.83%
MQG	Macquarie Group Ltd	4.64%

TYPE	CPS	FRANKED	EX-DIV DATE	PAY DATE
Interim	82.810	--	01/04/2022	20/04/2022
Interim	48.210	84.00%	04/01/2022	19/01/2022
Interim	158.570	93.00%	01/10/2021	18/10/2021
Final	32.830	86.00%	01/07/2021	16/07/2021
Interim	82.720	92.00%	01/04/2021	20/04/2021
Interim	42.900	92.00%	04/01/2021	19/01/2021
Interim	56.900	92.00%	01/10/2020	16/10/2020
Final	22.660	73.00%	01/07/2020	16/07/2020
Interim	63.240	95.00%	01/04/2020	20/04/2020
Interim	65.790	80.00%	02/01/2020	17/01/2020

 

[divs4ever]

A200 Total Holdings 197

The Index is designed to provide exposure to 200 of the largest companies listed on the ASX, based on their free float-adjusted market capitalisation. The Fund will seek to achieve the investment objective by adopting a âfull replicationâ strategy.


Top 10 Holdings

CODE	COMPANY	ASSET
BHP	BHP Group Ltd	11.70%
CBA	Commonwealth Bank of Australia	7.87%
CSL	CSL Ltd	5.87%
NAB	National Australia Bank Ltd	4.68%
WBC	Westpac Banking Corp	4.14%

CODE	COMPANY	ASSET
ANZ	Australia and New Zealand Banking Group Ltd	3.63%
MQG	Macquarie Group Ltd	3.20%
WES	Wesfarmers Ltd	2.68%
TLS	Telstra Corp Ltd	2.31%
RIO	Rio Tinto Ltd	2.16%

TYPE	CPS	FRANKED	EX-DIV DATE	PAY DATE
Interim	129.790	--	01/04/2022	20/04/2022
Interim	78.560	72.00%	04/01/2022	19/01/2022
Interim	169.920	89.00%	01/10/2021	18/10/2021
Final	56.550	55.00%	01/07/2021	16/07/2021
Interim	89.170	87.00%	01/04/2021	20/04/2021
Interim	62.400	65.00%	04/01/2021	19/01/2021
Interim	68.010	87.00%	01/10/2020	16/10/2020
Final	57.410	46.00%	01/07/2020	16/07/2020
Interim	42.400	90.00%	01/04/2020	20/04/2020
Interim	114.140	61.00%	02/01/2020	17/01/2020

IOZ Total Holdings 203


The Fund invests primarily in Australian listed securities that form the Index. The Index measures the performance of the 200 largest index-eligible stocks listed on the ASX by float-adjusted market capitalisation.

CODE	COMPANY	ASSET
BHP	BHP Group Ltd	11.05%
CBA	Commonwealth Bank of Australia	7.46%
CSL	CSL Ltd	5.82%
NAB	National Australia Bank Ltd	4.44%
WBC	Westpac Banking Corp	3.74%

Top 10 Holdings

CODE	COMPANY	ASSET
ANZ	Australia and New Zealand Banking Group Ltd	3.43%
MQG	Macquarie Group Ltd	2.99%
WES	Wesfarmers Ltd	2.56%
TLS	Telstra Corp Ltd	2.20%
RIO	Rio Tinto Ltd	2.05%

TYPE	CPS	FRANKED	EX-DIV DATE	PAY DATE
Interim	--	--	07/04/2022	21/04/2022
Interim	14.590	67.00%	06/01/2022	18/01/2022
Interim	47.740	88.00%	08/10/2021	20/10/2021
Final	20.360	46.00%	01/07/2021	13/07/2021
Interim	24.960	80.00%	07/04/2021	19/04/2021
Interim	8.400	66.00%	06/01/2021	18/01/2021
Interim	18.110	83.00%	09/10/2020	21/10/2020
Final	9.000	64.00%	01/07/2020	13/07/2020
Interim	19.130	97.00%	07/04/2020	21/04/2020
Interim	18.640	57.00%	06/01/2020	16/01/2020