This Vanguard Sector ETF Yields 3%. Here's Why It's a Buy in August.
Want broad-based exposure to a theme but don't know where to begin? Sector exchange-traded funds (ETFs) may be right for you.
Sector ETFs offer a way to invest in an entire sector. For example, if you wanted to own a piece of hundreds of tech stocks -- from software to hardware to semiconductors and more -- there's the Vanguard Information Technology ETF. Vanguard has a low-cost ETF for all 11 sectors and they all have just a 0.1% expense ratio.
One that is worth a closer look right now is the Vanguard Energy ETF (NYSEMKT: VDE), which has pulled back from highs earlier in the year, pole-vaulting its yield up to 3%. Here's why it stands out as one of the best sector ETFs now for generating passive income from dividend stocks.
Source Fool.com