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Income & Dividends

Receive a regular income

SimpleLong termTOB 0.12%

Selection of global companies with high dividends. Distributes dividends regularly, providing an income stream. Tax-inefficient compared to an accumulating ETF in Belgium.

⚠️ Distributing ETF: dividends received are subject to a 30% tax in Belgium. This strategy suits investors wanting regular income, but it is less tax-efficient than an accumulating ETF.

Key facts

TOB0.12%on purchase and sale
Weighted average TER0.29%annual management fees
Securities (~)~1 500companies worldwide
Historical return~7.8% / yr2005–2025
Reynders taxNot applicable
DividendsDistributed (30%)

Total return before 30% tax on dividends. After Belgian taxation, the effective return is significantly lower

Portfolio composition

VHYL100%Dist.

Vanguard FTSE All-World High Dividend Yield UCITS ETF (Dist)

ISIN: IE00B8GKDB10

TER 0.29%View on justETF↗

Average yearly return

Index · EUR · gross · past performance
1 yr
+6.5%
3 yrs
+13.8%
5 yrs
+11.2%
10 yrs
+9.8%

Source: FTSE All-World High Dividend Yield Index (EUR, gross div reinvested). Annualized returns to end-2025, EUR, gross of Belgian taxes (TOB, précompte mobilier, CGT) and ETF fees (TER). Past performance does not guarantee future results.

* Return calculated from weighted underlying indices. May differ slightly from actual ETF performance.

Why this strategy?

  • 1Regular passive income: VHYL pays dividends quarterly (~4%/year dividend yield) — useful for investors needing regular liquidity without selling their shares.
  • 2Income-oriented global diversification: the ETF selects global companies with high dividends — utilities, financials, energy — in ~50 developed and emerging countries.
  • 30.12% TOB: VHYL benefits from the reduced 0.12% TOB, unlike some equivalent ETFs.
  • 4⚠️ Important tax warning: in Belgium, each ETF dividend received is subject to 30% withholding tax from the very first cent. The exemption on the first €833 of annual dividends applies only to individual shares — not to ETFs or investment funds. This exclusion is explicit in Belgian tax law. On a ~4% dividend yield, this tax represents ~1.2% in extra annual costs compared to an equivalent accumulating ETF — a significant impact over 20 years.

Alternatives & comparisons

IWDA

iShares Core MSCI World UCITS ETF Acc

TER 0.20%TOB 0.12%Acc.
IE00B4L5Y983↗

Advantages

  • +Zero withholding tax on dividends (accumulating)
  • +Historically higher total return (growth + reinvested dividends)
  • +Same global developed exposure

Disadvantages

  • −No regular income — shares must be sold to obtain liquidity
  • −Dividends less visible
Verdict : For almost all Belgian investors in the accumulation phase, IWDA is more tax-efficient than VHYL over the long term.
VHYA

Vanguard FTSE All-World High Dividend Yield UCITS ETF (USD) Accumulating

TER 0.29%TOB 0.12%Acc.
IE00BK5BR626↗

Advantages

  • +Same high-dividend strategy but accumulating
  • +No withholding tax on dividends
  • +Solid AUM (~€3bn)

Disadvantages

  • −Identical TER to VHYL (0.29%)
  • −Less liquid than VHYL
Verdict : If you like VHYL's dividend selection but want to avoid the withholding tax, VHYA is the official accumulating version — more tax-appropriate for Belgian investors.

Tax disclaimer

0.12% TOB on purchase and sale. 30% withholding tax on each dividend payment, from the very first cent. Important: the exemption on the first €833/year of dividends does not apply to ETFs or funds — only to individual shares held directly. This recurring tax burden significantly reduces the net return compared to an equivalent accumulating ETF. Rates used are indicative — past performance does not guarantee future results.
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