VIG dividend yield: 1.29%. ARCC dividend yield: 9.06%. VIG tracks companies that have grown their dividends for 10+ consecutive years — the definition of dividend quality. With 315+ holdings and 0.06% expense ratio, it's a core holding for dividend growth investors. Lower current yield but superior long-term dividend growth versus high-yield alternatives. Ares Capital is the largest Business Development Company by assets. It provides financing to middle market companies and pays a generous quarterly dividend plus occasional special dividends. With $21B+ in AUM and diversified exposure across industries, ARCC is the benchmark BDC for income investors.
VIG tracks companies that have grown their dividends for 10+ consecutive years — the definition of dividend quality. With 315+ holdings and 0.06% expense ratio, it's a core holding for dividend growth investors. Lower current yield but superior long-term dividend growth versus high-yield alternatives.
Ares Capital is the largest Business Development Company by assets. It provides financing to middle market companies and pays a generous quarterly dividend plus occasional special dividends. With $21B+ in AUM and diversified exposure across industries, ARCC is the benchmark BDC for income investors.
Is VIG or ARCC better for dividend income in 2026?
VIG currently offers a 1.29% yield (2.40/share/year) while ARCC offers 9.06% (1.92/share/year). ARCC provides higher current income. However, VIG has grown its dividend faster (9.2% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in VIG vs ARCC earn per year?
With $10,000 invested today: VIG pays approximately $129/year. ARCC pays approximately $906/year. With DRIP reinvestment over 10 years, these grow to $346/year (VIG) and $2,279/year (ARCC).
Does VIG or ARCC pay monthly dividends?
VIG pays quarterly dividends. ARCC pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.
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