Before jumping in, investors should note key differences between the ETFs. For example, VOX only charges 0.14% per year in fees, well below the 0.46% charged by IYZ. However, IYZ is less concentrated although it only holds 26 stocks. The iShares offering allocates about 19% of its combined weight to Dow components AT&T and Verizon. VOX devotes 46.2% of its weight to those stocks.
With the higher weights to long-time dividend payers (and payout growers) AT&T and Verizon, VOX has a higher 30-day SEC yield at 3.05% compared to 2.74% for IYZ.
Vanguard Telecom Services ETF
ETF Trends editorial team contributed to this post.