Motley Fool analysts believe that the Vanguard Dividend Appreciation ETF (VIG) offers better long-term wealth-building potential than the Schwab U.S. Dividend Equity ETF (SCHD).

An analyst at the financial media outlet The Motley Fool released a report comparing the wealth-building potential of the Schwab U.S. Dividend ETF (SCHD) and the Vanguard Dividend Appreciation ETF (VIG) over the next 20 years. The analyst believes that VIG has greater potential to outperform SCHD over the long term due to its relatively stronger growth and technology bias. SCHD primarily screens for stocks with healthy balance sheets and high dividend yields, while VIG focuses on companies that have increased their dividends for at least 10 consecutive years; its market-capitalization-weighted approach gives it a greater bias toward growth and technology stocks.