HSBC vs VBF: Which Is the Better Dividend Stock?
As of Oct 13, 2026, HSBC (HSBC Holdings plc) screens as the stronger dividend stock, winning 5 of 7 head-to-head metrics. VBF offers the higher yield at 5.85%, HSBC has the higher dividend-safety score, and HSBC looks like the better value (its fair-value estimate is 44% above its share price).
Key facts: HSBC vs VBF
Data as of · Source: SmarterDividends data
- As of Oct 13, 2026, Invesco Bond Fund (VBF) has the higher forward dividend yield at 5.85%, versus 4.03% for HSBC Holdings plc (HSBC).
- As of Oct 13, 2026, SmarterDividends grades HSBC's dividend safety B (72/100) and VBF's C (57/100).
- As of Oct 13, 2026, HSBC pays out 54% of its earnings as dividends and VBF pays out 83%.
- As of Oct 13, 2026, HSBC's fair-value estimate is 44% above its share price and VBF's fair-value estimate is 4% below its share price, so HSBC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "HSBC vs VBF: Dividend Yield, Safety & Value Compared," updated Oct 13, 2026, https://smarterdividends.com/compare/hsbc-vs-vbf
| Metric | HSBC | VBF |
|---|---|---|
| Forward yield | 4.03% | 5.85% |
| Annual dividend | $3.75 | $0.83 |
| Payout ratio | 54% | 83% |
| Years of growth | 0 yr | 0 yr |
| 5-yr dividend growth | -13.8% | 2.2% |
| 5-yr total return | 209% | -31% |
| Dividend safety score | 72 (B) | 57 (C) |
| Fair value estimate | $136.01 | $13.63 |
| Upside to fair value | +44% | -4% |
| Frequency | quarterly | monthly |
| Market cap | $322.6B | $162.9M |
| P/E ratio | 13.5 | 14.1 |
Higher yield
VBF
5.85%
Safer dividend
HSBC
Grade B
Faster growth
VBF
2.2%
Better value
HSBC
+44% upside
HSBC vs VBF — FAQ
Is HSBC or VBF a better dividend stock?
On the data, HSBC wins more head-to-head categories (5 vs 2). VBF offers the higher yield (5.85%), while HSBC has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, HSBC or VBF?
VBF has the higher forward dividend yield at 5.85%, versus 4.03% for HSBC.
Is HSBC or VBF safer?
HSBC has the higher dividend-safety score (72/100 vs 57/100), reflecting stronger payout coverage and dividend-growth history.
Is HSBC or VBF better value right now?
As of Oct 13, 2026, HSBC looks like the better value: its fair-value estimate is 44% above its share price (undervalued). For VBF, its fair-value estimate is 4% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.