The Schwab U.S. Dividend Equity ETF (SCHD) offers nearly 4% yield, balancing income and growth, making it a top choice for dividend-focused investors. However, while SCHD is popular, there are other ETFs like FDVV and DIV that may be better options for different investment strategies. Investors should consider factors such as dividend health, growth potential, and volatility, rather than solely focusing on past performance or yields. Choosing the right ETF depends on individual investor goals and preferences.
The Schwab U.S. Dividend Equity ETF (SCHD) is one of the gold standards as far as dividend-focused ETFs are concerned. With a nearly 4% yield, the American equity basket delivers on the income front while also allowing for a good amount of growth.
When looking at dividend ETFs, it's not all about the size of the yield. Investors must also consider the value to be had, the dividend health, growth potential, and, of course, the magnitude of volatility to be expected.
While the SCHD is still a passive retail investor favorite that makes sense to buy in almost any market environment, there are other impressive ETF offerings out there that measure up quite well.
It's not hard to imagine many new passive investors are simply content with going with the highest-yielding one that's had the best performance over the past two, three, five, or ten years.
Collection
[
|
...
]