3 Dividend ETFs to Buy and Hold Through 2030

"Many dividend investors are exposed to tech more than they realize, thanks to options ETFs. They promise you double-digit yields partial exposure to big-name indices. If the market does go through a correction in the near term, it will be a tall order for these ETFs to recover their losses, as they are often fully exposed to downside risk. Buying alternative ETFs like the following three can add much-needed ballast."

"The iShares Select Dividend ETF tracks the Dow Jones U.S. Select Dividend Index. This gives it exposure to U.S. stocks with relatively high dividend yields and a history of increasing dividend payments. It is passive and holds 100 stocks. It has the most exposure to the utilities sector at 26.82%, with the biggest holding having a weight of just 2.64%. DVY has gained 5.62% year-to-date without counting the dividends and has lagged the broader market in recent years due to the tech rally."

DVY, DIVO, and VIG are presented as buy-and-hold dividend ETFs with the resilience to survive severe recessions and recover. Many dividend investors carry unintended tech exposure through options-based yield ETFs, which can promise high yields yet remain fully exposed to downside risk in corrections. Rotating into alternative dividend ETFs can add ballast. DVY tracks the Dow Jones U.S. Select Dividend Index, holds 100 stocks, and tilts 26.82% to utilities; its largest holding weight is 2.64%. DVY yields 3.5% and charges a 0.38% expense ratio ($38 per $10,000). DIVO employs a different approach than option-heavy ETFs.

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