FDVV, SCHD, and JEPI Look Like Great Buys Together

"First, we have the Fidelity High Dividend ETF ( NYSEARCA:FDVV), a 3.1%-yielding ETF that I view as a top pick for investors who want a decent payout without having to settle on limited capital appreciation. Over the past two years, the FDVV has gained just north of 48%. That's a pretty impressive performance that's nearly kept up with the S&P 500."

"Of course, if an AI correction happens, the FDVV could underperform relative to dividend-focused ETFs with far less tech exposure. Either way, I think the FDVV is a great way to do well over the long term by allowing for more income without requiring investors to shut out (at least for the most part) the top tech innovators that stand to gain the most as the AI revolution plays out."

"In short, the FDVV is a 3.1%-yielder with a slight tech tilt relative to most other income ETFs out there. Given the productivity gains that AI can provide to the broad economy, I think such a mild tech tilt ought to be desirable. Not to mention the potential for faster distribution growth as tech trends lead to greater profitability in the near- and distant-future."

An abundance of dividend ETFs has expanded choice and pushed expense ratios to very low levels. Investors can target specific outcomes such as higher yield, lower volatility, or defensive growth by combining complementary ETFs. The Fidelity High Dividend ETF (FDVV) yields about 3.1% and pairs a modest technology tilt with near-market capital appreciation, having gained roughly 48% over two years. That tech exposure could drive outperformance if AI-related gains persist, or underperformance if an AI correction occurs. Combining FDVV with other income-focused ETFs can balance income, growth potential, and risk.

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