Retirees Banking on Quarterly Income Choose HDV Over Growth Funds for Its Defensive Holdings
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Retirees Banking on Quarterly Income Choose HDV Over Growth Funds for Its Defensive Holdings
"When income matters more than growth, retirees turn to funds that deliver quarterly checks without volatility. The iShares Core High Dividend ETF ( NYSEARCA:HDV) yields 3.3%, triple the S&P 500's 1.03%. That difference translates to predictable cash flow for investors who need their portfolio to pay bills. Built for Income, Not Speculation HDV tracks 75 U.S. companies screened for dividend sustainability and financial health. The fund concentrates in defensive sectors where cash flow holds up when growth stocks stumble."
"Consumer staples make up 23.7% of holdings, healthcare 22.1%, and energy 21.9%. These three sectors represent two-thirds of the portfolio. Top holdings include Exxon Mobil ( NYSE:XOM) at 8.9%, Johnson & Johnson ( NYSE:JNJ) at 7.1%, and AbbVie ( NYSE:ABBV) at 6.2%. These are established dividend payers with decades of operating history. The fund's 0.08% expense ratio keeps costs low."
HDV is an ETF that tracks 75 U.S. companies screened for dividend sustainability and financial health, offering a 3.3% yield. The portfolio concentrates in defensive sectors: consumer staples (23.7%), healthcare (22.1%), and energy (21.9%), which together form about two-thirds of holdings. Top positions include Exxon Mobil (8.9%), Johnson & Johnson (7.1%), and AbbVie (6.2%). The fund has a 0.08% expense ratio and has paid consistent quarterly dividends ($4.115 in 2024; $3.911 in 2025 through December). HDV gained roughly 11% in 2025 including dividends. The fund exposes investors to commodity risk via its heavy energy weighting and shows modest dividend growth.
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