Dividend ETFs are essential for investors seeking both stability and high yields. They diversify investments across numerous high-quality stocks with a reliable history of paying dividends. Notably, these ETFs tend to perform better during economic downturns, making them ideal for long-term growth and providing a cushion during recessionary periods. A prominent example includes the Schwab US Dividend Equity ETF (SCHD), which boasts a 3.86% yield and offers competitive returns while minimizing risk and expense ratios. This strategy supports both reinvestment for compounding growth and immediate income generation.
These ETFs will spread your money across dozens or even hundreds of stocks that have a strong record of returning cash to investors.
The dividend yield here is 3.86% at the moment, and these dividends have grown at less volatility than a broad-market index.
Collection
[
|
...
]