1 The 10 Scariest Things About SCHD High Yield Dividend
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Understanding SCHD: A High Dividend-Paying Stock Worth Considering
In the intricate world of investing, dividend stocks typically stand out as a beneficial choice, particularly for people seeking to earn passive income. Among the standout players in this domain is the Schwab U.S. Dividend Equity ETF (SCHD). This exchange-traded fund concentrates on high dividend-paying U.S. stocks and has gotten a following amongst income-seeking investors. This blog post aims to dive deep into schd dividend rate calculator, exploring its attributes, performance, and what potential investors need to think about.
What Is SCHD?
SCHD is an exchange-traded fund (ETF) that looks for to track the performance of the Dow Jones U.S. Dividend 100 Index. The fund aims to provide exposure to high dividend-yielding stocks while also making sure a step of quality. The underlying goal is not only to provide appealing yields however also to supply long-term capital appreciation.
Key Features of SCHD:FeatureDetailsFund ManagerCharles Schwab Investment ManagementCreation DateOctober 20, 2011Expense Ratio0.06%Dividend YieldAround 4.0% (since the recent quarter)Top Sector ExposuresInfotech, Consumer Discretionary, Health CareTypical Market CapMid to large-cap businessPerformance Insights
Investors typically take a look at both historical efficiency and recent metrics when thinking about any financial investment. Below is a contrast of SCHD's efficiency versus the more comprehensive market and its peer group over various time frames.
Performance TablePeriodschd dividend fortune Total ReturnS&P 500 Total ReturnContrast1 Year12.4%8.6%SCHD outperformed3 Years45.3%56.2%SCHD lagged a little5 Years92.1%104.5%schd dividend wizard lagged somewhatSince Inception209.3%205.0%SCHD somewhat exceeded
These metrics illustrate that SCHD has revealed significant total returns, especially since its creation. While it may not consistently exceed the S&P 500 over whenever frame, its ability to yield dividends regularly makes it a worthy prospect for income-focused investors.
Top Holdings
A diverse portfolio is important for reducing risk while making sure consistent growth. The top holdings in SCHD help accomplish this by representing a variety of sectors. Below are the top 10 holdings as of the current reporting.
Top 10 Holdings TableHoldingTickerWeight %Dividend Yield %Broadcom Inc.. AVGO 4.08 3.46Verizon CommunicationsVZ3.926.51Cisco Systems, Inc.. CSCO 3.82 3.14PepsiCo, Inc.. PEP 3.79 2.77Pfizer Inc.. PFE 3.68 4.86Coca-Cola CompanyKO3.653.09Abbott LaboratoriesABT3.621.69Home Depot, Inc.. HD3.60 2.79Texas Instruments Inc.. TXN 3.57 2.51Merck &amp