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1 The 10 Scariest Things About SCHD High Yield Dividend

Understanding SCHD: A High Dividend-Paying Stock Worth Considering
In the intricate world of investing, dividend stocks typically stand out as a favorable choice, particularly for individuals seeking to earn passive income. Among the standout gamers 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 among income-seeking financiers. This blog post intends to dive deep into SCHD, exploring its qualities, efficiency, and what possible investors need to consider.
What Is SCHD?
SCHD is an exchange-traded fund (ETF) that seeks to track the performance of the Dow Jones U.S. Dividend 100 Index. The fund aims to offer exposure to high dividend-yielding stocks while also ensuring a measure of quality. The underlying objective is not only to provide attractive yields but also to supply long-lasting capital gratitude.
Key Features of SCHD:FeatureDetailsFund ManagerCharles Schwab Investment ManagementCreation DateOctober 20, 2011Expense Ratio0.06%Dividend YieldAround 4.0% (as of the recent quarter)Top Sector ExposuresInfotech, Consumer Discretionary, Health CareTypical Market CapMid to large-cap companiesEfficiency Insights
Investors often take a look at both historical performance and recent metrics when considering any investment. Below is a contrast of SCHD's efficiency against the wider market and its peer group over numerous time frames.
Efficiency TableTime Periodschd ex dividend date calculator Total ReturnS&P 500 Total ReturnComparison1 Year12.4%8.6%SCHD outshined3 Years45.3%56.2%SCHD lagged slightly5 Years92.1%104.5%schd dividend aristocrat lagged slightlyGiven that Inception209.3%205.0%SCHD a little outperformed
These metrics show that SCHD has shown considerable total returns, particularly since its creation. While it may not consistently outshine the S&P 500 over whenever frame, its capability to yield dividends regularly makes it a worthwhile candidate for income-focused financiers.
Top Holdings
A diverse portfolio is vital for decreasing risk while ensuring stable growth. The top holdings in schd high yield dividend assistance attain this by representing a range 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