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1 The 10 Most Scariest Things About SCHD High Yield Dividend

Understanding SCHD: A High Dividend-Paying Stock Worth Considering
In the complex world of investing, dividend stocks frequently stand out as a favorable choice, especially for individuals seeking to make passive income. One of 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 gained a following among income-seeking investors. This post intends to dig deep into SCHD, exploring its attributes, efficiency, and what potential financiers should consider.
What Is SCHD?
SCHD is an exchange-traded fund (ETF) that looks for to track the efficiency of the Dow Jones U.S. Dividend 100 Index. The fund intends to offer direct exposure to high dividend-yielding stocks while likewise making sure a measure of quality. The underlying goal is not only to offer attractive yields however likewise to provide long-term capital appreciation.
Key Features of SCHD:FeatureInformationFund ManagerCharles Schwab Investment ManagementCreation DateOctober 20, 2011Cost Ratio0.06%Dividend YieldApproximately 4.0% (as of the current quarter)Top Sector ExposuresInfo Technology, Consumer Discretionary, Health CareAverage Market CapMid to large-cap businessEfficiency Insights
Financiers typically look at both historic performance and recent metrics when considering any investment. Below is a contrast of schd dividend value calculator's performance against the broader market and its peer group over various amount of time.
Performance TableTime PeriodSCHD Total ReturnS&P 500 Total ReturnComparison1 Year12.4%8.6%SCHD outperformed3 Years45.3%56.2%schd high yield dividend lagged slightly5 Years92.1%104.5%SCHD lagged a littleConsidering that Inception209.3%205.0%schd annual dividend calculator slightly surpassed
These metrics highlight that SCHD has shown significant total returns, especially considering that its inception. While it might not regularly outperform the S&P 500 over each time frame, its ability to yield dividends regularly makes it a worthwhile candidate for income-focused investors.
Top Holdings
A diverse portfolio is crucial for lessening danger while guaranteeing consistent growth. The top holdings in SCHD help accomplish this by representing a range of sectors. Below are the top 10 holdings as of the latest 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