“Recent growth has been strong—with over $43 billion from the bottom in 2009 after the cuts through today. The latest increase came after the Fed’s approval of their stress test results. On the other hand, financials are still over $22 billion short of their November 30, 2007, high—the only sector that is still below its pre-financial crisis highs,” says Zimmerman.
The FlexShares Quality Dividend Dynamic Index Fund (NYSEArca: QDYN) is an idea to consider for the investor looking to capitalize on financial services and tech dividend growth as those sectors combine for 36% of the ETF’s weight.
QDYN, unlike many of its dividend ETF rivals, is also light on the consumer staples sector. QDYN’s holdings “are selected based on expected dividend payment and fundamental factors such as profitability, solid management, and reliable cash flow,” according to FlexShares. [A Dividend ETF That Tops Rising Rates]
The $61.1 million ETF has a weighted average dividend yield of 3.27% and six of its top 17 holdings are either tech or bank stocks. QDYN is up nearly 33% since debuting in December 2012.
WisdomTree U.S. Dividend Growth Fund Sector Weights