In addition to light exposure to rate-sensitive sectors, such as utilities, NOBL features a large combined weight to the industrial, materials, financial services and energy sectors, each of which outperformed the S&P 500 during the Fed’s last tightening cycle from 2004 to 2006. [Fighting Rate Hikes With Dividend Growth ETFs]
Dividend stocks and ETFs may also enjoy dividend growth, along with capital appreciation, which could also help an investor maintain his or her nest egg longer. Consequently, with a larger portion of retirement money invested in dividend stocks, an investor would not be forced to withdraw, or sell off assets, from his or her portfolio as quickly to meet annual income needs, assuming if total yields fall short of the target 4% withdrawal rate. [ETF Options to Generate Income for Retirement]
ProShares S&P 500 Aristocrats ETF