Why This Dividend ETF Continues to Work

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“The portfolio turnover of this ETF for the latest fiscal year stood at 19%. This turnover is quite low and would help investors minimize their tax burden by not being exposed to high amounts of capital gains as compared to other funds with a higher turnover,” according to a Seeking Alpha analysis of SCHD.

A dividend increase streak is useful for getting investors interested in a stock or ETF, but there has to be more meat on the bone to sustain that dividend growth. SCHD features that added meat by focusing on other quality factors such as return on equity, cash flow to debt ratios, dividend yield and five-year dividend growth.

Schwab US Dividend Equity ETF

Tom Lydon’s clients own shares of SCHD.