QDF emphasizes the quality factor where a company’s ability to generate free cash, dividend growth and stability are integral factors. The ETF tries to reflect the performance of the Northern Trust Quality Dividend Index, which holds high-quality income-oriented U.S. companies with a targeted overall beta similar to the Northern Trust 1250 Index, or the parent index. QDF’s quality emphasis implies a safer payout and more room for potential dividend growth. The fund comes with a 3.16% 12-month yield.
On the other hand, QDYN targets companies with an overall beta that is between 1.0 to 1.5 times that of the parent index. The higher beta range means this dividend ETF may exhibit larger swings or volatility, but investors are rewarded with a higher dividend payout. QDYN has a 4.17% 12-month yield.
Additionally, QDEF includes companies with an overall beta that is between 0.5 to 1.0 times that of the parent index. The low beta component may be more suitable for more conservative investors who want less exposure to market volatility, but QDEF has a lower 3.10% 12-month yield.
Click here to read more on on Iris.xyz.