DVY remains alluring for income investors, in part due to a screening methodology that includes dividend growth and payout ratios. On the bright side, recent history shows dividend ETFs can whether the rising Treasury yields storm. That happened in 2013 when Treasury yields surged, but DVY turned in a solid annual performance despite those rising Treasury yields.
Utilities traditionally trade at richer multiples relative to the broader market due to the sector’s defensive traits, but consumer staples are actually more expensive at the moment.
For more news and strategy on the Dividend ETF market, visit our Dividends category.
iShares Select Dividend ETF
Tom Lydon’s clients own shares of DVY.