Plenty of OUSA holdings have payout increase streaks that can be measured in years or even decades. However, OUSA is versatile in that it can also include some “next-gen” or newer dividend payers. For example, Alphabet (GOOGL) and Apple (AAPL) are the ETF’s largest and third-largest holdings, respectively.
Bottom line: dividends and OUSA are potentially appealing to a broad swath of investors, particularly at a time when inflation remains stubbornly high.
“Dividend-paying investments can play two key roles: providing investors with income to help meet immediate cash needs — something that retirees might increasingly look to them for — and offering potential downside defense during market sell-offs,” concluded Merrill.
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