Related: Get in the Middle for Income With Dividend ETFs
While the Federal Reserve has stated its intentions of hiking interest rates, the time horizon for higher interest rates remains unclear, and investors are still in need of income opportunities. A share buyback program have also been a way to generate returns for investors over the long haul, even during troubled market conditions. With the U.S. rally pushing higher and concerns over a pullback, investors may look to steady income opportunities to increase their exposure to higher quality companies.
DIVB includes a heavy tilt toward tech names at 21.2%, followed by financials 17.3%, consumer discretionary 13.6%, health care 13.3% and industrials 12.2%. Top holdings include Apple 5.1%, Microsoft 3.1%, Johnson & Johnson 2.0%, General Electric 1.8% and JPMorgan Chase 1.8%.
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