The $633 million RDIV is heavily allocated to high dividend sectors. Its largest sector weight is 25.5% to utilities while the telecommunications and real estate sectors, also known for their high dividend traits, combine for 27.8% of the fund’s weight. Still, RDIV does feature some cyclical exposure with a combined 41.6% weight to the consumer discretionary and energy sectors.
The average market capitalization of RDIV’s holdings is $37.41 billion. While some high dividend strategies also feature high valuations, RDIV’s price-to-earnings ratio of just over 15 implies a discount to the S&P 500. The ETF yields 4.92%.
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