A great way to protect your portfolio in retirement is through diversification.
In particular, having exposure to a wide range of dividend stocks can be incredibly valuable, as that can drastically reduce your dependency on an individual stock’s payout
Exchange-traded funds (ETFs) can be highly useful for this purpose, as they can hold dozens, hundreds, and even thousands of different stocks. Through just a single investment, you can tick off many checkboxes along the way. But when it comes to dividend stocks, you don’t necessarily want to be overly diversified.
You want to focus on quality, high-yielding stocks that you can comfortably hang on to for the long term. Here’s why the Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD) can be an ideal investment in this case.