SPHD’s 4.57% yield and 10.45% YTD return outperform SPY’s 0.98% yield and 7.47% gain by excluding tech heavyweights.
Invesco’s S&P 500 High Dividend Low Volatility ETF (SPHD) delivers a 4.57% yield and 10.45% year-to-date return, surpassing the State Street SPDR S&P 500 ETF Trust (SPY), which yields 0.98% and has gained 7.47% YTD. SPHD excludes the Magnificent 7 tech stocks, focusing instead on 50 low-volatility, high-dividend names from the S&P 500’s top 75 yielders.
SPY’s long-term outperformance stems from its exposure to the Magnificent 7, whose trillion-dollar market caps and AI-driven growth have dominated returns. Over one year, SPY has risen 20.46%, compared to SPHD’s 14.74%. Analysts suggest a Fed rate cut could widen this gap further, benefiting growth-oriented funds.
SPHD’s strategy emphasizes utilities, real estate, financials, and consumer staples, offering investors a yield-focused alternative to the tech-heavy S&P 500.