High dividend ETFs return up to 20% year to date
High dividend ETFs are outperforming the S&P 500, with returns of up to 20% year to date.
The iShares Core High Dividend ETF and the First Trust Morningstar Dividend Leaders Index Fund are among the top performers, yielding around 3%.
Concentration risk in mega-cap growth has driven rotation into energy, utilities, and healthcare, benefiting dividend investors.
The WisdomTree U.S. Total Dividend Fund also pays distributions monthly, taking a contrarian approach by holding Microsoft and NVIDIA alongside traditional dividend payers.