Schwab U.S. Dividend Equity ETF yields 3.3% with 20% year-to-date returns, surpassing broader market performance.
Schwab U.S. Dividend Equity ETF (SCHD) has grown to $71.6 billion in assets, delivering a 20% year-to-date price return alongside a 3.3% yield. The fund’s performance has outpaced the S&P 500, driven by its focus on mature dividend-paying companies with strong free cash flow.
SCHD tracks the Dow Jones U.S. Dividend 100 Index, selecting 100 stocks based on cash flow, return on equity, dividend yield, and five-year dividend growth. Its top holdings—including Bristol Myers Squibb, Lockheed Martin, and Chevron—are Dividend Aristocrats, ensuring durable income streams. The fund’s equal weighting of top positions mitigates risk from individual dividend cuts.
With a 0.06% expense ratio, SCHD remains one of the most widely held dividend ETFs, attracting investors seeking stable income and capital appreciation.