Understanding SCHD: A High Dividend-Paying Stock Worth Considering
In the complex world of investing, dividend stocks often stand out as a favorable choice, particularly for individuals looking for to earn passive income. Among the standout players in this domain is the Schwab U.S. Dividend Equity ETF (SCHD). This exchange-traded fund concentrates on high dividend-paying U.S. stocks and has acquired a following amongst income-seeking investors. This article aims to delve deep into SCHD, exploring its attributes, efficiency, and what possible financiers ought to consider.
What Is SCHD?
schd dividend per share calculator is an exchange-traded fund (ETF) that seeks to track the efficiency of the Dow Jones U.S. Dividend 100 Index. The fund aims to supply exposure to high dividend-yielding stocks while likewise guaranteeing a step of quality. The underlying objective is not only to provide appealing yields however also to provide long-term capital gratitude.
Key Features of SCHD:FeatureDetailsFund ManagerCharles Schwab Investment ManagementCreation DateOctober 20, 2011Expense Ratio0.06%Dividend YieldRoughly 4.0% (since the current quarter)Top Sector ExposuresInfotech, Consumer Discretionary, Health CareAverage Market CapMid to large-cap companiesEfficiency Insights
Financiers often look at both historic performance and recent metrics when thinking about any financial investment. Below is a comparison of SCHD’s performance versus the more comprehensive market and its peer group over various amount of time.
Efficiency TablePeriodschd dividend history Total ReturnS&P 500 Total ReturnComparison1 Year12.4%8.6%SCHD exceeded3 Years45.3%56.2%SCHD lagged slightly5 Years92.1%104.5%SCHD lagged a littleGiven that Inception209.3%205.0%SCHD slightly outperformed
These metrics highlight that schd ex dividend date calculator has actually shown substantial total returns, particularly because its inception. While it might not consistently outperform the S&P 500 over every time frame, its capability to yield dividends regularly makes it a deserving prospect for income-focused investors.
Top Holdings
A diverse portfolio is important for minimizing risk while guaranteeing consistent growth. The top holdings in SCHD help accomplish this by representing a range of sectors. Below are the top 10 holdings as of the current reporting.
Top 10 Holdings TableHoldingTickerWeight %Dividend Yield %Broadcom Inc.. AVGO 4.08 3.46Verizon CommunicationsVZ3.926.51Cisco Systems, Inc.. CSCO 3.82 3.14PepsiCo, Inc.. PEP 3.79 2.77Pfizer Inc.. PFE 3.68 4.86Coca-Cola CompanyKO3.653.09Abbott LaboratoriesABT3.621.69Home Depot, Inc.. HD3.60 2.79Texas Instruments Inc.. TXN 3.57 2.51Merck &amp