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1 The 10 Most Scariest Things About SCHD High Dividend Paying Stock

Understanding SCHD: A High Dividend-Paying Stock Worth Considering
In the intricate world of investing, dividend stocks typically stick out as a favorable choice, particularly for people looking for to earn passive income. One of the standout gamers in this domain is the Schwab U.S. Dividend Equity ETF (schd dividend calendar). This exchange-traded fund focuses on high dividend-paying U.S. stocks and has actually gotten a following among income-seeking financiers. This blog site post aims to delve deep into SCHD, exploring its qualities, efficiency, and what prospective investors must consider.
What Is SCHD?
SCHD is an exchange-traded fund (ETF) that seeks to track the performance of the Dow Jones U.S. Dividend 100 Index. The fund aims to offer exposure to high dividend-yielding stocks while likewise making sure a measure of quality. The underlying goal is not just to use attractive yields but also to provide long-term capital appreciation.
Secret Features of SCHD:FeatureDetailsFund ManagerCharles Schwab Investment ManagementCreation DateOctober 20, 2011Cost Ratio0.06%Dividend YieldApproximately 4.0% (as of the current quarter)Top Sector ExposuresInformation Technology, Consumer Discretionary, Health CareAverage Market CapMid to large-cap businessEfficiency Insights
Financiers often take a look at both historic performance and current metrics when thinking about any investment. Below is a comparison of SCHD's performance versus the more comprehensive market and its peer group over numerous timespan.
Performance TablePeriodSCHD Total ReturnS&P 500 Total ReturnContrast1 Year12.4%8.6%SCHD outperformed3 Years45.3%56.2%SCHD lagged a little5 Years92.1%104.5%SCHD lagged somewhatSince Inception209.3%205.0%SCHD a little outperformed
These metrics highlight that SCHD has actually shown significant total returns, especially given that its inception. While it may not regularly exceed the S&P 500 over every time frame, its capability to yield dividends consistently makes it a worthwhile prospect for income-focused financiers.
Top Holdings
A diverse portfolio is important for decreasing threat while guaranteeing consistent growth. The top holdings in SCHD aid attain this by representing a variety of sectors. Below are the top 10 holdings since the most recent 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