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

Understanding SCHD: A High Dividend-Paying Stock Worth Considering
In the intricate world of investing, dividend stocks often stick out as a favorable option, especially for individuals looking for to earn passive income. Among the standout gamers 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 actually gained a following among income-seeking investors. This post intends to dive deep into SCHD, exploring its characteristics, efficiency, and what potential investors need to consider.
What Is SCHD?
SCHD is an exchange-traded fund (ETF) that looks for 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 also ensuring a procedure of quality. The underlying objective is not only to use appealing yields but also to offer long-lasting capital appreciation.
Key Features of SCHD:FeatureDetailsFund ManagerCharles Schwab Investment ManagementInception DateOctober 20, 2011Expense Ratio0.06%Dividend YieldRoughly 4.0% (as of the recent quarter)Top Sector ExposuresInfo Technology, Consumer Discretionary, Health CareTypical Market CapMid to large-cap companiesEfficiency Insights
Financiers often look at both historic efficiency and recent metrics when considering any investment. Below is a comparison of SCHD's efficiency versus the wider market and its peer group over various time frames.
Efficiency TablePeriodSCHD Total ReturnS&P 500 Total ReturnComparison1 Year12.4%8.6%SCHD surpassed3 Years45.3%56.2%SCHD lagged slightly5 Years92.1%104.5%SCHD lagged slightlySince Inception209.3%205.0%SCHD slightly outshined
These metrics highlight that schd high dividend-paying stock (animationfixation.net) has revealed significant total returns, especially since its inception. While it might not consistently outperform the S&P 500 over each time frame, its ability to yield dividends consistently makes it a worthwhile prospect for income-focused investors.
Top Holdings
A diverse portfolio is essential for minimizing risk while guaranteeing constant growth. The top holdings in schd dividend millionaire help accomplish this by representing a range of sectors. Below are the top 10 holdings as of 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