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Understanding SCHD: A High Dividend-Paying Stock Worth Considering<br>In the intricate world of investing, dividend stocks often stand out as a beneficial alternative, particularly for people looking for to make passive income. One of 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 acquired a following among income-seeking investors. This post intends to dive deep into SCHD, exploring its characteristics, efficiency, and what potential investors ought to think about.<br>What Is SCHD?<br>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 provide exposure to high dividend-yielding stocks while likewise ensuring a measure of quality. The underlying goal is not only to offer appealing yields but also to offer long-lasting capital appreciation.<br>Key Features of SCHD:FeatureInformationFund ManagerCharles Schwab Investment ManagementCreation DateOctober 20, 2011Expense Ratio0.06%Dividend YieldAround 4.0% (as of the recent quarter)Top Sector ExposuresInfo Technology, Consumer Discretionary, Health CareTypical Market CapMid to large-cap businessEfficiency Insights<br>Investors frequently look at both historical efficiency and current metrics when thinking about any investment. Below is a comparison of [schd dividend payout calculator](https://git.daneric.dev/schd-dividend-aristocrat0166)'s performance versus the wider market and its peer group over different timespan.<br>Efficiency TablePeriodSCHD Total ReturnS&P 500 Total ReturnContrast1 Year12.4%8.6%SCHD exceeded3 Years45.3%56.2%SCHD lagged somewhat5 Years92.1%104.5%SCHD lagged slightlyGiven that Inception209.3%205.0%SCHD a little outshined<br>These metrics illustrate that [schd dividend per year calculator](https://stepfortune.com/employer/schd-annual-dividend-calculator/) has revealed significant total returns, particularly since its creation. While it may not consistently outperform the S&P 500 over every time frame, its ability to yield dividends regularly makes it a worthy prospect for income-focused financiers.<br>Top Holdings<br>A diverse portfolio is crucial for minimizing danger while ensuring consistent growth. The top holdings in SCHD help accomplish this by representing a variety of sectors. Below are the top 10 holdings since the latest reporting.<br>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 & |
