https://www.lazyportfolioetf.com/etf/schwab-us-dividend-equity-etf-schd/ (2024)

FAQs

Is Schwab US dividend equity ETF a good investment? ›

Morningstar.com believes that the Schwab U.S. Dividend Equity ETF (NYSEARCA:SCHD) is one of the better ETFs for dividend-focused investors. It stands to reason that if you're interested in dividend stocks to buy, SCHD is an excellent source of ideas.

SPHD has an expense ratio of 0.30%, while SCHD has a slightly lower expense ratio of 0.06%. Yields: SPHD has a higher yield of 4.97%, while SCHD has a lower but respectable yield of 3.77%.

SCHD has a dividend yield of 3.50% and paid $2.67 per share in the past year. The dividend is paid every three months and the last ex-dividend date was Mar 20, 2024.

Schwab US Dividend Equity ETF (SCHD): Historical Returns. In the last 10 Years, the Schwab US Dividend Equity ETF (SCHD) ETF obtained a 10.99% compound annual return, with a 14.62% standard deviation. Discover new asset allocations in USD and EUR, in addition to the lazy portfolios on the website.

Cons. No guarantee of future dividends. Stock price declines may offset yield. Dividends are taxed in the year they are distributed to shareholders.

Dividend ETFs or Dividend Stocks: Which Is Better? Dividend ETFs can be a good option for investors looking for a low-cost, diversified and reliable source of income from their investments. Dividend stocks may be a better option for investors who prefer to choose their own investments.

SCHD's long-term track record of double-digit annualized returns over many years also inspires confidence that this is still a good place to be in the long term. Lastly, SCHD's expense ratio of just 0.06% is extremely favorable for investors, making this a compelling ETF to own in 2024 and beyond.

The fund comfortably and consistently beats the Russell 1000 Value Index in profitability metrics like return on invested capital. Entering March 2024, nearly 65% of the portfolio represented stocks with wide Morningstar Economic Moat Ratings, a higher share than 96% of Morningstar Category peers.

The average price target for SCHD is $84.91. This is based on 101 Wall Streets Analysts 12-month price targets, issued in the past 3 months. The highest analyst price target is $100.41 ,the lowest forecast is $70.82.

Overall, SCHD remains an attractive option for investors looking to balance income and growth in their portfolio. Its focus on quality large cap dividend payers, low expense ratio, and strong historical performance make it a solid choice for diversification and long-term investing.

What month does SCHD pay dividends? ›

When is SCHD dividend payment date? SCHD's next quarterly payment date is on Mar 25, 2024, when SCHD shareholders who owned SCHD shares before Mar 20, 2024 received a dividend payment of $0.61 per share. Add SCHD to your watchlist to be reminded of SCHD's next dividend payment.

Moreover, the investor must own the shares in the ETF paying the dividend for more than 60 days during the 121-day period that begins 60 days before the ex-dividend date. This means if you actively trade ETFs, you probably can't meet this holding requirement.

A good return on investment is generally considered to be around 7% per year, based on the average historic return of the S&P 500 index, adjusted for inflation. The average return of the U.S. stock market is around 10% per year, adjusted for inflation, dating back to the late 1920s.

Schwab Fundamental U.S. Broad Market Index ETF (FNDB)

This tax-efficient, low-cost fund strives to capture both value and yield. Unlike a typical market-cap fund, FNDB includes companies with solid growth prospects, lower valuations and above-average yields.

Over the past three years, Charles Schwab Corp's annual dividend growth rate was 11.60%. Extended to a five-year horizon, this rate increased to 13.80% per year. And over the past decade, Charles Schwab Corp's annual dividends per share growth rate stands at an impressive 18.00%.

Overall, we found that Schwab is a great choice for self-directed investors and traders who want access to multiple platforms, plenty of tools, and full banking capabilities. Vanguard works well for buy-and-hold investors who may not be as tech-savvy and who want access to professional advice.

Schwab's suite of high dividend yield ETFs come in both a US focused version and an international ex-US version.