Schwab U.S. Dividend Equity ETF (SCHD) Offers Stability in Volatile Markets
Dividend-paying stocks have quietly outperformed their non-paying counterparts by a margin of more than 2-to-1 over the past half-century, according to Ned Davis Research and Hartford Funds. With annual returns of 9.2% versus 4.3%, these equities combine growth with reduced volatility—a rare pairing in today's markets.
The Schwab U.S. Dividend Equity ETF (SCHD) distills this advantage into a single instrument, tracking the Dow Jones U.S. Dividend 100 Index. Its selection criteria—a decade-long dividend history combined with rigorous financial health checks—ensures exposure to cash-generative businesses. The current portfolio yields 3.8%, offering income seekers shelter from crypto's notorious price swings.