2 High-Yield Dividend ETFs for Long-Term Investors
Investors seeking reliable dividend income can start with just $200 by investing in two high-yield ETFs: the Schwab US Dividend Equity ETF (SCHD) and the Vanguard International High Dividend Yield ETF (VYMI). These funds provide exposure to top-tier dividend-paying companies in the U.S. and abroad, leveraging passive management strategies tied to robust indexes.
The SCHD tracks the Dow Jones US Dividend 100 Index, focusing on American firms with a decade of consistent payout growth. Selection criteria include debt levels, return on equity, and dividend growth rates, with market-cap weighting ensuring larger companies dominate performance. Meanwhile, VYMI targets international high-dividend stocks, offering geographic diversification without the complexity of individual stock selection.