2 hours ago
1
David Dierking, The Motley Fool
Tue, April 21, 2026 astatine 7:25 AM CDT 3 min read
Dividend stocks are backmost successful favour again. That means it's clip to see dividend ETFs you whitethorn person ignored successful caller years.
The Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD) is the top-performing U.S. dividend ETF truthful acold successful 2026. Its strategy of requiring astatine slightest 10 consecutive years of dividend payments, beardown equilibrium expanse fundamentals, and above-average yields produces a "best of the best" banal portfolio that has delivered for shareholders.
Will AI make the world's archetypal trillionaire? Our squad conscionable released a study connected a little-known company, called an "Indispensable Monopoly," providing the captious exertion Nvidia and Intel some need.
That strategy aligns with what investors are looking for close now. It whitethorn adjacent beryllium a amended concern than the Vanguard S&P 500 ETF (NYSEMKT: VOO) astatine the moment.
| Expense ratio | 0.03% | 0.06% |
| No. of holdings | 504 | 104 |
| Assets nether absorption (AUM) | $817.5 billion | $87.5 billion |
| Dividend yield | 1.2% | 3.3% |
| 1-year full return | 36.5% | 26.9% |
| 10-year mean yearly return | 14.1% | 12.4% |
Data sources: YCharts, SCHD website, VOO website.
The S&P 500's outperformance implicit the past decennary has mostly been a effect of the bull marketplace successful tech stocks. But the Schwab U.S. Dividend Equity ETF's outperformance successful 2026 comes from rotation retired of those erstwhile winners. As the system slows, the geopolitical backdrop remains tense, and ostentation rises, it's astir apt going to marque investors little apt to propulsion backmost into maturation stocks implicit the adjacent term.
Over the adjacent twelvemonth oregon so, conditions favour the continued outperformance of antiaircraft and dividend-paying stocks. As we saw successful 2022, immoderate situation that brings a crisp slowdown successful enactment usually sees blimpish equities execute better. The Schwab U.S. Dividend Equity ETF is apt the amended play.
Over the longer term, accidental a decennary oregon more, the Vanguard S&P 500 ETF astir apt wins out. Its overweights to tech and maturation stocks are apt to execute amended contempt the added volatility on the way.
Before you bargain banal successful Vanguard S&P 500 ETF, see this:
The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Vanguard S&P 500 ETF wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.
Consider erstwhile Netflix made this database connected December 17, 2004... if you invested $1,000 astatine the clip of our recommendation, you’d person $524,786!* Or erstwhile Nvidia made this database connected April 15, 2005... if you invested $1,000 astatine the clip of our recommendation, you’d person $1,236,406!*
English (CA) · 
English (US) · 
Spanish (MX) ·