Key Facts on Schwab U.S. Dividend Equity ETF Performance
The Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD) has generated a return of approximately 20% in 2026, outpacing the S&P 500’s 11% gain and the Nasdaq-100’s 17% return. The fund focuses on companies that have a history of at least 10 consecutive years of dividend payments, with healthcare and consumer staples making up about 21% each of the portfolio.
This $95 billion ETF is currently yielding around 3.2% and charges a low expense ratio of 0.06%. The fund’s top holdings include UnitedHealth Group, Home Depot, and Abbott Laboratories, each accounting for about 4.3% to 4.5% of assets. Its investment strategy excludes real estate investment trusts and master limited partnerships while selecting stocks based on free cash flow, return on equity, dividend yield, and five-year dividend growth.
With consistent annual reviews and quarterly rebalancing, SCHD aims to provide stable income, having distributed $1.05 per share over the past 12 months. Investors are drawn to this fund amid a shift away from high-growth stocks, especially as many technology firms have struggled this year. This performance has solidified SCHD’s position as a viable option for investors seeking durable income streams.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
