New ETF Tracks Dividend Growth Stocks (ETF: SDY)

| About: SPDR Dividend (SDY)

Robert Barker in BusinessWeek reviews high dividend stocks, and finds four small-caps that have raised dividends consistently over the years. But Barker then plugs an ETF that captures this sector with more diversification:

Just because these companies have raised dividends for at least 25 straight years naturally is no guarantee they will keep it up. Investors who want to spread their bets more widely can check out a new exchange-traded fund, the SPDR Dividend ETF (symbol: SDY). Sponsored by State Street Global Advisors, it tracks the S&P High Yield Dividend Aristocrats index. The fund's annual management fee is 0.3%, and it yields about 3% -- a noticeable bump up from what you can get from J&J or GE.

SDY began trading about three weeks ago. More info on the fund here.