The JPMorgan U.S. Dividend ETF: An Unproven Strategy In An Unknown Time

Summary

  • JDIV selects large and mid-cap U.S. stocks based on both dividend yield and risk-adjusted returns within each sector.
  • It has 240 holdings with most of them in defensive sectors, including Consumer Staples and Utilities.
  • While the ETF is likely to outperform during the next bear market, I recommend sticking with more established ETFs with a similar defensive composition.

Cost Benefits Matrix Graph Concept
Photo by IvelinRadkov/iStock via Getty Images

Investment Thesis

The JPMorgan U.S. Dividend ETF (NYSEARCA:JDIV) is a fund that uses a bottom-up, rules-based approach to select the best stocks based on a combination of both volatility and risk. It is a relatively

This article was written by

The Sunday Investor profile picture
4.2K Followers
Build sustainable portfolio income with premium dividend yields up to 10%.

I'm a data-driven ETF analyst who likes to do deep dives into how funds are constructed and what factors are likely to make them winners or losers. I have a database of over 700 ETFs that I follow, so I'm able to show readers the best- and worst-performing funds in each category with each one I review. My preference is for stocks to have strong cash-generating and debt management qualities. I welcome all questions, comments, and suggestions for improvement, and I enjoy my time engaging with the Seeking Alpha community.

I hold a Bachelors degree in Commerce with a major in Accounting and hold a Certificate in Advanced Investment Advice from the Canadian Securities Institute. I have also completed the Portfolio Management Techniques course, fulfilling the educational requirements for a Chartered Investment Manager (CIM) designation. I have passed CFA Level 1, and I am currently studying to become licensed to advise on options and derivatives in Canada. This past November, I became a contributor for the new Hoya Capital Income Builder Marketplace Service, and enjoy working with and sharing ideas with some of the best researchers on Seeking Alpha. Sign up for a free trial today! Hoya Capital Income Builder.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Recommended For You

Comments (7)

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.