SCHD ETF: It Is Boring, And You Can Do Much Better - Is It For You?

Summary

  • The Schwab U.S. Dividend Equity ETF™ is a conservative, long-term investment offering stable dividend growth and capital appreciation, ideal for conservative investors.
  • The SCHD ETF is diversified across 103 holdings, with top sectors including financials, healthcare, and consumer defensive, and top holdings like Cisco, Home Depot, and BlackRock.
  • This ETF is not for rapid gains but provides slow, steady growth, making it a suitable candidate for long-term portfolios, especially during market dips.
  • Despite being a “boring” ETF, SCHD performs its intended job well, offering reliable returns and dividends, making it a stress-free investment option.
  • Why the ETF is so despised by many is surprising. You can do better, but it may be for you.
  • Looking for a helping hand in the market? Members of BAD BEAT Investing get exclusive ideas and guidance to navigate any climate. Learn More »

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In this column, we provide our quarterly update on the Schwab U.S. Dividend Equity ETF™ (NYSEARCA:SCHD). This is an exchange-traded fund, or ETF, and it is not at all exciting or sexy in any way. It is regularly rebalanced (quarterly) to

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of SCHD, CVX, HD, BLK either through stock ownership, options, or other derivatives. 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.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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