Maki Nakamura
Overview
One of my family members has retired recently, and he's allocated a sizeable amount of his retirement capital towards a dividend ETF. He chose the most popular dividend ETF, Schwab U.S. Dividend Equity ETF (SCHD
FDVV: Compelling Choice For Retirees That Want Income And Growth
Summary
- FDVV stands out for retirees seeking both dividend income and exposure to technology, offering higher price appreciation potential than traditional dividend ETFs like SCHD.
- The ETF's blend of established dividend payers and growth-oriented tech names positions it for superior long-term total returns and resilience during market downturns.
- FDVV's 3% yield, solid dividend growth, low cost, and broad diversification make it a compelling, defensive choice for retirement portfolios.
- While not as tax-efficient as some peers and with slightly lower dividend growth, FDVV's tech allocation and total return potential justify its place for growth-minded retirees.
Financial analyst by day and a seasoned investor by passion, I've been involved in the world of investing for over 15 years and honed my skills in analyzing lucrative opportunities within the market.I specialize in uncovering high quality dividend stocks and other assets that offer potential for long term-growth that pack a serious punch for bill-paying potential. I use myself as an example that with a solid base of classic dividend growth stocks, sprinkling in some Business Development Companies, REITs, and Closed End Funds can be a highly efficient way to boost your investment income while still capturing a total return that follows traditional index funds. I created a hybrid system between growth and income and manage to still capture a total return that is on par with the S&P.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of FDVV, SCHD 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.
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