Yahoo Finance·2025-12-10 16:47Core Viewpoint - The Invesco High Dividend Low Volatility ETF (SPHD) offers a 4.71% yield, significantly higher than the S&P 500, by investing in a concentrated portfolio of 50 U.S. stocks known for high dividend yields and low volatility [2][3]. Group 1: ETF Overview - SPHD has $3.1 billion in assets and a low expense ratio of 0.30%, focusing on defensive sectors such as utilities, REITs, healthcare, and consumer staples [2][8]. - The fund's income is derived from dividends paid by the underlying companies, making the sustainability of these payouts crucial for investors [2]. Group 2: Top Holdings Analysis - The top five holdings in SPHD account for approximately 14% of the portfolio, emphasizing established dividend payers across various sectors [4]. - Pfizer (PFE) yields 6.53% with a conservative payout ratio of 36.4% and has a history of 19 consecutive years of dividend increases, despite recent revenue declines in COVID-related products [5]. - Altria (MO) offers a 7.04% yield with a payout ratio of 77.9%, maintaining a 19-year dividend growth streak, although it faces long-term risks from declining tobacco volumes [6]. - Healthpeak Properties (DOC) has the highest yield at 7.14%, but it shows negative GAAP earnings; it should be evaluated based on funds from operations, which are projected to be between $1.78 and $1.84 per share [7].