6 ETFs That Do What SCHD Does — But Better

Core Insights - The Schwab U.S. Dividend Equity ETF (SCHD) is popular among dividend investors, offering a yield of about 4% and a five-year return of over 40% with a low expense ratio of 0.06% [2][3] Fund Comparisons - The Invesco S&P 500 High Dividend Low Volatility ETF (SPHD) provides a slightly higher yield of 4.02% and focuses on high-quality companies with low volatility, achieving a five-year return of over 31% and holding around $3 billion in net assets [5][6] - The Vanguard Dividend Appreciation ETF (VIG) targets firms that consistently increase dividends, boasting a five-year return of over 63% and a lower expense ratio of 0.05%, benefiting from a high concentration in the information technology sector [7][8] Market Positioning - SCHD's portfolio is less invested in the tech sector, with only about 12% in information technology and communication services, while it is heavily weighted in defensive sectors like consumer staples and healthcare [3][4] - Other funds may offer higher yields and better diversification, indicating potential gaps in SCHD's investment strategy [4]