5 Dividend ETFs Beating the S&P 500 This Year

Market Performance - Wall Street has shown moderate performance in 2026, with SPDR S&P 500 ETF Trust (SPY) gaining about 0.2%, SPDR Dow Jones Industrial Average ETF Trust (DIA) increasing by 2.2%, Nasdaq-100 ETF Invesco QQQ Trust (QQQ) declining by 1.6%, and iShares Russell 2000 ETF (IWM) rising by 6.4% as of February 19, 2026 [1][2]. Key Events Influencing the Market - Significant events impacting the market include President Trump's nomination of Kevin Warsh as the next Fed chair, increased geopolitical tensions, fluctuations in precious metals, the effects of winter storm Fern on natural gas prices, AI investment fatigue leading to a tech slump, and election optimism in Japan [2]. Dividend ETFs in Volatile Markets - In volatile market conditions, dividend ETFs are increasingly attractive as investors seek stable income amidst uncertainty. The demand for dividend investing rises due to global growth concerns and geopolitical crises [3][4]. Notable Dividend ETFs Performance - WisdomTree Japan SmallCap Dividend Fund (DFJ): Up 14.2%, benefiting from pro-growth policies and a weaker yen following Japan's election [5]. - Schwab US Dividend Equity ETF (SCHD): Up 13.9%, focusing on high dividend yielding U.S. stocks with strong fundamentals [6]. - First Trust Morningstar Dividend Leaders Index Fund (FDL): Up 13.7%, emphasizing dividend consistency and sustainability [7]. - iShares Core High Dividend ETF (HDV): Up 13%, targeting high-quality U.S. companies with strong financial health [8]. - Cambria Emerging Shareholder Yield ETF (EYLD): Up 12.9%, actively managed to provide exposure to high shareholder yield in emerging markets [10].