3 Safer Dividend ETFs to Pursue Amid Soaring Macro Worries

Core Viewpoint - The article discusses three safer dividend ETFs that are positioned to perform well amid rising macroeconomic and geopolitical concerns, highlighting their potential to withstand market volatility [1]. Group 1: ETF Performance - Schwab U.S. Dividend Equity ETF (SCHD) has increased by approximately 13% year-to-date and offers a yield of 3.3%, making it a solid choice for investors seeking stability [1]. - State Street Utilities Sector SPDR ETF (XLU) has risen over 8% year-to-date, benefiting from a shift towards defensive investments and the utility sector's role in the AI revolution [1]. - Vanguard International High Dividend Yield Index Fund ETF (VYMI) provides a yield of 3.3% with a price-to-earnings ratio of 14.4, appealing to investors looking for international exposure and lower volatility [1]. Group 2: Market Context - Rising macro and geopolitical worries are prompting a rotation from momentum stocks to low beta defensive plays, with dividend-focused ETFs gaining traction [1]. - The article notes that even traditional safe havens like gold have been affected by recent market volatility, indicating a challenging investment environment [1]. - The potential for a prolonged conflict between the U.S. and Iran could further influence market dynamics, making safety-focused investments more attractive [1].