Dia etf factsheet5/15/2024 ![]() For this article, I decided to use calendar years, with the last full year being 2019. To determine that, you have to add up the individual amounts and compare them.īecause of their inconsistent payouts, one can only judge an ETF’s dividend growth record over 12-month periods. It is impossible to tell whether every year (or 12-month period) totals more than the prior year. Visually, the line trends somewhat upwards, but every payout varies. ![]() The orange line is NOBL, an ETF based on the Dividend Aristocrats. The pattern hasn’t varied for more than 50 years. Johnson & Johnson’s ( JNJ) dividend looks like a staircase, showing one increase per year, then steady payouts for the next 12 months, followed by the next increase. Unlike a dividend growth stock that pays a steady dividend for a year and then raises it, ETF distributions constantly change in amount. Background on ETF Dividendsīefore getting started, we need to understand a few facts about ETF dividends.įirst, ETF dividend payout amounts vary from distribution to distribution. That’s what this article is about: If dividend ETFs were stocks, which ones (if any) would be on the CCC with dividend streaks of five years or more. The CCC is updated monthly, for free, by Justin Law, who took it over from the late David Fish. “Champions” are stocks with 25-year streaks or longer. It tracks companies that have increased their dividends for more than 5 years in a row. The CCC is the Dividend Champions, Contenders and Challengers spreadsheet. In the intervening years, several new dividend ETFs have been introduced, and of course the “old” ones have added years of performance.īrad’s article led me to wonder whether any of the ETFs, if they were stocks, would qualify for the CCC compilation that many dividend growth investors regard as their first research source. My earlier studies had led me to invest in two (SCHD and SPHD), and I hadn’t looked at the overall field since then. ![]() It’s been years since I studied dividend ETFs in detail. Recently, Brad Kenagy presented a wonderful article ( The Best ETF For Dividend Growth Investors), in which he provided comprehensive descriptions of the 18 dividend-oriented ETFs with more than $1 billion in assets.īrad covered, among other things, the underlying index for each fund, stock selection methodology, total-return performance, expense ratios, and dividend yields.
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