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Is the Schwab US Dividend Equity ETF a Buy Now?
Schwab US Dividend Equity ETF (NYSEMKT: SCHD) does a lot for the fairly tiny expense ratio of 0.06% that it charges. In fact, what it does is likely to be very close to what you might do if you were trying to build a dividend stock portfolio from the ground up. Here's why Schwab US Dividend Equity ETF is worth buying now, and, frankly, most of the time, if you want to outsource your dividend investing work to someone else.Technically, Schwab US Dividend Equity ETF is an index-tracking exchange traded fund. So, it just buys whatever the index "tells" it to. The real question for investors is, what's the index being tracked, and what does that index do? The first part is easy; the index is the Dow Jones U.S. Dividend 100 index. What it does, however, requires a little more explanation.Image source: Getty Images.Continue reading
Schwab US Dividend Equity ETF (NYSEMKT: SCHD) does a lot for the fairly tiny expense ratio of 0.06% that it charges. In fact, what it does is likely to be very close to what you might do if you were trying to build a dividend stock portfolio from the ground up. Here's why Schwab US Dividend Equity ETF is worth buying now, and, frankly, most of the time, if you want to outsource your dividend investing work to someone else.
Technically, Schwab US Dividend Equity ETF is an index-tracking exchange traded fund. So, it just buys whatever the index "tells" it to. The real question for investors is, what's the index being tracked, and what does that index do? The first part is easy; the index is the Dow Jones U.S. Dividend 100 index. What it does, however, requires a little more explanation.
Image source: Getty Images.
