SCHD's Dividend Growth Strategy Delivers Strong Long-Term Returns
The Schwab U.S. Dividend Equity ETF (SCHD) tracks the Dow Jones U.S. Dividend 100 Index and focuses on dividend quality and growth, a combination that has produced 12.9% annualized returns since its 2011 inception. Its holdings yield about 3.8% and grow dividends at roughly 8.4% annually, topping the S&P 500's ~1.2% yield and ~5% dividend growth. With Coca-Cola and PepsiCo among its top holdings (each ~4%), the fund benefits from steady income and rising earnings, supporting price appreciation and making SCHD a compelling long-term option for dividend investors.


