RDVY Vs. SCHD: Sticking With The Tried-And-True Dividend ETF Favorite

Schwab U.S. Dividend Equity ETF (SCHD) and First Trust Rising Dividend Achievers ETF (RDVY) are 2 ETFs that are seemingly designed to provide a trend of growing dividends. Since the launch of RDVY, it has been able to provide higher total returns, which really came from the last handful of years when it began to pull away. SCHD’s focus on value, quality, and consistent dividend growth—with a 3.3% yield and 14 years of increases—could make it preferable for income-focused investors. RDVY’s higher recent returns stem from more concentrated and growth-oriented holdings, but its dividend growth is inconsistent, and its current yield is notably lower than SCHD’s.