The Dividend ETF That Generates Passive Income While You Sleep

Yahoo Finance ·

Exchange-traded funds (ETFs) can serve as a valuable investment vehicle for risk-averse investors who are seeking income but are worried about the price swings that come with owning a single stock. Also, an ETF performs the hard work of setting guidelines and strict criteria for what gets included, saving investors plenty of research time. For anyone seeking an ETF that generates income while they sleep, the iShares Core High Dividend ETF ( HDV -0.67% ) is worth a look. Investments with yields of 8% to 10% seem exceptionally attractive on the surface. But those investments are often ones whose yields can't be sustained, either because they're eventually slashed or because dividend payouts are paused. That's why, even if it seems less exciting, that focusing on companies with more sustainable payouts is often the way to go, as you can count on them more for reliability. That's what HDV can offer through its holdings. The goal of the ETF is to mimic the performance of the Morningstar Dividend Yield Focus Index, which is designed to provide exposure to stocks from the Morningstar U.S. Market Index with "attractive dividend yields" and "strong financial quality."

DYAX Investor Sentiment

Bullish (Long) 70% · Bearish (Short) 30%

405 participants

Related News

원문 보기 — Yahoo Finance