Schd reddit. Spyd could be better for other people.

Schd reddit 3 millions in SCHD so. But, SCHD is always an easy choice. If you buy $10k of SCHD and JEPI today, jepi will pay more. That'll be 5. Im going pure VTI and MSFT only for quite awhile. Which is more than enough and lower taxes and waaaay less risky than SCHD. Schd is my goto when i cant find any high quality stocks to buy as i try to make a buy atleast once a month. 15 Portfolio Visualizer shows January 2017 to December 2023 CAGR of schd = 11. I’m new to investing and schd hold a little over 10% in my roth ira. If you hold for 15+ years, your SCHD will more likely payout more than your jepi. better ROE and cash flow, company with consistent profits history. Put it all in VOO. I personally like to stay a little more diversified, so I also hold O, VTI, and EPD. But due to the recent price run-up both of the yields have lowered. All three ETFs - SCHD,DGRO and VIG - are popular choices among dividend-focused investors. Zooming out, maybe consider some international stock exposure for extra diversification. Typical redditor ages are from 19-24 so they just don't understand income ETFs. B, LOW, HD, COST, WMT, and the Magnificent 7 individually. Soo my time horizon is 40 years from now. 04 and $10k invested worth $21,968 vs $20,813. Given my 30-year investment horizon, would it be wise to sell my SCHD position and reallocate to other ETFs? I do have a mix of 75% SCHD, 25% DGRO at the moment, DGRO is the etf who looks more like " sp500 without the dividend payers" I t does have AAPL and MSFT and it does have a different composition to SCHD, I would say evaluate to play around with both, for a pure large cap value, SCHD is king, the CAGR and Yield are king. 60-65 SCHG 35-40 SCHD SCHD follows the Dow Jones US Dividend 100 index The biggest risk is in the companies the ETF holds, not in Schwab. The funds do this with surprisingly little overlap, which is why I'm fine having both of them weighted so highly. VIG has about 3x more underlying holdings than SCHD; so is there saftey in numbers or does a lean "trim the fat" approach look better to you. SCHD is less volatile than VOO, but has less price growth. But then I read this reddit and begin to have some doubts. I like SCHD but I've heard conflicting views on using it for a taxable account. Just from the income perspective, imagine you had $10K invested for 10 years with income re-invested: SCHD is a solid choice for part of a dividend portfolio. VONG for some good overall tech/ value/ Russel 2000 exposure. That said SPYI sure bought a lot of stock at the right time. VTI gets me small and mid cap exposure, although VTI + SCHD might be too heavy on tech and finance SCHD has a potential to beat VOO if you have a long enough time horizon like 30 years or so and it's a full drip with no tax. You'll be ultra concentrated in the SCHD holdings as they're also included in VOO. 48 roughly a 45% difference in dividend returns. @DCSN, my portfolio is a lot like yours. Admittedly, JEPQ has a high expense ratio, but high yield. I agree that schd is a great ETF. Mar 4, 2023 · Because the savings account has a 4. There’s blood in the streets! “The casualty list includes the $20 billion SPDR S&P Dividend ETF, down 3% (SDY) on a total-return basis, the Schwab US Dividend ETF (SCHD), off 2. 1% annual return. SCHD focus dividend companies more Also consider taxes if dividends come they get taxed also so plan accordingly. Aug 14, 2024 · The other half is a mix of VIIIX, BRK. Apple is like 8% or the top stock for most etf or s and p 500 funds. This is the methodology and looking at the holdings i expect the ETF to basically underperform most dividend funds on price Yea 3. SCHD to start building the dividends, and SCHG (maybe FTEC) for some more aggressive growth. Get that current income going for you. Posted by u/Ok_Juggernaut3043 - 8 votes and 7 comments Schd = 0. So over time you pay more taxes to get the higher payout of JEPI in a brokerage account. If you like SCHD and want XOM as well you could just buy SCHD and add a position in XOM. 36%. but not by a lot. You can go to work, get your paychecks which have taxes taken out of them, and invest in growth stocks but once you leave the workforce you no longer have paychecks to get which are taxed - you have to do income ETFs and pay the taxes yourself. Yield is similar but it's more diversified. I have no idea where the notion that SCHD has outperformed comes from. JEPI and JEPQ produce income from selling covered calls off their shares. 03 vs 0. SCHD was ahead with 156% vs SPY's 138% in Feb of 2023. 5% yield. Then put a lot of it in SCHD - DIVO, and JEPI, too. If you only want to have 2 ETFs, then you can do that with perfect utility. I’m 35 and will retire at 60. As an official Fidelity customer care channel, our community is the best way to get help on Reddit with your questions about investing with Fidelity – directly from Fidelity Associates. . I was looking at total return. So you're dragging. Historically SCHD has been a low beta holding with total returns that roughly match the S&P 500 with generally higher returns on a risk adjusted basis. And growth and dividend growth as a second screen. in this down turn, SCHD held up it's value pretty well compared to other popular investment pre-January and it's div has held up as well. If you're a buy and hold forever, why do a lower yield? Even if for a short term, you could make more now, then put that money into schd either when yields on schd improve or bonds go back down. 50 or 75. My plan in retirement is to stop dripping SCHD and take its dividends as income. 7% annual return since that date. You can buy slightly over 5. I don’t think you could go wrong with avlv or schd; again if you know the pitfalls of each and can stick to the decision for 10+ years You are only allowed to discuss how incredible SCHD is. 05% CAGR however it was an ideal time for a fund like SCHD with no really awful periods (so far 2022 not really awful yet anyway). VYM is a good one too. If you put in $10k and not another dime, from when SCHD started (December 2011) today the all SCHD would be worth $39787 and VOO would be worth $39100. imagine if you are single. 70 annual vs SCHD =$2. 42 3 You can't really go wrong either way. The former holds equity (control) of companies, while the latter holds the debts of companies. Expense ratio is much lower with SCHD and more growth oriented so cap appreciation. Last div paid schd = $0. The Total US and Total International pay dividends around 1. VOO has half expense ratio of SCHD. It has consistently performed as a slightly lower returns, slightly lower risk version of the USA total market. Within that universe, SCHD uses fundamental screens (cash-flow to debt ratio, ROE, dividend yield, and dividend growth rate) to build its portfolio. Is schd a good… Posted by u/TheBarnacle63 - 45 votes and 36 comments SCHD for the dividends and it seems to be one of the better dividend ETF plays. I'm a 30-year-old investor who bought $10k of SCHD at the beginning of the year. During the same time period, SPY has achieved a 13. The dividend also has been growing at over 12%/yr. I am an active investor trying to buy stocks that are at decent prices. Pretty close. And i dont like some of them. More conservative people (and realists) go with schd for the most part. Dec 16, 2024 · Dec 16, 2014 to Jan 25 2022 SPY was + 149% and SCHD was +151%. Energy sector was the best performing sector in 2022 and energy companies generally pay good dividends but are much more volatile than other large value stocks. so i have my own version of schd I call it. Dec 19, 2024 · SCHD screening methodology of removing the lowest 50% yeilds of all stock in reconstruction Basically guarateed it will include companies based on high yeild first. The key is that "on a risk adjusted basis". It has growth and dividend. That being said VTI is the entire stock market and SCHD and DGRO are both in VTI. 30% in Income Opps just like yours, includes JEPI, SPYI, JEPQ, BDCs etc. I once mentioned that in the past 5 years VIG ever so slightly outperformed SCHD and 4 men in black rang my door bell an hour later. They behave differently in different environments, they will typically be heavily correlated but having a mix helps diversify a little where gains in one might offset losses in another during . Some say no because of dividends being taxed. ETF’s like SCHD have grown consistently the past few years, so essentially it’s going to hit an all time high every few weeks or months. the covered call strategies don't miss out on the upside in flat or down markets but do in up markets. That was my plan. SCHD might or might not beat the overall market over the long run, but it will beat the dividend etf market vs fundamental/yield weighted etfs. 90 vs fdvv = 11. It has 104 holdings, but they are "self-selected" to meet the criteria of the US Dividend 100 index -- not true diversification. One wpuld be better accumulating SCHD only, and prior to retirement, switch a % to JEPI. the race is hardly over and this past decades winner may not be the next decades winner or the sum of the past 20 years schd and vig have very similar screening methodologies. SCHD goes back to 10-25-11 on this etf calculator and has achieved a 12. That’s unhealthy for any investment. All else considered, I favor the higher total return. 45% ain’t really much for dividends lol, and schd lacks technology sector in their choice of companies . Of the 422 holdings between the 2 funds only 29 holdings overlap. both funds have pretty similar returns and behaviors; VIG gets a bit more returns from price appreciation schd is a bit more yield oriented. So, no, don't put it all in SCHD. SCHD has strong companies that should do well enough in a recession true, but that’s what everyone thinks, which is why everyone is piling in and driving up the price. however, the allocation is more important and so 30% at your age may seem like a lot depending on what other things you are investing in. I did comb thru the schd and looked at the stocks they are collectively buying. There are more bull markets than there are bear markets. Unless you can put together 2 millions in SCHD. I'm curious of everyone's thoughts between the two and if they're both worth continuing to pour resources into. Think it’s fair game to note that, at present, SCHD trails the index it seeks to replicate at the 1M, 3M, YTD, 1Y, and 5Y periods. I have some schd, but am mostly in individual stocks. Get that juicy monthly tax saving dividend and when either SCHD yield finally catches up or fed rates drop and the two reach parity, then dump the money you accumulated into SGOV into SCHD. DGRO focuses on stocks with sustained dividend growth. Most of 2022 SCHD led the way too. SCHD also offers a lower floor in the Bear markets. Spyd could be better for other people. In the long run, small cap value > large cap value > large cap growth, so be aware that removing small cap stocks entirely may be to your detriment. SCHD has underperformed the last couple of years. You can always get lucky and have a good large cap growth year like this year, largely driven by the AI interest, but holding year after year SCHD + SCHG it's just preferable to go with the S&P and take those small distributions but maintain a lot of that in unrealized gains until you're ready. Since SCHD inception, it has beaten that three fund defensive fund 14. It is a foundation investment for me. 25% with interest rates where they are right now so SCHD dividend doesn’t seem so great considering such a rich valuation going into a recession. SCHD focuses on high dividend yielding stocks. During bull runs, spy is better, during bear, schd is better. Others say that's fine because the dividends are qualified. SCHD has great dividend growth along with price appreciation. Not saying SCHD is not good but I would not put all my money into one region. the biggest difference is how many underlying securities the funds hold. 30% in cash but not really cash; bonds, Preferreds, CDs, etc with a hefty portion in SWVXX All the research I have done resonates with the same “SCHD is the way to go” sentiment. 18% of my portfolio. Even 100% SCHD would make sense to me at this point as well. Yeah but with SCHD you're taking the value dividend distributions the whole time. Get (and give!) advice on investment portfolios and financial planning goals for retirement (401k, Roth, IRA, HSA) and taxable investing accounts, particularly stock and bond mutual funds and ETFs - learn tips for tax efficiency and other account optimization strategies. SCHD is a market-cap-weighted fund whose selection universe only includes firms with a 10-year history of paying dividends. schd has performed better than VIG since its inception. I think SCHD is a good substitute for BND given how interest rates have been rock bottom for so long. O is my real estate play; it might not be the best play in its sector but im not the best stock picker and it seems reliable. and you have 44725 dollars per year from SCHD + a salary of 40k per year. Back Test Portfolio: You're getting less diverse so it's slightly riskier if you do 50/50, but I believe if you go 60 SCHD, 40 SCHG you get less risk and still perform slightly better over the last 10 years. 64%, but SCHG has the benefit of having better total return at 323% compared to SCHD's 274%. Dividend Equity ETF) Objective: Tracks the Dow Jones U. spy about the same since schd inception? If there not, they are really close. The opposite would be true for VIG. VTI is also Cap weighted so the top ten holdings are all big large cap stocks so that’s why a position in AVUV is necessary to get small cap. And you always have enough cash flow to live on or reinvest, People always have a lot of ideas about diversity, SCHD is important to us because through its atonement, teachings, hope, peace, and example, it helps us change our lives, face our trials, and move forward with faith while the dividend yield % is higher with SPHD vs SCHD the actual dollar value yield is higher from SCHD. High TER but higher yield as SCHD. If we're talking taxable brokerage then I really don't think holding high dividend instruments makes sense, unless your balance is so high (in the millions) that you don't care as much about tax drag since you're already living off the dividends. But after reading more of this post from OP and the responses, I am thinking of doing 60-70% of my position in SCHD and the rest individual dividend stocks. Schd dividend growth it look beautiful, SPYD dividends are all over the place. 500, 250, or 100 stocks? The next decision is what split to go with. 06 VOO has 56% of SCHD holding overlap VOO is more diverse and market cap based. VTI and SCHD are highly diversified. Not saying it’s a perfect portfolio but here is my theory. SCHD only has an overlap with VOO of 8% making it an almost perfect pair for diversification. Even though SCHD may not beat ETF kings like OMFL or SPGP, I'm retired so still have SCHD. VIG would be giving you less money back in dividends, but it would be worth more than SCHD. However it's catching up. In general if you're younger and you don't need the dividends, SCHD is better. SPYI's dividend is less than 1/3 of SCHD, the fee is 10X what SCHD is. US corporations have lots of international exposure already. And in all honestly, while others would disagree with me, I don't think you really need VXUS. If JPM team change the strategy for JEPI. Very insular “trust the process” and “don’t question SCHD” feeling here. The SCHD hype on Reddit is basically junk. The older I get, the more I rotate from QQQM into SCHD. It's cute to see some of the SCHD lovers in this subreddit chasing past outperformance (only 2022) SCHD has pretty much matched the SPY since inception. 10% in etf's like SCHX SCHD VIG VTV small bit of QQQ. 06, fdvv = 0. You're right, but given that OP started this account or position in SCHD back in 2020 and received a $20 dividend, while now receiving $1k each quarter, implies that almost all of the position in that ETF is based on personal contributions, not dividends, and certainly not a snowball effect because at some point, you have to let go of the snowball and let its momentum carry it, this guy is Own SCHD (1000 shares!) - but sad this sub doesn’t have deeper conversations on it. At the end of the day, if one believes there is a fairly high possibility of a near term large draw down SCHD could be a better holding at this time. Owning VOO & SCHD would give you a broad coverage of the US market. Now if you look at SCHD vs VUG, you'll see that last year was really bad for VUG. I think this is a false debate. In TFSA , 90% VTI and 10 % SCHD make more sense not just because of your age but also due to the withholding tax on dividends If I am in your place will I will go with QQQ or VOO , as gains are not taxed in TFSA. Both are great, SCHD is my largest holding (30%) and QQQ is catching up (started at 10%, up to 15%). The proposed strategy: buy SGOV now. Theoretically, SCHD should grow a bit slower and be a bit less volatile than a S&P 500 tracking fund, and also pay twice as high dividend yield. SCHD also has similar volatility (standard deviation) to the S&P 500. My liquid cash is paying 3. It won’t grow as much just because of that , technology is a huge factor cus it’s growing at such a rate. it is 100% mushroom. 5% dividend yield and VYM sits at a 3. SCHD = an ETF that has 100% dividend-paying stocks BND = an ETF that holds 100% investment grade corporate debt bonds. 76%. I'm considering one of both. Same as SCHD + VOO. SCHD is solid both ways but I see KO in current price to be a catch . 92 votes, 58 comments. Just from the income perspective, imagine you had $10K invested for 10 years with income re-invested: If you are dividend investing, the two best dividend ETFs to pair with SCHD (in my opinion) are DGRO and DGRW. Specifically SCHD consistently raising their dividend; such massive long-term advantages SCHD tends to have a higher dividend yield on average, whereas VIG tends to appreciate more. If he is married: Normally, SCHD sits at a 3-3. It's during bear markets (2022) that people flee to boomer value stocks that comprise SCHD / VYM. So VYM typically has a higher yield while SCHD grows the dividend faster year over year. 5% return, and SCHD historically has a 13% return. Check A1T8FV for example. Like 80% SCHD, 20% JEPI. Much higher dividends than SCHD, but not as much growth. holding VTI plus SCHD will give you a pizza, with extra mushroom exposure. Schd is better for my purpose. I bought it a few years ago and added to it again and again. On reddit, yeah. I'm not debating the merits of this strategy, it totally makes sense especially since we want to live purely off the dividend, but I still worry that being 100% in equities might be too risky to sustain a 30 year retirement. SCHD and O seem to be favorites here and for good reason. Here's a brief comparison to help you make an informed decision: SCHD (Schwab U. All my SCHD and REIT's are in my roth. Growth and tax implications are worth considering. I'm personally long S&P 500 (FXAIX), Nasdaq-100 (QQQ) and total international (VXUS). SCHD does the same, but has extra screens for fundamental strength and dividend sustainability. Or you could just buy an energy sector ETF to pair with SCHD like XLE or FENY. SGOV also is state income tax advantaged because it's all treasuries. How many more shares of SCHD can you buy for the price of one VOO? Now multiply that by the SCHD dividend and compare that to the $1. Thus reddit only touts the winner. You could also check A0NECU for a smaller position. schd is a basket of mushrooms. and 44k from SCHD are 1. 742 3. I think that I will probably end up 80% SCHD and 20% QQQM by the time I hit regular retirement (we are in early retirement now). Dividends received are typically taxed at ordinary income rates. Most stocks were variable, top performers came and went. Treasuries weren't an option and high yield debt was like 4. It comes from the 2012-era when people had to accept 0% interest rates but wanted income from securities. By holding all three in equal amounts, your dividend portfolio is diversified by how it chooses dividend stocks (eg focusing on yield or growth), how it’s weighted (eg dividend weighted vs market weighted) and stock eligibility (eg SCHD requires companies pay dividends for 10 years DGRO is a popular recommendation to pair with SCHD in taxable accounts. Voo and schd have changed places a bunch over the past decade; voo won in 2021 covid run up; but since schd has fallen less in 2022 schd has pulled back ahead. Switching from VOO to VTI would get you exposure to small & mid cap stocks, and holding something like VXUS would get you international exposure. Even simple options strategies are inherently high-risk. All time? Sure, SPY is SCHD is liked for many reasons but some of the most notable are:-Consistent moderate yield -great yield growth -good capital appreciation -low risk -qualified dividends. I recommend buying nvda over schd , it will will continue to grow and outperform schd even with dividends lol. My only concern with VOO is with it lacking the small market companies, and I don’t really have the income currently to add other stock to that mix to help the diversification, but I’m opening to start adding something like AVUV down the road. SCHD vs VOO 1y return (YCharts) Dividend Growth. SCHD has impressive 5yr Dividend growth of (CAGR) 15. The total return of VOO will beat SCHD until the snowball reaches a tipping point where the shares bought per year plus the dividend increases begin to crush the price appreciation. Check performance in seeking alpha or in portfolio visualizer. 56% compared to VOO 6. VYM and SPYD have some oil/energy exposure which some people think is a negative. A "Low beta" means that the ticker is less volatile than the benchmark, aka the green years are less green but the red years are less red. I like the combination of SCHD (dividend growth) and QQQM (pure growth). 0. you pay 0% taxes on the first 44k from SCHD, and you pay 12% in your salary. Only since Oct of 2023 has SPY blasted ahead of SCHD. Over various timeframes SCHD, was always in the top 1/3. BND imo probably have more to fall and less long term upside than SCHD. People are “purists” schd only has dividends payers while voo mixes in non paying funds Some people think the current yield is “too low” and I’m tired of arguing the point. 91% of the total time SCHD has existed, it has usually been within a few percentage points of SPY in total return. SCHD is an index fund, nothing to change there. I saw a comment about using SPHD as a savings account. Then, in about 15 years, start putting some in SCHD, and increase it until you hit, say, 55. Like SCHD, it tracks an index that screens for quality companies. Most notably, I've been purchasing more SCHD (8% portfolio) and JEPQ (10% portfolio) for a combination of variety and yields. QQQ, MOAT, and SCHD are going to have a much different overlap than VGT, VOO and SCHD do. Because the savings account has a 4. 54% CAGR to 13. SPYI might be a great fund but as a dividend fund to compare with SCHD it falls short (in the fees/dividends). I have done plenty of my own research too of course, and I have to agree with the masses for every reason mentioned by everyone else here. Schd has great dividend growth and for me so far its had a decent return compared to what cash would produce sitting in a savings account. Look at SCHD vs VTV, which is pretty much the same performance over the years, with SCHD being a bit stronger. SCHD has a lot of stocks, I can't and don't want to keep track of all the companies there. So it's because over time you're expecting to make a lot more from SCHD in total return AND income stream. 3 months it's already shooting up. is done. I like SCHD, but it is just 100 large companies in one country SCHY is the ex-US analogue of SCHD. is like 84k. But if you're ok with that it's not the worst portfolio in the world. Shame to see BMY replacing MRK in healthcare and some recent high performers (AVGO, ADP, WSM) out but such is the way of SCHD… After months of research I have settled on the idea of doing 50% SCHD for that stability and passive income and the other 50% into QQQM to not miss out on any AI-driven changes that I think are coming over the next decade and may shake things up. Aren’t the returns for schd vs. If you go into something like MAIN you get higher yield but its worse in every way other than that. BRK B apparently can get up faster but as well lower more as growth companies with no dividend doesn't seem a real catch for long term. SCHD also offers more potential for capital appreciation since, despite its reputation as an income fund, it’s really more of a value ETF. I also have SPYD. One way I categorize those two and SCHD in my head are that SCHD is closest to a large cap value, VOO large cap blend, and QQQ large cap tech growth. Thats a no-brainer approach. SCHD only has 100 stocks with no more than 4% in each. Even if SCHD works out fine for you, I'd say it's still bad process to go all-in on a specialized ETF. I have SCHD and working my way to 100 shares slowly. 2 SCHD for every 1 share of VOO. 104 votes, 88 comments. It comes down to how much growth and diversity you want to add on top of SCHD. 4% and Vanguard’s High Dividend Yield ETF (VYM), which is mostly flat” Due to double taxation, etfs like SCHD would badly perform, hence there is no market for these etfs here. The BIG difference is in methodology: VIG passively follows an index of div growers. Everyone knows VOO is volatile. SCHD and VTI good candidate for RRSP to take advantage of taxation . AVUV for my small cap value exposure and I like the way they pick their stocks for the fund as well. well everything is overprice these days. SPHD =$1. SCHD is a long term growth play that has a favorable dividend compared to other growth ETFs, and DIVO is a little mixture of both. 30 of VOO. I also dont buy schd only. And the best part is with the most part mix of SCHD with SCHG you get a higher dividend than if you went 100% on voo or broad market equivalent. They rebalance regularly too. Links: SCHD VYM. You would just need to decide how focused you want to be in information technology and adjust the 2 ETFs accordingly JEPI is pretty awesome, too - take a look. Point is, the value market cycle has been rather short lately. It’s purely an income play. 5%. A balance is required to not keep paying taxes on dividend income. I realized the dividend portfolio I built is very similar to SCHD so I have been considering selling all of the individual positions and putting the proceeds into SCHD just for simplicity. All of which are missing from VOO and SCHD. Even telling anyone you are thinking of another dividend play could result in you being tied to the pier for high tide. yes, my opinion is that schd is worth it for anyone. I’m using a Roth IRA. Plus SCHD has posted better dividend growth than my portfolio. I like the combination of SCHD and VIG as far as diversified dividend etfs. I do remember VNQ is tax aa regular income, SCHD,DGRO,VPU are qualified dividends, so taxes are better. SPYI is tracking SCHD in it's very short lifespan which makes sense since markets are down since then. While I understand it's a long-term play, I'm concerned about its recent performance and the potential opportunity cost of missing out on gains with VOO/VGT. Get the Reddit app Scan this QR code to download the app now. Our goal is to help Redditors get answers to questions about Fidelity products and services, money movement, transfers, trading and more. It ia true SCHD have low exposure to utilitiessmart idea to add VPU or XLU. I don’t think anyone gets into JEPI thinking it will beat SCHD in annual return. 5-4% yield. If your goal for a portfolio is to someday live off it - retirement, then what you need from the portfolio changes over time. Schd exclude reits, VNQ is nice but Is a good buy on a dip, now is to expensive to be honest. My personal recommendation is to follow a Boglehead 3-Fund Portfolio and skip the Bonds until later. Dividend 100 Index, which focuses on high dividend yield and a track record of consistently paying dividends. Consider that if you live, for instance, in Italy, you dividends are taxed 15% under US law and then by 26% by Italian law. 40% fdvv = $0. On the 12 year back test I ran, VOO's worst year was -18% while SCHD's worst year was only -5. Yea 3. SCHD produces income from the dividends of the shares it holds. With this in mind, it’s nice to get in a little cheaper, but it won’t matter that much whether or not you got in SCHD at 74. Just looking for some thoughts. May 28, 2019 · The total market fund has outperformed SCHD over that period, but SCHD has had lower draw downs in falling markets. Still have VOO in there as well. this is good if you happen to like the idea of mushrooms giving you some extra dividends while you own the whole pizza I know many people like avuv for getting the scv exposure, but most of my circles use the S&P or schd/dgro for all their large cap exposure and not a full value tilt. now your total income is 84k. I buy the We would like to show you a description here but the site won’t allow us. The former can SCHD underperformed the USA broader market from 2012 up till April 2022. schd -minus (the stocks i dont like ) why? Because for instance. 6 it beat SCHD by 6%. Yes the TER is higher as SCHD. 30% stocks like ABBV, JNJ, SBUX, VZ, AAPL, NEE, EPD, LIN, MRK, DVN, CVX, and some Canadian banks. And SCHD has been somewhat lucky probably beating out other similar funds by more than expected going forward. that would be a very happy single person right. Or check it out in the app stores   So far I’m at 50% schd, 25% vti, and 25% jepi. FDVV appears to be tech heavy (top 3 are msft, aapl, nvda) with only a ~25% overlap. So people bought dividend equities (like what SCHD holds) to get that 3. investing in a schd at an early age imo allows you to see the compounding effect of dividends, something i never got to really learn while i was your age. 5% so you still get dividend reinvestment but then growth of about 7-14% per year ( closer to 7% with inflation) and good exposure with diversifying risk. This is mainly due to SCHD concentration in certain stocks & sectors than VOO, which is more diversified. The SCHD outperformance you're seeing is mainly due to SCHD not declining as much as the broader market in 2022. HD used to be its stock #2 but now they rebalanced out of it so it is much lower on the lineup. SCHD has similar performance to VOO over 10yrs, though VOO is outperforming SCHD in the last 1yr. As such SCHD is more tax efficient since its dividend payout is lower (~3% vs ~9%) and the 3% dividend is taxed at a lower tax rate. If you want a broad market you should just replace schg with schx or schb The big thing you are missing is international so schf or schy My portfolio is SCHD, VIG, VTI, QQQ. In fact, 93% VTI and 7% cash is a nearly identical proxy for SCHD. I ran some analysis of my div stocks vs SCHD. During bull markets, any high yield US dividend fund (like SCHD, VYM, HDV) underperforms the broader Market (SPY, VTI, IVV, VOO, etc). If you hold them for 10 years, they’ll probably payout about the same. In the early years (20s) you want maximum growth and aren't as worried about volatility. I approach these as sort of a target date combination. My non roth is 3 ETFs. I currently do VOO/SCHD/QQQM/SOXX 35/35/15/15 Considering dumping qqqm because 81% off QQQ is in VOO and my cost basis for SOXX is to good to sell because I bought when NVDA tanked Reply reply As we shift our portfolio away from growth and more into income, I see a lot of suggestions for holding SCHD/DGRO in a retirement portfolio. That'll be fine, great hundred stocks for SCHD. But they have very different paremeters. Therefore, SCHD pays substantially more than VOO if you invested the same amount into both. For simplicity sake, I'd keep it in the family and do 50/50 SCHD/SCHG. And VTI includes small cap. It is also a strong company with a strong future. I do agree wiyh that. S. It is a great investment, wish I put less in QQQ and tech stocks and more in SCHD- but i'm ok with how my investments are doing over all. VTI + VXUS + SCHD + SCHY would probably be to your advantage. The other thing I looked at briefly was dividend yield and total return and although SCHD has a higher current yield compared to SCHG at 0. Profits from options trading are generally taxed as short-term or long-term capital gains, depending on the holding period. since over the long term markets tend to be up more than flat or down the idea is that SCHD should outperform long term on capital making up Schd makes up 4. Schd is another etf which focuses on strong companies that pay a dividend ; voo is a broad Market etf and includes companies that don't pay dividends as well as ones that do Owning both, in equal measure could be a Great strategy for anyone, especially at such an early age Dec 19, 2024 · I respect VIG and VYMI but the prescreening SCHD does and the ultimate market cap weighting at the end makes me put most of my dividend money into SCHD. Since inception of SPYD never beats SCHD. VOO outpaced SCHD slightly from start point until May of 2022, and at highest difference the VOO portfolio was about $5k higher than SCHD. You should dca in your desired ratio; rather than getting schg to 50k then buy schd to 15k you should think and act like: I want schg to be 80% and schd to be 20% and buy accordingly. SCHD: Dividends received from SCHD are taxed at the qualified dividend tax rate, which is typically lower than ordinary income rates for most investors. SCHD VTI SCHY 40%/15/10% - im going to make VTI = SCHD eventually Then I chose 3 solid stocks that I believe in MSFT OKE and RWT I have 15% in OKE but im not buying more and its 7% dividend. This is what I consider my growth area. I really like SCHd’s screening process (in all fairness it isn’t SCHD’s process - the index that it tracks). With O, I can follow and can keep track of. They're different from one another and have different risk profiles. DCA your SCHD contribution into SGOV. 29% APY for me, crushing SCHD's 3. svlcw tbmm edjmd mujy ziobfm rtzeh xxgahx owco csqo fumop ehusqg ocsukpt torid jezk mqio