Dividend Kings are stocks with at least 50 years of uninterrupted dividend growth, ideal for income-seeking investors. Dividend growth ETFs differ in payout consistency, but some, like Schwab U.S. Dividend Equity ETF (SCHD), have delivered a decade of consistent dividend growth. SCHD selects stocks with 10 years of dividend payments and favorable characteristics for its portfolio.

SCHD has grown its annual dividend every year since 2011, with a current yield of 3.8%. The fund’s defensive, mature cash-flow generating companies provide stability and value. With a P/E ratio of 16.7 and an expense ratio of 0.06%, SCHD offers high yield and predictability. Its sector holdings include energy, consumer staples, and healthcare.

SCHD’s top five holdings are Merck, Amgen, Cisco Systems, AbbVie, and Coca-Cola. While not high-flying tech stocks, these companies offer steady income. The fund’s yield is more than three times the S&P 500’s, providing downside protection in a downturn. SCHD’s performance reflects its commitment to consistent dividend growth and stability.

For investors seeking a combination of dividend predictability and high yield, the Schwab U.S. Dividend Equity ETF is a top choice. With a track record of annual dividend growth and a defensive portfolio, SCHD offers stability and value. The fund’s consistent performance and focus on mature cash-flow generating companies make it an attractive option for income-seeking investors.

Read more at Yahoo Finance: This High-Yield ETF Has Increased Payouts 13 Years Straight — and It’s Still Undervalued