From Yahoo Finance: 2025-05-30 03:02:00

The Schwab U.S. Dividend Equity ETF offers a 4% yield with 100 high-quality, high-yield dividend stocks. It aims to provide a lucrative and growing passive income stream along with price appreciation potential. The ETF tracks the Dow Jones U.S. Dividend 100 Index, selecting stocks with sustainable dividends. The holdings had an average yield of 3.8% and grew payouts by 8.4% annually over the past five years. One notable addition is ConocoPhillips, delivering strong dividend growth. The fund’s focus on dividend growth has resulted in steady rising income and strong total returns over the long term. The ETF aligns with historical data showing dividend growers outperforming other types of companies. Investors can benefit from a rising passive income stream and potential price appreciation. Before investing in the fund, investors should consider other top stock picks by the Motley Fool Stock Advisor team, with historical returns significantly outperforming the S&P 500. Matt DiLallo has positions in ConocoPhillips and Schwab U.S. Dividend Equity ETF.

Read more: Why I Can’t Stop Buying This 4%-Yielding Dividend ETF for Passive Income