Saturday, December 27, 2014

Higher Dividends With Less Risk (Part 3): Global X SuperDividend U.S. ETF - Global X Super Dividend U.S. ETF (NYSEARCA:DIV) | Seeking Alpha

Higher Dividends With Less Risk (Part 3): Global X SuperDividend U.S. ETF - Global X Super Dividend U.S. ETF (NYSEARCA:DIV) | Seeking Alpha



Here is an outstanding article which discusses the great value of owning dividend ETFs.  While DIV is the primary focus of this article, the author compares DIV to the gold standard DVY and two other dividend ETFs.  DIV has around a 6% dividend which is distributed monthly.  This might not sound like much, but DIV is a worthwhile holding for a diversified portfolio.



The author lists the 50 companies which are held in DIV along with the dividends that the companies are paying.  DIV is comprised of many MLPs and REITs.  By holding this ETF, you can participate in MLPs without having to fill out time consuming K-1 tax forms.



Another interesting fact about DIV is that the total return has been 28% during the past 21 months although DVY did better with 36%.  So, you can make money through quality dividend stocks with price gains as well as dividends.  As long as we are not in a bear market, both of these stocks would be great for holding.


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