Schwab U.S. Dividend ETF: A Smart Investment Option

NEW YORK, NY — On September 15, 2025, the Schwab U.S. Dividend Equity ETF was noted for its current price of $27.44, reflecting a slight decrease of $0.04, or 0.15%, for the trading day.

This ETF, recognized by its low annual fees of just 0.06%, tracks the Dow Jones U.S. Dividend 100 Index, which comprises 100 stocks known for paying dividends consistently for over a decade. It targets companies with strong financial health, focusing on metrics like cash flow compared to total debt.

The Schwab U.S. Dividend Equity ETF boasts a recent dividend yield of approximately 3.7%. For an investment of $10,000, investors can expect around $370 in yearly dividends. Moreover, many of the underlying companies in the index are expected to grow in value and increase their dividends over time.

According to data from Morningstar.com, the ETF had impressive average annual gains of 7.79% over the past three years, 11.92% over five years, and 12.09% over ten years. With such a performance record, this fund offers long-term income potential combined with stock price growth.

“Dividend payers are generally more reliable in the investment landscape,” said Selena Maranjian, a contributing expert at The Motley Fool. “They show a commitment to returning profits to their shareholders, indicating financial strength.”

As of September 6, 2025, the top holdings in the ETF include AbbVie, Chevron, and Altria Group, with yields ranging from 2.19% to 6.45%. This selection of well-established companies positions the ETF as an attractive option for income-focused investors.

Maranjian encourages those considering the ETF to take a long-term view. “It’s wise to invest now and ride out market fluctuations instead of waiting on the sidelines,” she added.

Investors interested in the Schwab U.S. Dividend Equity ETF should weigh its benefits against their financial goals. As of now, the consensus appears to favor it as a reasonable investment opportunity in the current market.