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SCHD Leads 2026 Dividend Rally, Topping the S&P 500

A strict quality screen with a low fee fits 2026’s shift toward cash‑rich, steady payers.

Overview

  • SCHD has returned about 17% this year versus roughly 8% for the S&P 500, putting dividend growth back in front in 2026.
  • SCHD tracks the Dow Jones U.S. Dividend 100 Index, which demands 10 years of dividends, checks cash flow against debt, and ranks candidates by yield and five‑year dividend growth.
  • The fund offers a yield near 3.3%–3.4% compared with about 1.1% for the S&P 500, while charging a 0.06% expense ratio and showing a five‑year beta near 0.61.
  • The portfolio holds about 100 stocks, and the most recent annual reconstitution added 25 new names to refresh dividend quality.
  • For income planning, coverage highlights SCHD’s quarterly payouts and role as a core anchor in a monthly income mix, with about $71.6 billion in assets and a track record of rising distributions.