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SCHD Leads Dividend ETF Picks for 2026 as Value Regains Ground

Signs of a rotation toward value are lifting interest in dividend-growth funds.

Overview

  • SCHD holds roughly 103 stocks, tracks the Dow Jones U.S. Dividend 100 Index, pays quarterly, and recently showed a trailing 12-month yield near 3.74%.
  • SCHD has been outperforming the S&P 500 since early November as value and dividend names begin to take the lead over mega-cap growth.
  • Coverage contrasts SCHD’s dividend-growth approach with QQQI’s higher-yield, monthly payout model, underscoring a trade-off between frequency and long-term quality.
  • Analysts highlight SCHD alongside WisdomTree U.S. Quality Dividend Growth and Vanguard International High Dividend Yield as core income allocations for 2026.
  • The Federal Reserve’s recent quarter-point rate cut and stronger 2026 growth projections provide a backdrop that could favor dividend strategies.