As the tech rally shows signs of fatigue, dividend stocks could be poised to lead the market in 2026. The Schwab U.S. Dividend Equity ETF and the WisdomTree U.S. Quality Dividend Growth ETF focus on solid fundamentals and long-term payout growth.
Launched on 05/22/2013, the WisdomTree U.S. Quality Dividend Growth ETF (DGRW) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market.
In 2025, speculative fervor has gripped markets as low-quality, unprofitable companies have significantly outperformed fundamentally strong peers across market caps. While the rally defies traditional investment logic, history shows that quality companies consistently outperform over full cycles and offer crucial downside protection. Investors seeking resilience amid volatility may consider the WisdomTree U.S. Quality Dividend Growth Fund (DGRW), which has demonstrated strong defensive characteristics in declining markets.
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The company in question appears to be focused on providing investment solutions, specifically through the management of a fund that allocates a significant portion of its assets to securities indexed to a fundamentally weighted index. This index is comprised of dividend-paying U.S. common stocks that demonstrate growth characteristics. The fund adopts a non-diversified investment approach, emphasizing its concentrated investment in assets that mirror the economic characteristics of the selected index securities. By doing so, the company aims to offer its investors exposure to the growth potential of U.S. dividend-paying stocks, while employing a strategy that seeks to replicate the economic outcomes of the index constituents through direct investments and equivalents.
This service involves managing a fund that invests at least 80% of its total assets in securities of a specified index and in investments that mimic the economic characteristics of those securities. The primary focus is on a fundamentally weighted index of dividend-paying U.S. common stocks with growth characteristics, ensuring that the fund remains aligned with the investment preferences and growth objectives of its target clientele.
The fund also invests in financial instruments and other investments that have economic characteristics substantially identical to the constituent securities of the targeted index. This approach enhances the fund's ability to align closely with the index’s performance, thereby offering potential for growth by closely tracking the economic outcomes of its chosen segment of the U.S. stock market.