Schwab International Dividend Equity ETF (SCHY)
ARCA ARCA Primary 
SCHY Vs. IGRO: Comparing Two Top Low P/E International Dividend Growth ETFs
International stocks remain significantly undervalued, presenting a potential investment opportunity for retail investors. Key indexes like the Dow Jones International Dividend 100 and Morningstar Global ex-US Dividend Growth Index guide investment strategies in this matchup. Funds talked about investing in ADRs, GDRs, EDRs, and up to 20% in futures, options, swaps, cash, and equivalents.
SCHY: A Rare High Income Value Play Opportunity?
SCHY offers a 6% starting yield with the potential for double-digit yield on cost in under 10 years, driven by consistent dividend growth. SCHY is an efficient addition to a portfolio focused on value and income for US investors. High turnover and underperformance compared to its peers pose a challenge in the short term; long-term these metrics should be tracked to ensure the methodology is the right fit for the international landscape.
SCHY: Makes An Excellent International Companion To SCHD
The Schwab International Dividend Equity ETF offers diversified international exposure, focusing on dividend-paying stocks outside the US, and serves as a defensive hedge against US market volatility. SCHY's selection criteria include 10 consecutive years of dividend payments and a market cap of at least $500M, ensuring high-quality holdings. Despite underperforming peers and lacking tech exposure, SCHY complements SCHD by providing higher starting yields and international diversification.
Worried About A Bubble In U.S. Stocks? Then Check Out SCHY
Schwab International Dividend Equity ETF offers an attractive yield and lower valuation compared to U.S. markets, making it a compelling option for dividend investors. Warren Buffett's recent stock sales and elevated Shiller P/E ratio suggest U.S. markets are overvalued, prompting a cautious investment approach. While U.S. stocks have qualitative advantages, international equities provide a lower valuation and decent growth potential, making them a viable alternative.
SCHY: Beating The Benchmark, But Lagging Some Competitors
Schwab International Dividend Equity ETF focuses on 100 dividend stocks, emphasizing yield, dividend growth, and quality. The SCHY ETF is well-diversified across countries, sectors and holdings, and shows value characteristics without sacrificing growth. The SCHY track record is promising compared to an ex-US benchmark, but it lags some competitors.
SCHY: Going Global In The Hunt For Yield
Dividend stocks and ETFs have performed well recently, making high yields harder to find; SCHY offers a 4.58% FWD yield as an alternative. SCHY, launched in 2021, is an international version of SCHD with a higher expense ratio and similar short-term returns, but lags in the long term. SCHY's sophisticated screening process ensures high-quality, liquid stocks with consistent dividends, but its performance is still behind VYMI.
SCHY ETF: Appreciate The Screening Intent, But The Jury Is Still Out
SCHY employs a rigorous screening process whilst selecting its stocks, but the results are not good enough. VYMI, its larger peer, appears to have better qualities. We close with some thoughts on the technicals and the valuations.
SCHY: A Performance Drag Compared To VYMI (Rating Downgrade)
SCHY is down 1% this year, significantly underperforming SPY and VEU amid a stronger USD but strength in global equities.
