SDIV offers a hefty 10% yield. We go over how it generates these returns. We give you two better choices.
SDIV has underperformed the S&P 500 but performed fine among ex-US equity areas, with the Real Estate sector showing surprising strength as of late. The ETF offers high foreign allocation to Real Estate, and its valuation is downright cheap today after returning about 15% since June 2023. SDIV accesses 100 high dividend-paying equities globally, providing diversification and potential for increased portfolio yield, but the portfolio's sector composition differs significantly from that of the S&P 500.
Global X SuperDividend™ ETF invests in 100 dividend stocks around the world with some of the highest yields. The SDIV ETF yield and valuation look attractive, but the fund has lost 69% in price since 2011 and 45% in distribution since 2013. SDIV was a sub-par investment in the strongest bull market in history, and it is unlikely to do better in the future.
SDIV is one of the highest-yielding equity ETFs in the market, with a 10.8% dividend yield. Although income is strong, the fund has suffered from declining distributions and share prices in the past. Some income ETFs offer comparable yields with stronger dividend growth and return track-records. A quick look at some of these follows.