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5 ETFs Returning & Yielding More Than the S&P 500 in 1H
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The S&P 500 is up 13.3% this year (as of Jun 23, 2023) and yields about 1.51% annually. The rally has been powered by the tech rally, the AI boom and the better-than-expected earnings as well as a resilient U.S. economy despite high inflation. A less-hawkish Fed has also contributed to the well-being of Wall Street This year.
However, the rally eased somewhat in June as the Fed chief Powell indicated that more rate hikes are in the cards this year. Market participants are expecting at least two rate hikes this year each worth 25 bps. In this scenario, dividend investing has been muted somewhat this year as the market was super-charged in the first five months.
Still, there were a few dividend ETF victors that beat the S&P 500 so far this year and also yielded better the key U.S. equity gauge. Since rising rates have been prevalent, investors are interested in equities that have the potential to offer capital appreciation as well as decent current income. After all, dividends are one of the ways to ride out turbulent times.
Below we highlight those dividend ETF winners that returned and yielded more than the S&P 500.
ETFs in Focus
WisdomTree Japan Hedged SmallCap Equity Fund (DXJS - Free Report) ) – Yields 3.18%; up 21.9% YTD
The underlying WisdomTree Japan Hedged SmallCap Equity Index is designed to provide exposure to the small capitalization segment of the Japanese equity markets while at the same time neutralizing exposure to fluctuations of the Japanese Yen movements relative to the U.S. dollar. The fund charges 58 bps in fees.
The underlying S&P Emerging Markets Dividend Opportunities Index includes 100 tradable, exchange-listed common stocks from emerging market countries that offer high dividend yields. The fund charges 49 bps in fees.
Nationwide Nasdaq-100 Risk-Managed Income ETF (NUSI - Free Report) ) – Yields 7.18%; up 19.8%
The Nationwide Risk-Managed Income ETF seeks current income with downside protection. The fund charges 68 bps in fees.
The underlying Dividend Performers ETF seeks current income with capital appreciation being a secondary goal. The fund charges 85 bps in fees.
Pacer Metaurus US Large Cap Dividend Multiplier 300 ETF ) – Yields 4.89%; up 13.9%
The underlying Metaurus US Large Cap Dividend Multiplier Index Series 300 has two components an S&P 500 Index component and a dividend component consisting of long positions in annual futures contracts that provide exposure to ordinary dividends paid on the common stocks of companies included in the S&P 500. The fund charges 79 bps in fees.
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5 ETFs Returning & Yielding More Than the S&P 500 in 1H
The S&P 500 is up 13.3% this year (as of Jun 23, 2023) and yields about 1.51% annually. The rally has been powered by the tech rally, the AI boom and the better-than-expected earnings as well as a resilient U.S. economy despite high inflation. A less-hawkish Fed has also contributed to the well-being of Wall Street This year.
However, the rally eased somewhat in June as the Fed chief Powell indicated that more rate hikes are in the cards this year. Market participants are expecting at least two rate hikes this year each worth 25 bps. In this scenario, dividend investing has been muted somewhat this year as the market was super-charged in the first five months.
Still, there were a few dividend ETF victors that beat the S&P 500 so far this year and also yielded better the key U.S. equity gauge. Since rising rates have been prevalent, investors are interested in equities that have the potential to offer capital appreciation as well as decent current income. After all, dividends are one of the ways to ride out turbulent times.
Below we highlight those dividend ETF winners that returned and yielded more than the S&P 500.
ETFs in Focus
WisdomTree Japan Hedged SmallCap Equity Fund (DXJS - Free Report) ) – Yields 3.18%; up 21.9% YTD
The underlying WisdomTree Japan Hedged SmallCap Equity Index is designed to provide exposure to the small capitalization segment of the Japanese equity markets while at the same time neutralizing exposure to fluctuations of the Japanese Yen movements relative to the U.S. dollar. The fund charges 58 bps in fees.
SPDR S&P Emerging Markets Dividend ETF (EDIV - Free Report) ) – Yields 4.17%; up 21.7%
The underlying S&P Emerging Markets Dividend Opportunities Index includes 100 tradable, exchange-listed common stocks from emerging market countries that offer high dividend yields. The fund charges 49 bps in fees.
Nationwide Nasdaq-100 Risk-Managed Income ETF (NUSI - Free Report) ) – Yields 7.18%; up 19.8%
The Nationwide Risk-Managed Income ETF seeks current income with downside protection. The fund charges 68 bps in fees.
Dividend Performers ETF (IPDP - Free Report) ) – Yields 2.45%; up 16.2%
The underlying Dividend Performers ETF seeks current income with capital appreciation being a secondary goal. The fund charges 85 bps in fees.
Pacer Metaurus US Large Cap Dividend Multiplier 300 ETF ) – Yields 4.89%; up 13.9%
The underlying Metaurus US Large Cap Dividend Multiplier Index Series 300 has two components an S&P 500 Index component and a dividend component consisting of long positions in annual futures contracts that provide exposure to ordinary dividends paid on the common stocks of companies included in the S&P 500. The fund charges 79 bps in fees.