We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
While the longest U.S. government shutdown ended, offering fresh cues to Wall Street for a sustained rally, the undercurrent of the global markets looks anything but steady. Wall Street has been wavering lately, thanks to concerns related to rich artificial intelligence (AI) valuations.
Investors grew increasingly cautious amid mounting economic uncertainty and stretched market valuations.Agreed, U.S.-China trade tensions are showing signs of easing, but we cannot ignore the competitiveness between the two countries.
Worrying Economic Indictors
According to Challenger, Gray & Christmas, corporate layoff announcements witnessed a 183.1% monthly spike in October, marking the sharpest jump in about two decades, as quoted on Reuters. Cost-cutting and AI-driven restructuring have been mainly held responsible for these corporate decisions.
Retail sales in this year’s Holiday Season will likely increase between 3.7% and 4.2% over 2024. Total spending will likely touch the range of $1.01 trillion to $1.02 trillion, per NRF. But the expected growth rate is slower than last year’s. Holiday sales rose 4.3% year over year to reach $976.1 billion last year. Sales growth may soften due to lingering economic concerns.
The U.S. GDP growth rate for Q4 2025 is projected to be 1.2% year over year (per EY). S&P Global also forecasts a “below-trend” U.S. growth in Q4 due to the still-present policy uncertainty.
Wall Street Valuation Too Ripe?
The U.S. stock market has surged more than 30% since the April lows. But it’s now facing a warning from one of the moderately famous indicators. The so-called “Buffett Indicator” has climbed to levels last seen before the 2022 bear market, per Bloomberg, as quoted on Yahoo Finance.
The metric compares the total market capitalization of U.S. stocks, now hovering around $72 trillion, to the nation’s gross domestic product (GDP). Despite GDP recently growing at its fastest clip in nearly two years, the ratio shows that the stock market’s value has jumped to more than twice the size of the economy, indicating overheating, the aforementioned article noted.
Time for Dividend Investing?
In such a volatile scenario, dividend ETFs normally come to the rescue. The hunt for dividends in the equity market is always on, irrespective of how it is behaving. After all, who doesn’t like a steady stream of current income along with capital gains? And if investors are mired in a web of equity market uncertainty, global growth worries and geopolitical crisis, the lure for dividend investing increases further.
Investors should note that not all dividend stocks serve the same purpose. While the high-yield ones are known for offering hefty current income, stocks with dividend growth point to quality investing — a prerequisite to making money in this volatile environment.
Why Invest in Low-Priced Dividend ETFs?
With market valuations hovering at lofty levels, it is better to bet on low-priced ETFs. Low-priced securities are more affordable, as more shares can be purchased instead of few higher-priced shares for the same amount.
Low-priced ETFs may offer higher growth potential. For example, if a stock is priced at $20 and increases by $1, that's a 5% gain. This is in contrast to stocks priced at $100 or above, which see a 1% gain if shares move up by $1.
ETFs Under $50
Schwab US Dividend Equity ETF (SCHD - Free Report) – $27.16 as of Nov. 11, 2025
The underlying Dow Jones U.S. Dividend 100 Index is designed to measure the performance of high dividend-yielding stocks issued by U.S. companies that have a record of consistently paying dividends, selected for fundamental strength relative to their peers, based on financial ratios. It charges 6 bps in fees and yields 3.80% annually.
Capital Group Dividend Value ETF (CGDV - Free Report) – $43.37
It looks to produce consistent income that exceeds the average yield of the S&P 500 by focusing on companies that pay dividends or have the potential to pay dividends. It charges 33 bps in fees and yields 1.28% annually.
State Street SPDR Portfolio S&P 500 High Dividend ETF (SPYD - Free Report) – $43.25
The underlying S&P 500 High Dividend Index is designed to measure the performance of the top 80 dividend-paying securities listed on the S&P 500 Index, based on dividend yield. It charges 7 bps in fees and yields 4.52% annually.
The underlying Dow Jones EPAC Select Dividend Index measures the performance of a select group of equity securities issued by companies that have provided relatively high dividend yields on a consistent basis over time. It charges 50 bps in fees and yields 4.53% annually.
First Trust Morningstar Dividend Leaders Index Fund (FDL - Free Report) – $43.69
The underlying Morningstar Dividend Leaders Index consists of stocks listed on one of the three major exchanges, NYSE, NYSE Amex or Nasdaq, that have shown dividend consistency and dividend sustainability. It charges 43 bps in fees and yields 4.65% annually.
The ETF holds high-quality dividend-oriented stocks, along with covered calls on individual stocks. It charges 56 bps in fees and yields 4.46% annually.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
6 Dividend ETFs Under $50 to Buy Now
While the longest U.S. government shutdown ended, offering fresh cues to Wall Street for a sustained rally, the undercurrent of the global markets looks anything but steady. Wall Street has been wavering lately, thanks to concerns related to rich artificial intelligence (AI) valuations.
Investors grew increasingly cautious amid mounting economic uncertainty and stretched market valuations.Agreed, U.S.-China trade tensions are showing signs of easing, but we cannot ignore the competitiveness between the two countries.
Worrying Economic Indictors
According to Challenger, Gray & Christmas, corporate layoff announcements witnessed a 183.1% monthly spike in October, marking the sharpest jump in about two decades, as quoted on Reuters. Cost-cutting and AI-driven restructuring have been mainly held responsible for these corporate decisions.
Retail sales in this year’s Holiday Season will likely increase between 3.7% and 4.2% over 2024. Total spending will likely touch the range of $1.01 trillion to $1.02 trillion, per NRF. But the expected growth rate is slower than last year’s. Holiday sales rose 4.3% year over year to reach $976.1 billion last year. Sales growth may soften due to lingering economic concerns.
The U.S. GDP growth rate for Q4 2025 is projected to be 1.2% year over year (per EY). S&P Global also forecasts a “below-trend” U.S. growth in Q4 due to the still-present policy uncertainty.
Wall Street Valuation Too Ripe?
The U.S. stock market has surged more than 30% since the April lows. But it’s now facing a warning from one of the moderately famous indicators. The so-called “Buffett Indicator” has climbed to levels last seen before the 2022 bear market, per Bloomberg, as quoted on Yahoo Finance.
The metric compares the total market capitalization of U.S. stocks, now hovering around $72 trillion, to the nation’s gross domestic product (GDP). Despite GDP recently growing at its fastest clip in nearly two years, the ratio shows that the stock market’s value has jumped to more than twice the size of the economy, indicating overheating, the aforementioned article noted.
Time for Dividend Investing?
In such a volatile scenario, dividend ETFs normally come to the rescue. The hunt for dividends in the equity market is always on, irrespective of how it is behaving. After all, who doesn’t like a steady stream of current income along with capital gains? And if investors are mired in a web of equity market uncertainty, global growth worries and geopolitical crisis, the lure for dividend investing increases further.
Investors should note that not all dividend stocks serve the same purpose. While the high-yield ones are known for offering hefty current income, stocks with dividend growth point to quality investing — a prerequisite to making money in this volatile environment.
Why Invest in Low-Priced Dividend ETFs?
With market valuations hovering at lofty levels, it is better to bet on low-priced ETFs. Low-priced securities are more affordable, as more shares can be purchased instead of few higher-priced shares for the same amount.
Low-priced ETFs may offer higher growth potential. For example, if a stock is priced at $20 and increases by $1, that's a 5% gain. This is in contrast to stocks priced at $100 or above, which see a 1% gain if shares move up by $1.
ETFs Under $50
Schwab US Dividend Equity ETF (SCHD - Free Report) – $27.16 as of Nov. 11, 2025
The underlying Dow Jones U.S. Dividend 100 Index is designed to measure the performance of high dividend-yielding stocks issued by U.S. companies that have a record of consistently paying dividends, selected for fundamental strength relative to their peers, based on financial ratios. It charges 6 bps in fees and yields 3.80% annually.
Capital Group Dividend Value ETF (CGDV - Free Report) – $43.37
It looks to produce consistent income that exceeds the average yield of the S&P 500 by focusing on companies that pay dividends or have the potential to pay dividends. It charges 33 bps in fees and yields 1.28% annually.
State Street SPDR Portfolio S&P 500 High Dividend ETF (SPYD - Free Report) – $43.25
The underlying S&P 500 High Dividend Index is designed to measure the performance of the top 80 dividend-paying securities listed on the S&P 500 Index, based on dividend yield. It charges 7 bps in fees and yields 4.52% annually.
iShares International Select Dividend ETF (IDV - Free Report) – $38.36
The underlying Dow Jones EPAC Select Dividend Index measures the performance of a select group of equity securities issued by companies that have provided relatively high dividend yields on a consistent basis over time. It charges 50 bps in fees and yields 4.53% annually.
First Trust Morningstar Dividend Leaders Index Fund (FDL - Free Report) – $43.69
The underlying Morningstar Dividend Leaders Index consists of stocks listed on one of the three major exchanges, NYSE, NYSE Amex or Nasdaq, that have shown dividend consistency and dividend sustainability. It charges 43 bps in fees and yields 4.65% annually.
Amplify CWP Enhanced Dividend Income ETF (DIVO - Free Report) – $45.53
The ETF holds high-quality dividend-oriented stocks, along with covered calls on individual stocks. It charges 56 bps in fees and yields 4.46% annually.