We reviewed and ranked our top 10 dividend ETFs for income and long-term total returns. While investing has no shortcuts, we believe these dividend ETFs are some of the best one out there for dividend growth investors.
These companies have pricing power to pass through inflating costs, low debt to protect from higher interest rates, and essential products that generate steady cash flow. In addition, they offer dividend yields near 3% or higher, have paid uninterrupted dividends for at least 20 years, outperformed the S&P 500 during the 2007-2009 financial crisis, and have a Safe or Very Safe Dividend Safety Score.
In this guide, we will answer these questions and review how covered call ETFs work, dividend safety concerns, the performance of covered call ETFs, tax consequences of owning covered call ETFs, and whether retirees should own these high-yield funds.
Investors can drive themselves mad trying to anticipate the abrupt rotations in the market. Such shifts cannot be predicted with any consistency, despite the urges you might feel to chase price momentum, which continues until it doesn’t (or until I buy, in my experience).
Each of these stocks have a dividend yield above 4% (some as high as 10%), a Borderline Safe, Safe or Very Safe Dividend Safety Score, an investment-grade credit rating (except for two unrated stocks), and an ability and desire to protect their dividends during downturns.
These stocks have a dividend yield near 3% or higher, paid uninterrupted dividends for at least 20 years (including 7 stocks with 100-plus-year streaks), outperformed the S&P 500 during the 2007-09 financial crisis, and a “Safe” or “Very Safe” Dividend Safety Score from Simply Safe Dividends.
If we owned shares, we would consider selling and investing in more conservative multi-line utility firms with healthier dividend profiles, like these two stocks…
These companies possess pricing power to pass through inflating costs, low debt to protect from higher interest rates, and essential products that generate steady cash flow. In addition, they have dividend yields near 3% or higher, have paid uninterrupted dividends for at least 20 years (including 7 stocks with 100-plus-year streaks), outperformed the S&P 500 during the 2007-09 financial crisis, and have a Safe or Very Safe Dividend Safety Score.
The company seems like a safe bet to continue delivering safe income and steady payout growth in the years ahead, and in all economic environments.
Don’t allow anxiety of the moment to derail your retirement plans by panicking and doing something that affects your portfolio’s long-term sustainability.
