SCHD Dividend ETF: Complete Guide

This guide book is a one-stop shop for investors who want exposure to a carefully curated portfolio of high-quality, dividend-paying American companies. SCHD, which stands for Schwab U.S. Dividend Equity ETF, is one of the most popular dividend-focused exchange-traded funds in the United States. It was launched by Charles Schwab on October 20, 2011, and has since grown to become one of the largest ETFs in the country, with assets under management frequently exceeding $50 billion.

SCHD is designed to track the Dow Jones U.S. Dividend 100 Index, a benchmark that selects approximately 100 stocks from dividend-paying U.S. companies based on a rigorous set of quality and income criteria. The fund is not simply trying to find the highest-yielding stocks - instead, it seeks companies that pay meaningful, growing dividends and that possess the financial strength to continue doing so for years and decades to come.