ETF of the Day - iShares High Dividend ETF

ETF of the Day - iShares High Dividend Equity ETF ($HDV)

The ETF is a basket of 75 stocks, mainly health care (27%), consumer goods (23%), utilities (17%), and telecom (16%). The ETF invests in a basket of stocks that pay above-average dividends, that in this market are highly sought after. Considering the S&P 500 is down 1% through 11 months, the 3.8% dividend yield on $HDV is attractive.

The ETF began trading on 3/31 and since that time is up 6.2%. During the same time frame the SPDR S&P 500 ETF ($SPY) is down 5.6%. A MAJOR DIFFERENCE.

The expense ratio is 0.40%.

Technically the ETF is on the verge of a breakout and can be bought in the low-$50's. Keep in mind $HDV will likely lag during a strong bull market, but should hold up better in a sideways/volatile market that we are experiencing now.