Monkey-brain ETFs: Dividend ETFs

Basically what attracts me is more likely this:

(That’s also why I won’t buy JEPG)

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Likewise, the often missed nuance among less sophisticated people (not here!) is that the only similarity of covered calls and dividends is that they’re paid in cash.

That is interesting.
Isn’t a Value ETF better for this purpose?
Any references?

Why would one do that when looking for dividends and CAGR?

I was referring to that point

Well if you have a look at schd or Tdiv constituents (not the same though) it’s quite different from world or US cap weighted ETF. And it’s rather small, 100 stocks.

Different does not mean good, value, or hedged though…

Yes, I understand that they are different. My point was that if the main purpose is to address the high valuations wouldn’t a value ETF be better?
It is not a recommendation. Just a question :slight_smile:
I am very interested in good ways to address the super high valuations…

It probably would be, but it wouldn’t be for monkeys then!

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I don’t know if that’s reliable,

Stocks app / yahoo finances shows a PE of 15 for TDIV which looks low to me, also considering the recent rally.

Edit: also in their docs.
Price/earnings 12 months 14.15
price/bookings 12 months 1.82

Possibly a value orientated ETF would be better, but the selection of SCHD isn’t so much value but companies with a healthy balance sheet. They are less likely to reduce dividends in a crash relative to share price drops, so perhaps you still get a 3-3.5% yield.

In theory, there should be no benefit of a value ETF as the market is optimal

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I’d like a non-distributing version of SCHD.

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OK. I get the dividend distribution part and the behavioral aspect.

The theory (and statistics) says that value investing is different from the market long term due to the exposure on different type of risk VS market risk. (See Fama-French 3/5 factor model)

Anyway, I don’t think we are knowledgeable enough to say if factors are alive or not. Future will tell..

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Indeed, 100%. After all economics and finance are no more scientific than phrenology or history, science predicts the future facts, social -ologies just try to understand what happened after the fact. But cash is real, hence divvies :slight_smile:

Hahaha… Feels like dividend investors are like “bla bla and bla bla bla and … hence divvies” :slight_smile:

Of course, man, whadayathink we are? Sophisticated Frenchy factor ladidas looking for pie in the sky, pipe dream “total return”? No, not at all! Gimme beans and car tires, soap and toilet paper, oil and gunz, insurance, banking and allergy inhalers - that’s what makes the world go ‘round, none of that ey eye crypto bullscheisse that people riding wooden bicycles invest in :smiley:

Bloodbath in tech, thank ef SCHD/BRK/CHDVD are picking up the slack from TQQQ and VWRL and the portfolio is looking fine. Of course I am being deliberately obtuse, SCHD has been lagging for years, now the goldfish-brained monkeys on the dividend subreddits are going “haha, I told you so” :wink:

Sorry, long day today, still working, posting crap is my displacement activity!

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10/10

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Not really low over the long-term, for high-dividend companies (banks, oil stocks etc.)

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Yeah well, I’ve got another theory: we like to have theories.

Bored level at its maximum, what if I include a new etf in my spreadsheet, get its constituents, geo, sectors, and build graphs of how my PF would behave with 5,10,20 of this new seed…

And then do nothing but keep the strategy on. Congrats, I’ve passed another stress test.

Comparing TDIV to SP500 is somehow unfair… :innocent:

Should be compared to VWRL / VT…
(If not to other dividend ETF such as SCHY or VHYL )

Aaaaand… you’re very right. But at first it was to compliment this WORLD portfolio (with only 23% usa) to beat, by large, large cap us stocks on a 5y basis.

So who’s buying?