|Bid||11.50 x 3000|
|Ask||46.00 x 4000|
|Day's Range||44.09 - 44.34|
|52 Week Range||35.85 - 44.96|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.00|
|Expense Ratio (net)||0.28%|
There are dozens of dividend growth exchange traded funds on the market today, but many of those products access dividend growth in various fashions. The WisdomTree U.S. Quality Dividend Growth Fund (DGRW) is an example of an ETF that employs crucial financial metrics in search of stocks with the capacity to consistently boost payouts. DGRW includes companies with high long-term earnings-growth forecasts for the next three to five years and weights components based on the value of dividends they are expected to pay over the next year.
As ETF investors carefully look over the current market environment, many are considering equity and fixed-income strategies that could help diversify and enhance an investment portfolio in a more trying environment. On the recent webcast, Macro Strategies: Navigating Choppy Market Waters, Kevin Flanagan, Senior Fixed Income Strategist for WisdomTree, argued that supportive elements that previously bolstered the economy and U.S. markets are beginning to fade so investors should hold back expectations. While we continue to see the economy improve, with strong GDP, stable inflation and robust employment with rising wages, the economy is moving toward the later stages of the traditional business cycle and investors should take steps to adapt to the changes.
Investors are testing the market waters and considering how they will position for the year ahead before diving in head first. On the upcoming webcast, Macro Strategies: Navigating Choppy Market Waters, ...
Forget about cut in expense ratios. Brokers are now engaged in bringing up torrents of commission-free ETFs on their trading platform.
Furthermore, over two dozen companies have announced additional dividend increases this month, which could push the year's total to an even higher level. Investors are enjoying the dividend growth due to a surge in company profits following last year's broad corporate tax cuts. “There was a confluence of a couple of things that contributed to dividends that won’t happen again,” Jim Tierney, chief investment officer of concentrated U.S. growth at AllianceBernstein, told the WSJ.
In recent weeks, the S&P 500 has been on a rollercoaster ride, plunging dramatically in early October only to make partial recoveries heading into November. Understandably, investors may be skittish about the prospect of equities at this point in time, with some calling for the largest recession in years.
Dividend Aristocrat ETFs lead to a healthy portfolio with a greater scope of capital appreciation as opposed to simple dividend paying stocks or those with high yields.
Some passively managed dividend-focused exchange traded funds top actively managed equivalents. The WisdomTree U.S. Quality Dividend Growth Fund (DGRW) is an example of one such fund. DGRW includes companies with high long-term earnings-growth forecasts for the next three to five years and weights components based on the value of dividends they are expected to pay over the next year.
Investors should be careful when navigating the current environment and consider some ETF investment vehicles that are designed to outperform when interest rates rise. Overall, we can anticipate further strengthening in the economy, which will lead to a tighter monetary policy out of the Fed. For instance, the government recently revealed the U.S. economy expanded at a 4.1% rate, its best quarterly performance since 2014. Flanagan warned that the U.S. budget deficit has widened and the Treasury Department has been increasing supply of U.S. Treasuries - Treasury supply for the fiscal year 2018 is expected to be in the $1 trillion to $1.5 trillion range, compared to the $519 billion issued for the fiscal year 2017.
Interest rates are rising in the U.S. and some other markets, but that is not standing in the way of solid dividend growth. Data confirm as much. In fact, global dividends recently ascended to a record high.
A version of this article was published in the March 2018 issue of Morningstar ETFInvestor. In this article, I'll zero in on an often overlooked source of tax costs and examine the topic of qualified dividend income, or QDI. The Jobs and Growth Tax Relief Reconciliation Act of 2003 made dividend payments more attractive because it introduced a lower tax rate for qualified dividend payments.
One of the primary reasons advisers and individual investors remain enthusiastic about exchange traded funds is low fees. Add to that, ETF fees are consistently declining, making it harder for higher-priced ...
Domestic dividend funds are still growing. Thanks in part to significant amounts of cash repatriated back to the U.S. following the recent tax cuts, S&P 500 member firms are boosting payouts. “From the start of the year through May 18, 187 companies have either increased or initiated a dividend, the second-highest number through the first five months of the year since 2011,” reports CNBC, citing S&P Dow Jones Indices.