The Schwab U.S. Dividend Equity ETF (SCHD) closed Thursday, Oct. 22, at $35.40, its highest close ever, surpassing the previous record of $35.21, and is up about 29% since the end of 2025. Over the same stretch, QQQ has fallen about 7% since Oct. 6, while SCHD has risen about 8%. The fund tracks the Dow Jones U.S. Dividend 100 Index, which requires companies to have paid dividends for at least 10 consecutive years, and as of mid-October none of its 102 holdings were 'Magnificent Seven' stocks. As of late September, consumer staples and healthcare made up about 39% of the fund, energy about 15% and tech about 12%. The author argues that over 2023, 2024 and 2025 combined, the fund returned about 22% with dividends versus about 135% for QQQ, so it may lag when big tech leads the market.
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