After roughly three years of AI stocks dominating the market, money is starting to rotate into other sectors, and the Schwab U.S. Dividend Equity ETF (SCHD) is up 26% over the past year, excluding dividends. The fund tracks the Dow Jones U.S. Dividend 100 index, keeps technology below 10% of holdings, and is weighted toward healthcare (20.7%), consumer staples (20.4%) and energy (14.1%). The article cites a 3.2% yield, a 0.06% expense ratio, a blended price-to-earnings ratio under 20, and a distribution increase of over 550% since its late 2011 inception. The author suggests the ETF could be a smart portfolio move regardless of what the AI trade does next.
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