Tuesday, May 20, 2025

SCHD ETF 2025 Changes You NEED To Know!

The Schwab U.S. Dividend Equity ETF (SCHD) has undergone significant changes in its 2025 reconstitution. In this video, we delve into the major adjustments and what they mean for dividend investors:
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Portfolio Turnover: Approximately 20% of SCHD’s holdings were changed, including the removal of notable companies like Pfizer and BlackRock.
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Sector Shifts: The fund has nearly doubled its exposure to the energy sector, increasing from 12% to 21%, while reducing its allocation to financials.
Barron’s

Dividend Yield Impact: Post-reconstitution, SCHD’s dividend yield has slightly decreased from 3.93% to 3.80%, but the dividend growth rate has improved from 7.93% to 8.35%.
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These changes may affect the fund’s risk profile and income potential. It’s crucial to understand these adjustments to make informed investment decisions.
Barron’s

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