1Semana
The ETF is still relatively new, but it's gaining popularity very quickly.
The portfolio composition and the monthly dividend payouts are just awesome.
I think it's one of the better dividend ETFs.
The portfolio composition and the monthly dividend payouts are just awesome.
I think it's one of the better dividend ETFs.
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1Semana
@DerJuwelier I've added it to my dividend ETF portfolio as a complement to $FYEQ and $TDIV. So far, it's performing solidly as intended; we'll see what the future holds. However, I share the concerns expressed at @Solitair regarding the equal-weight strategy.
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1Semana
@erbsinator Yeah, that's pretty much spot on. Can anyone briefly summarize the pros and cons of this type of weighting for me? Because at first glance, the ETF looks pretty appealing.
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•@MrKobayashi the way I understand it is that equal weights spreads risk so much that it's difficult for the ETF to generate price appreciation because it's not as easy for a handful of holdings to make up the majority of the performance.
However, equal weight has the advantage of spreading risk across its holdings, meaning any dividend cuts from some companies won't make much of a difference.
TL/DR: it spreads risk which slows price appreciation for dividend safety.
At least that's how I think about it.
However, equal weight has the advantage of spreading risk across its holdings, meaning any dividend cuts from some companies won't make much of a difference.
TL/DR: it spreads risk which slows price appreciation for dividend safety.
At least that's how I think about it.
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