Exploring SPHD: Dividend, High Dividend Low Volatility ETF, Analysis, and More
SPHD - Market Position
| Ticker Symbol | Product Type | Asset Class | Strategy | Payment Frequency | Geographic Focus | Expense Ratio | Sponsor |
|---|---|---|---|---|---|---|---|
| SPHD | ETF | Equity High Dividend Low Volatility ETF | High Dividend Yield | Monthly | US | 0.30% | Invesco |
SPHD Overview - Invesco S&P 500 High Dividend Low Volatility ETF
The Invesco S&P 500 High Dividend Low Volatility ETF (SPHD) is an investment vehicle designed to provide investors with exposure to high dividend-paying companies while mitigating volatility. SPHD tracks the performance of the S&P 500 Low Volatility High Dividend Index, which comprises 50 stocks from the S&P 500 Index selected for their high dividend yields and low volatility.
One key feature of SPHD is its focus on dividend-paying stocks, making it appealing to income-seeking investors. The ETF employs a rules-based methodology that selects stocks with consistent dividend payments and lower volatility compared to the broader market. This approach aims to provide a balance between income generation and risk management.
SPHD's investment strategy targets sectors traditionally known for stable cash flows and dividend distributions, such as utilities, real estate, and consumer staples. This sector diversification adds a layer of stability to the ETF's performance, reducing overall portfolio risk.
Investors in SPHD benefit from regular dividend distributions, typically paid on a monthly basis, offering a steady income stream. Additionally, the ETF provides exposure to a diversified portfolio of large-cap U.S. companies, capturing the potential for capital appreciation along with dividend income.
Overall, SPHD offers a compelling investment option for those seeking a combination of high dividend yields, low volatility, sector diversification, and regular income distributions within the U.S. equity market.
SPHD - Price / Yield
SPHD - Portfolio and Asset Allocation
The Invesco S&P 500 High Dividend Low Volatility ETF (SPHD) holds a diversified portfolio of high dividend-paying companies across various sectors. The top 10 holdings of SPHD represent a mix of industries, with a focus on stable cash flows and dividend distributions.
Altria (MO) is one of the largest holdings in SPHD, offering a moderate upside potential and a premium recommendation. Other significant holdings like Kinder Morgan Inc (KMI), Verizon Communications (VZ), and AT&T Inc (T) contribute to the ETF's income generation strategy.
Analysis of SPHD's portfolio allocation reveals a strategic mix of sectors, with a significant allocation to Utilities and Consumer Defensive stocks. These sectors typically exhibit lower volatility and provide steady income through dividend payments.
Energy and Real Estate sectors also play a notable role in the portfolio, contributing to diversification and potential capital appreciation. The ETF's focus on high dividend yields and low volatility makes it an attractive option for investors seeking income and stability within the U.S. equity market.
Top 10 Holdings
As of April 25, 2024, the top 10 holdings of the Invesco S&P 500 High Dividend Low Volatility ETF (SPHD) are:
| Name | Weight |
|---|---|
| Altria (MO) | 3.09% |
| Kinder Morgan Inc (KMI) | 2.92% |
| Verizon Communications (VZ) | 2.75% |
| AT&T Inc (T) | 2.69% |
| Dominion Energy Inc (D) | 2.68% |
| Oneok Inc (OKE) | 2.61% |
| Philip Morris International (PM) | 2.42% |
| Williams Companies (WMB) | 2.41% |
| Lyondellbasell Industries (LYB) | 2.30% |
| 3M Company (MMM) | 2.25% |
Asset Allocation
The Invesco S&P 500 High Dividend Low Volatility ETF (SPHD) has the following asset allocation as of April 25, 2024:
| Sector | Weight |
|---|---|
| Utilities | 20.18% |
| Consumer Defensive | 16.36% |
| Real Estate | 13.76% |
| Energy | 11.65% |
| Healthcare | 9.96% |
| Communication Services | 6.86% |
| Basic Materials | 6.12% |
| Consumer Cyclical | 6.01% |
| Industrials | 3.87% |
| Technology | 3.11% |
| Financial | 2.12% |
Dividend Yield and Distribution History
| Section | Details |
|---|---|
SPHD Dividend Data |
The Invesco S&P 500® High Dividend Low Volatility ETF (SPHD) pays monthly dividends. The most recent ex-dividend date was on April 24, 2024, with a dividend payment of $0.1484 per share on April 30, 2024. |
SPHD Dividend Yield |
As of April 30, 2024, the dividend yield for SPHD is 4.32%. This means that for every $100 invested in the fund, investors would receive $4.32 in dividends per year, assuming the yield remains constant. |
SPHD Dividend History |
SPHD has a history of paying monthly dividends. The dividend payments may fluctuate based on the performance of the underlying dividend-paying stocks held by the fund. |
SPHD Dividend Growth |
SPHD's dividend payments are dependent on the dividend growth and performance of the underlying stocks in the fund's portfolio. The fund's investment strategy focuses on companies with a history of consistent dividend growth, which may contribute to increasing dividend payments over time. However, dividend growth is not guaranteed. |
SPHD Dividend Stability |
SPHD aims to provide a relatively stable income stream by investing in high-quality, dividend-paying stocks of larger U.S. companies. However, the dividend payments are not guaranteed and may be affected by changes in market conditions or the performance of the underlying stocks in the fund's portfolio. |
SPHD - Chart
SPHD - Comparative Analysis
Let's compare SPHD with prominent competitors, focusing on key aspects like performance, fees, and strategy: (as of Apr 2024)
| SPHD | VYM | HDV | |
|---|---|---|---|
| Investment Focus | High-dividend, low-volatility U.S. stocks | High-yielding, large-cap U.S. stocks | High-dividend-yielding, large-cap U.S. stocks |
| Current Yield | 4.32% | 3.02% | 3.35% |
| Expense Ratio | 0.30% | 0.06% | 0.08% |
| Investment Strategy | Passively tracks the S&P 500® High Dividend Low Volatility Index | Passively tracks the FTSE High Dividend Yield Index | Passively tracks the Morningstar Dividend Yield Focus Index |
| Strengths | Higher yield compared to competitors, low expense ratio | Low expense ratio, broad exposure to high-yield U.S. stocks | Higher yield than VYM and HDV, low expense ratio |
| Weaknesses | Less diversification compared to broader dividend ETFs, potential higher volatility | Less emphasis on dividend growth, potentially lower returns than actively managed funds | Less diversification than broader dividend ETFs, potential higher volatility |
Dividend History (Last 5 distributions)
| Ex-Dividend Date | Cash Amount | Record Date | Pay Date |
|---|---|---|---|
| Apr 22, 2024 | $0.14 | Apr 23, 2024 | Apr 26, 2024 |
| Mar 17, 2024 | $0.13 | Mar 18, 2024 | Mar 21, 2024 |
| Feb 19, 2024 | $0.15 | Feb 20, 2024 | Feb 22, 2024 |
| Jan 21, 2024 | $0.15 | Jan 22, 2024 | Jan 25, 2024 |
| Dec 17, 2023 | $0.17 | Dec 18, 2023 | Dec 21, 2023 |
News
Technical Analysis
Additional Information and Risks
The SPHD ETF is a reliable choice for investors seeking a high dividend, low volatility investment in the stock market. Its focus on 500 high dividend low volatility stocks makes it appealing to those prioritizing stable returns and income.
However, investors should be aware of certain risks. Market analysis indicates that while the S&P 500 High Dividend Low Volatility Index tracks well, stock prices and dividend yields can be subject to fluctuations, impacting payout ratios and overall returns.
The fund is managed by Invesco, a reputable ETF provider, but like any investment, it carries some degree of investment and trading risk. Portfolio diversification can mitigate risks, but investors should consider the expense ratio and the underlying index's composition.
Investors should regularly monitor stock and ETF news to stay informed about latest price movements, technical analysis, and fundamental changes that could affect their investment strategy. Understanding the top 10 holdings, dividend payout trends, and security metrics is essential for making informed investment decisions.