SCHD - Schwab US Dividend Equity ETF

SCHD is outperforming QQQ and SPY in 2026 due to the rotation into value/dividend stocks, a much lower forward P/E (15.5-18 vs 27.5 for the S&P 500), a meaningful dividend yield around 3.13%, and a strict four-factor quality screen. The presenter personally owns it and dollar-cost averages monthly, though he notes it is best suited for income-focused investors and tax-advantaged accounts.

ETF with 100 best dividend-paying companies, up 22% YTD. Contains healthcare and consumer defensive sectors, which are resilient in this rotation.

Recommended to consider selling SCHD once the investor moves into a higher tax bracket to avoid unfavorable tax treatment on dividends.

Paul mentions he buys SCHD like clockwork every month as his dollar cost average into a low-cost ETF. He likes it for its high dividend yield which he uses to live off of.

Paul buys SCHD every month via dollar cost averaging regardless of market conditions. Cites 3.3% dividend yield, 0.06% expense ratio, and high-quality holdings (United Health, Coca-Cola, Chevron, P&G). Fits his need for consistent dividend income and capital preservation. He explicitly states it's for his personal situation and may not be ideal for younger investors seeking growth.

The host states he buys SCHD every single month without deviation as part of his dollar-cost averaging strategy, regardless of market conditions.

Host recommends allocating a portion of portfolio to dividend-paying ETFs like SCHD starting in late 30s as part of a gradual shift toward income-generating holdings.

The host states he contributes to SCHD every single month because it fits his goals and needs, recommending dollar cost averaging into ETFs for long-term investors

Host states he dollar cost averages into SCHD every month regardless of market conditions, including during the current downturn. This is his core long-term investment strategy.

Host personally buys SCHD every month on the first of the month as part of his dollar-cost averaging strategy. He likes it because it fits his income-generating goals, though he notes his goals differ from most viewers.