ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Future ETFs
    • Global Diversification
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Megatrends
    • Modern Alpha
    • Multi-Asset
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About Us
    • Swag Store
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Active ETF Channel
  2. Dividend ETFs See Healthy Q1 Demand
Active ETF Channel
Share

Dividend ETFs See Healthy Q1 Demand

Ben HernandezApr 07, 2022
2022-04-07

While equities, in general, stumbled out of the gate in 2022, it’s been a banner first quarter for dividend-producing exchange-traded funds (ETFs). Dividend stocks of all kinds apply, as they were, for the most part, all stellar performers across the board.

“Thanks to a comparatively good quarter for defensive sectors and value stocks, dividend stocks made a resurgence in the 1st quarter,” The Street article said. “Of the three major dividend stock groups – high yield, dividend growth, and dividend quality – high yielders performed the best.”

“This group tends to be overweight consumer staples, energy and financials, three sectors that all outperformed the market in the 1st quarter,” the article added. “All three groups beat the S&P 500, so income seekers finally had a comparatively good quarter.”

An Eye On Dividend Growth

While it’s one thing to exhibit dividends, it’s another thing to grow and sustain them over time. This is where the T. Rowe Price Dividend Growth ETF (TDVG B) shines.

By utilizing an active management style, TDVG managers seek stocks that aren’t all about yield and yield alone. Staying power is what the fund looks out for — names that can sustain their dividends over time while also having solid fundamentals.

The portfolio typically holds between 100 to 125 dividend‑paying stocks selected through analysis based on fundamentals such as the potential for generating excess cash flow, the potential trajectory of the company’s financial condition, and the quality of the management team. The portfolio maintains a relatively broad set of equities across industries to help manage position sizes and control the risk profile.

TDVG employs a conservative, “growth‑at‑a‑discount” approach that emphasizes dividend growth, especially when valuations appear temporarily depressed. Rather than chasing returns, this research-driven approach is designed to help limit the volatility typically experienced from shifts in momentum or changing investor sentiment.

Based on a long-standing mutual fund strategy with the same portfolio manager, TDVG has already been a steady and consistent performer — giving buy-and-hold investors plenty of reasons to look at the ETF more closely. Since the strategy’s inception as an ETF in August 2020, it’s delivered more than a 30% gain, including an excellent rebound from the market sell-off in early 2022.


Content continues below advertisement

TRowe Price Dividend Growth ETF

For more news, information, and strategy, visit our Active ETF Channel.

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X