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WisdomTree U.S. Quality Dividend Growth Fund: A Tech-Heavy Dividend ETF To Consider

Published Mon, 14 Oct 2019 08:57:25 -0400 on Seeking Alpha

The WisdomTree U.S. Quality Dividend Growth Fund (DGRW) gives investors access to several dividend stocks. Unlike ETFs such as VIG and SDY, the WisdomTree U.S. Quality Dividend Growth Fund doesn't screen companies based on a long history of dividend growth but it still holds several companies who can reward investors by paying higher levels of dividends for many years. Moreover, it also holds a number of dividend-paying technology stocks which usually get ignored by a number of other dividend ETFs. I think the WisdomTree U.S. Quality Dividend Growth Fund is a great dividend ETF for investors to consider.

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The WisdomTree U.S. Quality Dividend Growth Fund, or DGRW, is one of the leading dividend growth ETFs with $2.8 billion of assets under management. It is, however, substantially smaller than the Vanguard Dividend Appreciation ETF (VIG) which is one of the biggest dividend ETFs around with $46.5 billion of AUM.
But what sets DGRW apart is its forward-oriented stock selection technique. Many dividend growth ETFs typically screen companies that have consistently grown dividends for several years. VIG, for instance, tracks the Nasdaq US Dividend Achievers Select Index which consists of common stocks of companies that have a record of increasing dividends for at least ten consecutive years. The SPDR S&P Dividend ETF (SDY), which is another well-known dividend growth fund, invests in those companies which have grown dividends for 20 years in... Read more