Looking at the fundamentals, I understand the appeal of a 3.59% dividend with a steady NAV that has bounced from $23-$29, with a clear median at 26.
When I look at alternatives with less risk like a CD, 3.75-3.9% on a 5 year term, it’s the same thing with risk off.
Looking at the fixed income side, I look at something like PHK paying 11.64% monthly, with a steady Nav fpr 3.5 years around 4.75. The median is 6, but I’m attributing the price reduction on increasing interest rates 2021-23 to address inflation, which also increases yields on the FI side. Other funds like PFL and PTY have similar profiles as far as NAV stability and returns.
Also, I’m surprised I don’t see any discussion around international equity funds. For example, FLJH has traded at a median of 31 (crruently trading at $39.27) Japanese equities have been on a heater since 2023, so there is upside on the price return from what I read. That being said, the dividend is 5.62%. 5 year price performance is 20.02%. The is a large cap dividend fund constructed of japanese equities focused on dividend income like SCHD. It’s managed by Franklin Templeton, so it’s easy to trade in the US, other markets.
I wanted to share a few things with the group. But also, please let me know if I’m missing some on SCHD, it seems quite popular in the sub.