Is Schwab U.S. Dividend Equity ETF the Smartest Investment You Can Make Today?

Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD) isn't perfect, but then no investment is. However, if you want a diversified portfolio of good dividend stocks, it could be the smartest investment you make right now. Here's why.

Schwab U.S. Dividend Equity ETF tracks the Dow Jones U.S. Dividend 100 Index. The index is created using a fairly complex screening process. First, only companies (excluding REITs) that have increased their dividends annually for at least a decade are considered. This dramatically cuts down the list of potential investment candidates and focuses the exchange-traded fund (ETF) squarely on dividend stocks.

Image source: Getty Images.

Continue reading

Source Fool.com