The iShares Core High Dividend ETF (HDV) is an exchange-traded fund that seeks to track the investment results of the Morningstar Dividend Yield Focus Index, which comprises relatively high dividend-paying U.S. equities. Launched on March 29, 2011, by BlackRock, HDV offers investors exposure to established, high-quality U.S. companies with a focus on dividend income.

Fund Overview

As of February 7, 2025, HDV manages net assets totaling approximately $10.77 billion. The fund holds 75 stocks, with the top ten holdings accounting for 52.39% of the total assets. These top holdings include prominent companies such as Exxon Mobil Corporation (9.40%), Johnson & Johnson (6.97%), and Chevron Corporation (5.89%).

Performance and Dividend Yield

Over the past year, HDV has delivered a total return of 14.16%. The fund’s dividend yield stands at 3.58%, with an annual dividend of $4.11 per share. Dividends are distributed quarterly, with the most recent ex-dividend date on December 17, 2024.

Sector Allocation

HDV’s portfolio is diversified across various sectors, with significant allocations in consumer non-durables, energy minerals, and health technology. This sector diversification aims to balance income generation with potential growth opportunities.

Expense Ratio

The fund maintains a competitive expense ratio of 0.08%, making it a cost-effective option for investors seeking high dividend yields from U.S. equities.

Conclusion

HDV provides investors with access to a portfolio of high-quality, dividend-paying U.S. companies. Its diversified sector exposure, solid performance history, and low expense ratio make it a compelling choice for those aiming to enhance income generation within their investment portfolios.