Skip to Content
ETF Specialist

A Tale of Two High-Dividend-Yield ETFs

A good process helps mitigate risk.

Mentioned: ,

A version of this article appeared in the February 2018 issue of Morningstar ETFInvestor.

Funds that focus on dividend yield may look appealing to those seeking a consistent, stable source of income. Done well, they can deliver on this objective, but a shoddy process can expose investors to large amounts of risk and lead to poor long-term outcomes. Comparing a good high-yield-oriented dividend fund to one with less favorable characteristics should help illustrate some of the nuances that can make or break these strategies.

To view this article, become a Morningstar Basic member.

Register for Free

Daniel Sotiroff does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.