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Stock impact report

FVD: Why DGRO And SCHD Are Better Long-Term Dividend Bets [Seeking Alpha]

Value Line, Inc. (VALU) 
US:NASDAQ Investor Relations: valueline.com/about/investorrelation.aspx
Company Research Source: Seeking Alpha
securities with either a #1 or #2 ranking using Value Line's proprietary Safety Ranking System. A key downside is FVD's 0.61% expense ratio, which severely impacts total returns and its dividend yield, which I estimated to be just 2.39% at current prices. On returns and risk, DGRO and SCHD have more favorable returns distribution profiles than FVD. They've also delivered superior total and downside risk-adjusted returns since DGRO's launch 11.5 years ago. DGRO and SCHD also have superior quality features, though FVD has strong earnings durability, primarily because it overweights reasonably safe stocks in the Utilities sector. I don't recommend owning FVD, but after factoring in its strengths and weaknesses, it deserves a "hold" rating. Sakorn Sukkasemsakorn/iStock via Getty Images Investment Thesis It's been more than three years since I reviewed the First Trust Value Line® Dividend Index Fund ETF ( FVD ), when I criticized it primarily for its 0.67% expense ratio (now Show less Read more
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