This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
See Cramer's multi-million dollar portfolio for FREE and get his new book Get Rich Carefully! Learn More

Top 10 Dividend ETFs

VIG (Vanguard Dividend Appreciation ETF) follows the Broad Dividend Achievers Index which features constituents with a history of increasing dividends. It was launched in April 2004, has AUM of $6.4 billion and an average daily trading volume of just below 700K shares. The expense ratio is .18%. As of March 2011, VIG returned 4.19% YTD. The current quarterly dividend is $.27 which provides a yield of around 2%.

Data as of June 2011

VIG Top Ten Holdings & Weightings

  1. ConocoPhillips (COP):                                     4.45%
  2. Chevron Corporation (CVX):                4.38%
  3. Coca-Cola Company (KO):                   4.09%
  4. ExxonMobil Corporation (XOM):          4.07%
  5. United Technologies Corp (UTX):       3.96%
  6. McDonald's Corporation (MCD):          3.95%
  7. IBM Corp (IBM):                                  3.91%
  8. PepsiCo, Inc. (PEP):                            3.79%
  9. Procter & Gamble Company (PG):       3.71%
  10. Caterpillar Inc. (CAT):                          3.67%

 

IYR (iShares Dow Jones U.S. Real Estate ETF) follow the index of the same name and was first issued in June 2000. AUM is just under $3 billion while average daily trading volume is nearly 8M shares. The expense ratio is .48% and the quarterly dividend is $.50 making for a yield of around 3.3% which is low given the higher risk for the sector. This is chiefly due to most assets consisting of REITs (Real Estate Investment Trusts) which are much more volatile and economically sensitive. It's said that over the next 5 years REITs have $3 trillion in outstanding debts due or refinance. Nevertheless, IYR has returned 6.25% through March 2011.

A competitive choice would be VNQ (Vanguard REIT ETF) which was launched September 2004 and tracks the MSCI U.S. REIT Index. AUM equal $9.2 billion and average daily trading volume is 1.8M shares. The current dividend is $.41 which makes the yield roughly 2.75% based on prices as of June 2011. The expense ratio is a low .12%.

Data as of June 2011

IYR Top Ten Holdings & Weightings

  1. Simon Property Group, Inc. (SPG):                 8.32%
  2. Vornado Realty Trust    (VNO):                        4.26%
  3. Equity Residential (EQR):                                4.21%
  4. Public Storage (PSA):                                      4.01%
  5. Boston Properties, Inc. (BXP):                                     3.61%
  6. Annaly Capital Management, Inc. (NLY):          3.46%
  7. HCP, Inc. (HCP):                                             3.39%
  8. Host Hotels & Resorts, Inc. (HST):                  2.82%
  9. Weyerhaeuser Company (WY):                       2.77%
  10. AvalonBay Communities, Inc. (AVB):                2.73%

RWX (SPDR Wilshire International Real Estate ETF) tracks the Dow Jones Global ex-U.S. Real Estate Securities Index which basically consists of REITs in developed and emerging markets. It was launched in December 2006. AUM exceeds $2.6 billion while average daily trading volume is over 385K shares. The current quarterly dividend is $.19 making the dividend yield only 1.85%. From our view this is too low a yield given risks inherent in the real estate sector. Nevertheless, as of May 20011 YTD return has bend 5.20%. Shares overseas may benefit or lose given currency fluctuations which are an additional consideration.

Data as of June 2011

RWX Top Ten Holdings & Weightings

  1. Westfield Group (WDC):                                  6.95%
  2. Unibail-Rodamco Se (UL):                               6.39%
  3. Brookfield Asset Management (BAM):            5.69%
  4. Mitsui Fudosan Co., Ltd. (8801):                     4.59%
  5. Land Securities Group PLC (LAND):               3.26%
  6. Hong Kong Land Holdings Ltd. (H78):            2.81%
  7. British Land Co PLC (BLND):                           2.70%
  8. Westfield Retail Trust (WRT):                          2.54%
  9. Hang Lung Properties Ltd. (00101):                2.54%
  10. Link Real Estate Investment Trust (00823):     2.36%

 

Stock quotes in this article: XLU, DVY, VIG, IYR, RWX, PID, VYM 

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
DOW 16,408.54 -16.31 -0.10%
S&P 500 1,864.85 +2.54 0.14%
NASDAQ 4,095.5160 +9.2910 0.23%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs