SCHD, DIVB Beat QQQ, VOO and SPY as Dividend ETFs Ride AI Hedging Wave - State Street SPDR S&P 500 ETF Tr

Top dividend ETFs, including the Schwab U.S. Dividend Equity ETF (NYSE:SCHD) and the iShares Core Dividend ETF (CBOE: DIVB), are outpacing most technology-heavy funds, such as those tracking the Nasdaq 100 and S&P 500 indices, including QQQ, SPY, and VOO.

SCHD and DIVB are Beating Tech-Heavy ETFs

The SCHD ETF has jumped by 26% this year, while the DIVB has soared by 28%. In contrast, those tracking the Nasdaq 100 and S&P 500 indices have soared by 19% and 14%, respectively.

SCHD and DIVB have also received substantial inflows this year. They have added $17.4 billion, while the smaller DIVB has gained over $203 million in inflows, bringing their assets to over $104 billion and $1.8 billion, respectively.

Their performance is a sign that many traditional companies are outpacing those in the tech industry. SCHD has a limited presence in the AI space, with its biggest companies in the fund being firms like Abbott Laboratories, Amgen, Merck, Coca-Cola, and Home Depot. Healthcare, consumer staples, and energy companies account 54% of the fund.