Ian Cooper’s Stock Pick of the Week

Chart of Day: Vanguard Dividend Appreciation ETF (VIG)

Markets have become wildly unstable.

It’s become so wild that some investors are jumping out of the market, which is a terrible idea.

By jumping out, you’re preventing yourself from making your money back from a resilient market. We have to remember that markets have been through worse pullbacks and bounced.

Instead of jumping out, consider diversifying with yielding ETFs, such as:

Vanguard Dividend Appreciation ETF

With an expense ratio of 0.05% and a monthly yield of 1.73%, the Vanguard Dividend Appreciation ETF (SYM: VIG) is also an attractive opportunity.

It tracks the performance of the S&P U.S. Dividend Growers Index and invests in large-cap stock with a record of dividend growth.

Some of the VIG ETF’s 338 holdings include Apple, Microsoft, Broadcom, JPMorgan, Eli Lilly, Visa, Exxon Mobil, UnitedHealth Group, Mastercard and Costco Wholesale to name a few.

Here are two others to consider:

Fidelity High Dividend ETF 

We can also look at the Fidelity High Dividend ETF (FDVV).

With an expense ratio of 0.16% and a yield of 3.26%, the FDVV ETF tracks the Fidelity High Dividend Index, which is designed to reflect the performance of stocks of large- and mid-capitalization dividend-paying companies that are expected to continue to grow dividends.

Some of its top holdings include Apple, Microsoft, Nvidia, JPMorgan Chase, Visa, Exxon Mobil, Philip Morris, and Procter & Gamble to name a few.

iShares Core High Dividend ETF 

There’s also the iShares Core High Dividend ETF (HDV). 

With an expense ratio of 0.08% and a yield of 3.3%, the HDV ETF tracks the investment results of an index composed of relatively high dividend-paying U.S. equities. Some of its 75 holdings include Exxon Mobil, Johnson & Johnson, Progressive Corp., Chevron, AbbVie, Philip Morris, AT&T, and Coca-Cola to name just a few.