SCHD vs. VYM: Which High-Yield ETF Should You Own?
With long-term bond yields now well above 5%, fixed income is posing a real alternative to traditional dividend stock exchange-traded funds (ETFs). Treasury yields are now more than twice those of many dividend ETFs, which means the target is changing for what type of fund you want to own and why. The two most prominent high-yield equity ETFs are the Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD) and the Vanguard High Dividend Yield ETF (NYSEMKT: VYM) . Between the two, I'd clearly favor the Schwab U.S. Dividend Equity ETF . Image source: Getty Images. Continue reading