SCHD
Schwab US Dividend Equity ETF
stock NYSE ETF

I would simplify, yeah. I’ve gone back and forth with trying to hold multiple US based dividend ETFs, and it all basically just seems like juggling numbers for small changes.
Simplicity is pretty good, so yeah, I’d drop it. Use SCHD as your primary US dividend. I do notice you don’t have any international exposure; it might be worth dropping some into SCHY or VYMI. I leaned into SCHY; I love stability and low drops haha, so I went hard in on SCHD and SCHY.
Everyone’s goals and risk appetite vary, naturally.

SCHD + DGRO Owners: Is Holding Both Worth It?

SCHD follows the Dow Jones 

VHYL/VHYG are a bit cheaper at 0.29%. this index must follow a different methodology since the top US holdings of VHYG don't match SCHD's top ones...
[https://www.vanguardinvestor.co.uk/investments/vanguard-ftse-all-world-high-dividend-yield-ucits-etf-usd-distributing/portfolio-data](https://www.vanguardinvestor.co.uk/investments/vanguard-ftse-all-world-high-dividend-yield-ucits-etf-usd-distributing/portfolio-data)
[https://www.schwabassetmanagement.com/products/schd](https://www.schwabassetmanagement.com/products/schd)

If you have 500 shares of SCHD you can sell a covered call option, sell to open for maybe 30-60 days at a high strike price (more than the stock is worth). You cap upside but you’ll get paid premium. Can do this on stocks or ETFs

It looks more like a global dividend-quality cousin than a straight UCITS SCHD clone to me. The big practical questions are fee drag, index construction, and whether the fund gets enough scale and liquidity to stick around. If the appeal is 'SCHD but UCITS', I'd compare the rules carefully before assuming the end result will feel the same.

Same index but very expensive. SCHD ETF 0,06% p.a. and Amundi 0,36% p.a.

Isn't this just a Global UCITS SCHD?

Problem with your allocation is that it does not satisfy the 60k-70k income a year since 1.2 million divided between SCHD and DGRO only generates a little more than $30,000 a year, not to mention they distribute quarterly whereas a person in a pension prefer to get monthly income

There are limited situations to invest in JEPI. There are better ETFs like VT and SCHD.

you're right - worse tax treatment, it's ordinary income not qualified. wouldn't see it as a dividend stock replacement anyway, more of a small alt bucket than something you'd swap your SCHD for

Was searching for this answer - buying SCHD will only cause tax drag and lower your total returns long term. You’re missing out on top tech names in VOO and high growth. Please focus on GROWTH in your 20s and 30s.
Let’s say it’s 13% CAGR SCHD (growth since inception) vs 15% CAGR VOO (same time period)
On a $10k initial amount with no further contributions, that grows to $493k for SCHD and $900k in 30 years…a 2% difference in CAGR is massive.
Now let’s be a bit more conservative / realistic. Let’s say it’s 9% and 10%…still $148k SCHD vs $200k VOO balance in 30 years.
If you add $100 a month to that $10k with the same CAGRs, you’re looking at $333k vs $429k… a $100k difference.
1% CAGR difference is MASSIVE over long periods. This also doesn’t account for you having to pay tax on the 3% dividend yield (1/3 of your return) each year vs only around (1/10) with VOO.

Whether it’s SCHD or a bond etf closer to retirement. I’d feel comfortable overall once the dividends are close to my salary ;)

what about Bonds? maybe half SCHD and the rest BND and BNDX?

Then I would focus completely on SCHD! Their dividends are taxed at the capital gains rate which is much less than the regular rate

JEPI really underperforms everything. You will do better with DIVO/QQQI (or GPIQ), IDVO. Don't even really need SPYI. You have to calculate yield vs. compounding. DIVO is your compounder. Although, I like ADX for that more. [https://stockanalysis.com/stocks/compare/adx-vs-divo/](https://stockanalysis.com/stocks/compare/adx-vs-divo/)
Also, I took a chance on TDAX, a weekly version of QQQI, and 1.3x boosted. Not like QDTE's NAV loss, this seems stable. NEOS put out XQQI recently for the same reason, I think it's 1.2x boosted but only monthly pay. "Only" lol. Just shows how far behind the times JEPI and SCHD both are. Even for SCHD there is now DDDD. Going to watch that one.

Don’t forget about SCHD! And VYMI!!

Key assumptions:
1. $2.2m investment value
2. Up to 50 years investment horizon
3. Based in Switzerland but may move
4. No other sources of income
5. You are not actively managing your portfolio
Based on these assumptions:
1. Individual stock picks are extremely risky (very high probability the companies will underperform or not exist over a multi decade period). So you need to buy ETFs.
2. Risk adjusted returns are key as you need the investments to generate returns over decades
3. A combination of dividend and growth ETFs with a small components in bonds (given your time horizon is so long) is likely to be the way to go. You could also consider a small amount in physical assets
4. Being in Switzerland your WHT on US dividends is low but you said you may move. Therefore keeping to UCITS ETFs would be prudent to avoid any major tax issues if you move overseas to a country where there is 30% US WHT (eg UAE or Turkey as popular expat/retiree examples).
5. As you live outside US you probably want to diversify currency risks but at same market diversification is prudent.
So, what does this mean in terms of portfolio construction?
1. Putting bulk of your money into a world market tracker would tick most of the boxes above. This would give a dividend as well as long term capital growth (if it doesn’t it would mean the end of global economic growth). This would easily beat inflation. TER is also extremely low. Maybe 45-50% into the world index.
2. Then you may consider a high quality dividend ETF so you have guaranteed growing cash income no matter if markets goes up or down. SCHD as many comments suggest would likely be the best complement to the world index. In Switzerland I think the US WHT is 15%. That’s ok as there is no better UCITS dividend fund in all my research. But if you move overseas to a country with the 30% WHT then you would need to sell SCHD. That’s ok. I would say around 25-30% in SCHD
3. Then you can consider a bond fund. This would give guaranteed income and in most major market corrections bond prices go up so it acts as a counter balance. You say in comments you don’t want more US exposure and European yields are too low. Totally get this. You can buy a global bond fund or EM bond fund (both investment grade) with 6%+ YTM. Say 10% in the bond fund.
4. For the final 10% you could:
\- add physical assets. Gold could be considered. This hedges against many things including a weakening USD. You could also consider a global mining ETF or midstream ETF (UCITS available for both). You could also consider a European REIT ETF which provides 4%+ div yields. I’d consider 5-10% in physical assets
\- you could consider putting a % (eg 5%) into an ultra short term bond fund as a cash alternative (UCITS zones available at very low cost)
\- you may also want to have max 5% for thematic or individual growth picks based on your own views of the market. This would be your speculative bucket where you try to beat Alpha and have fun with it.
Best of success

SCHD

I just cashed out and rolled all of my IRA money from the company I worked at to Charles Schwab where I currently already have holdings in Roth, Traditional, and personal accounts. While I was still working, my accounts were heavily invested in FSKAX and FXAIX, which did exceptionally well. But now that I'm retired, I feel I need to be more moderately invested. Currently, my money is sitting in cash. What does everyone think of my investment plans for when I restructure my Roth IRA and Traditional IRA? I want to stay self-managing.
For my Traditional IRA, I am planning a three-bucket strategy with a target asset allocation of 60% stocks, 20% bonds, and 20% cash:

  \- Bucket 1 (Cash - 20%): SWVXX (Schwab Money Market Fund)
  \- Bucket 2 (Bonds - 20%): SWAGX (Schwab U.S. Aggregate Bond Index)
  \- Bucket 3 (Stocks/ETFs - 60%):
\- 36% SCHB (Schwab U.S. Broad Market ETF)
\- 9% SCHD (Schwab U.S. Dividend Equity ETF)
\- 15% SCHF (Schwab International Equity ETF)

For my Roth IRA, I plan to use a single bucket with an 80/20 allocation of stocks and ETFs:

  \- 80% SCHB (Core U.S. Stocks)
  \- 20% SCHF (International Safety)
TIA and advice would be appreciated.