This Schwab ETF Holds 100 Dividend Stocks, Charges $6 a Year, and Yields More Than Most Savings Accounts

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Austin Smith

Mon, March 16, 2026 astatine 8:00 AM CDT 4 min read

Schwab US Dividend Equity ETF (SCHD) charges conscionable 0.06% annually ($6 per $10,000), yielding 3.39% and returning 12.29% twelvemonth to day and 225.89% implicit 10 years. Top holdings see Lockheed Martin (LMT) astatine 4.9% with $75.05B successful FY2025 gross and a $194B backlog, Verizon (VZ) astatine 4.49% yielding 5.4%, ConocoPhillips (COP) astatine 4.48% raising its quarterly dividend to $0.84, Chevron (CVX) astatine 4.42% marking its 39th consecutive yearly dividend increase, Bristol Myers Squibb (BMY) with 94 years of consecutive dividend payments, Merck (MRK) paying $0.85 quarterly, and Coca-Cola (KO) extending a 63-year streak of dividend increases aft raising its quarterly payout to $0.53.
SCHD’s 12% annualized dividend maturation complaint compounds importantly implicit time, delivering full returns that transcend fixed-rate savings accounts portion maintaining vulnerability to dividend aristocrats crossed energy, user staples, and healthcare sectors.
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Schwab U.S. Dividend Equity ETF (NYSEARCA:SCHD) costs $6 a twelvemonth connected a $10,000 investment, holds 100 dividend stocks, and presently yields 3.39%. With the Fed funds complaint sitting astatine 3.75% and astir high-yield savings accounts paying successful that aforesaid neighborhood, the output spread is narrow. But SCHD adds thing a savings relationship ne'er will: terms appreciation. The money is up 12.29% twelvemonth to day and 17.28% implicit the past year. Over 10 years, shares person returned 225.89%.

For context, the mean communal money charges 0.44%, oregon $44 per twelvemonth connected $10,000. An advisor-managed portfolio typically runs 1%, oregon $100 per year. SCHD's 0.06% disbursal ratio leaves astir each dollar moving successful the portfolio alternatively than covering fees.

The apical 10 holdings relationship for astir 40% of the portfolio, and they work similar a dividend investor's privation list. Lockheed Martin (NYSE:LMT) leads astatine 4.9% of assets. The defence contractor posted FY2025 gross of $75.05 cardinal and carries a $194 cardinal backlog. Its quarterly dividend present stands astatine $3.45 per share, up from $3.30 passim 2025.

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Verizon (NYSE:VZ) astatine 4.49% yields 5.4% connected its own, paying $0.69 per quarter. ConocoPhillips (NYSE:COP) astatine 4.48% raised its mean dividend to $0.84 per 4th successful aboriginal 2026 and plans to instrumentality 45% of currency from operations to shareholders this year. Chevron (NYSE:CVX) astatine 4.42% conscionable marked its 39th consecutive yearly dividend increase, present paying $1.78 per quarter.

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