If you know me, you know that I like stocks that have growing dividends supported by growing earnings. When I set up the UTMA accounts for our grandchildren at Fidelity Investments, this is one of the first ETFs I bought for them.
I like the top holdings in this ETF, as they mirror the stocks that I hold in my retirement and brokerage accounts. It includes companies like Pfizer, Johnson & Johnson (dropped today on bad news about their baby powder), Microsoft, Procter & Gamble, JP Morgan Chase, Wells Fargo, Apple, Coca-Cola and Cisco. The expense ratio is a sensible 0.08% and there are no trading costs for buying or selling this ETF at Fidelity Investments. It provides good income, good potential for growth a decent diversification into 432 businesses.
Here are some key things about DGRO:
Expense Ratio 0.08% – Excellent
Assets Under Management (AUM) 5.1B – A good size.
ETF Category Large Value
Net Asset Value (NAV) $34.87
Total Holdings 432 – excellent diversification.
Dividend yield 2.21% – A good yield.
5-Year Returns Not available. 3-year is 14.15% which is GOOD.
Ranking (AMZA – Real-Time SMART Grade™) on etfdailynews.com is #14 of 152 in this class of ETFs.
The XTF.COM rating for DGRO is 9.8 out of 10.0 with FIVE Morningstar stars.
Some comparable ETFs are VYM, DVY, SCHD and HDV. When I set up the UTMA accounts I bought shares of DVY for the grandchildren as well.
You can find the XTF, Morningstar and other ratings when you are signed on to a Fidelity Investments accounts. I prefer the XTF rating over Morningstar.
Recommendation: Buy DGRO to get yield and some growth. This is a good investment.
LINK: ETFDAILYNEWS DGRO