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Why Retirees Love this High Dividend Low Volatility S&P 500 ETF
['Tony Dong', 'July', 'Min Read']
Yahoo Finance
Quick ReadCombines two retiree-friendly factors: SPHD blends high-dividend and low-volatility stocks into a single ETF, providing higher income with historically lower day-to-day market sensitivity.
For retirees, two MSCI factors stand out as especially practical: low volatility and high dividends.
The Invesco S&P 500 High Dividend Low Volatility ETF (SPHD) combines both factors into a single ETF, offering retirees a straightforward way to pursue higher income with less day-to-day volatility than the broader S&P 500.
Rather than simply selecting the least volatile stocks, SPHD first screens the S&P 500 for the highest-yielding companies.
From that universe, it then selects the 50 stocks with the lowest trailing 12-month volatility, while applying limits to sector and individual stocks