250 shares of SCHD, and its my worst performing stock in my portfolio over the last year..lol. My 100 shares of DGRO way out performed my expectations.
I am 50% SCHD and 50% SCHG which has been outperforming VGT and QQQ recently, while being a little bit less risky. The decision on SCHD is based on income needs- 50% is enough for me, so it depends on how your income requirement. If you don't need the income then something like SPY or VOO is better.
Love your videos. 44yo 5.2 mil net worth, and driving 2013 corolla. Biggest positions VOO, VTI, SCHD, VYM, and now looking to build up DRGO. I got $48,800 divs last year in taxable divs. Q2 taxable divs this year was $17,388 this year.
That is incredible Phil. Thanks for sharing. I love that you drive that car with that net worth. Clearly you have cracked the code (: And your holdings are rock solid. It's nice being financially free! Soooo much better than a new car every couple years.
If one is in their early 40s and just started investing (have 401k from work). Should they just focus on growth etf since it will be too late for them to see real benefits with dividends?
I wouldn't say early 40's is 'too late' for anything related to investing. If you have at least 20 years left to put money into the market then I think growth is a nice way to lean. I would still have a balance of the two. I think value/dividends is good to have at any age in any market (with at least a portion of the portfolio). Getting help from a CFA that puts the time in to research companies thoroughly and implement effective risk management strategies even if you are a DIY investor, can bring tremendous benefits. This system has proven effective for me!
I’m trying to get an advisor for guidance but it’s harder than you think. Anyone who is fee-based is hard to find and usually have a heavy workload. Would you be comfortable sharing a recommendation if it’s not too much trouble
I started investing in DGRO this year and I will have a 50/50 split with SCHD by June. These two make up the bulk of my dividend sector in my 3(ish) portfolio. I did a side-by-side analysis of the two plus other dividend funds and these two stood out as the best combo from my perspective. There is very little overlap, even less now that SCHD is dropping AVGO, and the other fundamentals are complimentary. I think that you are correct and that these two ETF's will work well together and I look forward to good growth and good dividends for the foreseeable future. Cheers
Thank you! I try and do detailed analysis like sometimes up to 2am prior to making a video lol. But I love seeing people doing their own analysis as well! That’s my goal is to get people thinking on how to make investing fun yet exciting!
Is it okay to open a roth ira and a IBA with the same brokerage account? Example Fidelity? Im 50 years old so i want to take advantage of the roth, but it's capped at 7k then i woukd have to switch. So, my plan is SPLG as my foundation and separately SCHD & SCHD. Should i use to separate accounts? Or again, all in Fidelity, but one roth and one traditional
There’s no harm in having separate apps or just one app for your investments. I have all my investments with vanguard and a lot of people have all their investments with fidelity. Fidelity is very very reputable. I always recommend to max out the Roth IRA and then move onto your taxable
What etf do u consider for a taxable account? I do have SCHD in my Roth IRA, so the question would be should I mirror my Roth IRA for my brokerage account.
This is an excellent question. (Not a financial advisor) but my 2 cents would be to always try and protect your dividend income from taxes through tax advantages accounts like a Roth IRA or a Roth 401k. So if you do have a Roth 401k with a company that has a wide range of investment funds then try that route. Downside is a lot of 401k’s are limited to what they can invest in, like my 401k only has VTI as the most aggressive fund. There’s no harm in adding SCHD to your brokerage account. A total of people have most of their dividend income flowing through here due to the cap of 7000 contributed annually to a Roth IRA and from my knowledge a 401k is like 22k. But like I said earlier most 401k’s are limited in what you can invest in. So short answer is, yes if it fits your investing goals and if you like to have that dividend income flowing for you to use at any time during your investing career. Hope this helps!
Hmm. I’m not a financial advisor but I’ll chime in my 2 cents. Honestly your core 3 fund portfolio is excellent. Growth, core of a S&P 500 index fund, and dividend yield. I think DGRW and DGRO could deserve a spot in the table. DGRW has a higher expense ratio by like 3x-4x than DGRO only because it pays a monthly dividend versus dgro has quarterly. Dgro gets the higher dividend yield and more consistent dividend growth, where DGRW’s is a bit erratic.DGRW gets the bonus points for a higher return than DGRO in the past 1,3,& 5 years. Even outperforming the S&P 500. I would say if you’re into the monthly dividends and if you want that sort of cash flow for the future and have a long time horizon since DGRW is and will primarily be in technology then maybe DGRW is something to consider. If you’re more of a traditional dividend investor that likes a high yield, traditional quarterly dividend payments and a consistent and good CAGR for dividend payments. Then DGRO is probably something to look at. If you really think DGRO is not as good as DGRW because of the returns, you can always allocate more to QQQM/SPLG because in the long run I’m sure these ETFs will outperform any other strategy. Just my 2 cents. Hope this helps a ton!
Hey Marcos! How would you squeeze FSPGX & SPMO in the same ETF port? Thank you! I'm meting my Merrill Lynch platform advisor on tuesday. Trying to stack-up for the first time, my ROTH IRA!!!
Both are growth funds. I would rather own one of them and not both for fund overlap sake. Higher risk and higher reward type of play but can be very rewarding long term if tech continues to be in favor
@@Marcos_Milla I'm sorry Marcos. I'm just trying to get more bang for the buck. I don't think I have a foundational-lion's share ETF in my mix-unless I'm wrong. I have a chance to put $42,000 to use. SPMO, SCHD & DRGO. Which one could be foundational? Clueless about the percentages. Any final thoughts? This $ is going into the IRA. My accountant told me to wait a year before I put it in the ROTH. Thank you Marcos.
In my opinion, (not financial advice), it’s never a bad time to jump in as long as you dollar cost average and have a strategy that you can stick to for a long period of time
Dividends from the stock market encouraged me to begin investing. What matters, in my opinion, is that if you invest and make additional money in addition to dividends, you will be able to live off of dividends without selling. It implies that you can provide that benefit for your children, giving them a head start in life. I've invested more than $600K in dividend stocks throughout the years; I'm currently buying more today and will continue to do so until the price falls even further.
Hearing from an experienced investor who has survived the crisis and prospered is always comforting. It could be worrisome when your portfolio goes from green to red, but if you have invested in strong firms, you should just keep growing them and stick to your goal.
I wholeheartedly concur, which is why I appreciate giving an investment coach the power of decision-making. Given their specialized expertise and education, as well as the fact that each and every one of their skills is centered on harnessing risk for its asymmetrical potential and controlling it as a buffer against certain unfavorable developments, it is practically impossible for them to underperform. I have made over 1.5 million dollars working with an investment coach for more than two years.
There are many financial coaches who excel in their profession, but for the time being, I employ Vivian Carol Gioia because I adore her methods. You can make research and find out more.
I greatly appreciate it. I'm fortunate to have come upon your message because investing greatly fascinates me. I'll look her up and send her a message. You've truly motivated me. God's blessings on you
I would say this is the best 2 etf dividend combo. With both these funds you don’t miss out on any dividend growth or more value ortiented dividend companies. So yes, diversification is here in this portfolio. Common stock holdings are in top 5 order of Abbvie, chevron, Home Depot, Coca Cola and PepsiCo. The fund overlap by weight is 21% (you could plug in these ETFs or any in a fund overlap website like etfrc.com for free) so that’s always nice to see in a etf combination is a lower end of the stick on fund overlap. I would say the main overlapping sector are financials and healthcare for both these funds combined
@@Marcos_Milla Thank you Marcos. But how can I have these in a Vanguard brokerage account? It would be too complicated for me to have more than one brokerage account. If it's Vanguard what COULD be the 3 best ETFs?
@@Marcos_Milla But Marcos! What if I also want the top 5-10 tech stocks in my mix too? MSFT Apple Meta ? How best to do this in just a Vanguard broke account? What index fund then? Thank you!
@@ianscianablo8507 I like capital appreciation ETFs with growth like SPMO. Dividends are great for more reliable and slower growth depending on the market cycle when value or growth outperforms. But I really do like SPMO
@@Marcos_Milla Hi Marcos. DGRO, SCHD & SPMO? Or can SPMO replace one of these? Or 33% each for these three? I loved the combo of SCHD & DGRO. Where can SPMO fit in? Almost there.
No issue with the expense ratio. 0.08% for dgro is insanely low. The ETFs in the dividend growth category average 0.48% so if you can get lower than that, you’re winning 💪🏼. I’d say my personal opinion is a expense ratio higher than what it should be like for example I wouldn’t be paying anything above 0.10% for a s&p 500 index fund because there’s so many out there below 0.04%. That’s my 2 cents on that.
Thank you very much Marco, it seems to me that if I already have a high portfolio +- 33% in growth etfs like QQQM VGT and SPYG, in addition to 33% in VOO with this I have enough exposure to technological companies, that is why I feel more comfortable alone having the SCHD, but I would like to know your opinion, or if in your opinion it would be good to combine SCHD + DGRO Regards
Juan, I love your portoflio. An excellent strategy and even greater returns. I never want to sway anyone’s opinions on what they want to do with their own money or stocks but to entertain and maybe make someone’s days better and less stressful. If you feel like SCHD alone is better for you and you can sleep at night and go about your day then maybe that’s the best strategy for you. Everyone has different opinion and what not. But everyone’s investing journey is unique and personal and that’s what makes this space so much fun and exciting. The combo of SCHD and DGRO video was an original video I came up with to target people who might be displeased with SCHD’s lack of performance in the overall market and wanted to solve this issue of underperformance but still have a high dividend yield and great returns. This adding dgro as a diversification play and hedge to SCHD. I had so much fun making the content and I know a lot of people loved the video and would either agree or disagree which is totally fine. I’m being very open ended because this is your decision and honesty, which whatever decision you make. Your portoflio is positioned in the future for high compounded annual returns and some good dividends coming in. So I would not worry about stressing over this too much, especially since your strategy is more of a growth strategy and not a dividend focused portfolio. Take it easy brother!
@@Marcos_Milla Thank you very much Marcos and yes surely when I change my strategy later and have it better positioned in dividends I will look to see this combination of SCHD + DGRO big hug
A lot of people lately including myself are splitting their dividend etf investments into schd plus another dividend etf like dgro. Which is what I do because of the recent performance of schd underperforming most dividend ETFs. This just minimizes risk and dgro and schd have a low fund overlap I believe of under 10%
If you had $100K to invest, is it more beneficial to allocate between 1 or 2 ETF ( ie: SCHD/DGRO) or multiple ETF (ie: SCHD, DGRO, SCHG, XLK, IYW)? Basically, focus on a few or divide equally between? Also, it seems like continued annual investment is better than just a beginning lump sum?
It all depends on your investing goals. If you are a dividend investor and prioritize dividend income then SCHD/DGRO might be something more to look into. But if you want dividends and growth and what not then the schd, dgro, schg, XLK, etc is a route. Dollar cost averaging is what every investor will recommend. I buy my ETFs weekly.
For someone of your age I would suggest SCHD+VIG instead of DGRO. VIG has a higher growth, and a lower expense ratio, for anyone with a larger time-horizon VIG is a better compliment to SCHD. Just my opinion, great video btw
Thank you! For younger individuals under 30, and are looking for a more aggressive dividend growth strategy. Then VIG+SCHD is a great combo and you don’t mind maybe a lower yield but are forward looking 15-30 years to see where the dividend will be since VIG has more dividend growth stocks than DGRO. I agree with your comment. With the DGRO + SCHD combo, it was targeting more of a traditional dividend investor since you want to see at least a 2% dividend yield combined with of course good returns and a good CAGR for dividend yield.
(Not financial advise). I like the schd & dgro combo. You get the best of both dividend growth stocks and more value oriented dividend stocks by combining both these ETFs and even a healthy dividend yield. If you need the money now from the dividends, keep it in a taxable account so you can access it. But if you DONT need the money now, put it in a Roth IRA and when you hit age 59 1/2 or it might be the 5 year mark to hold a fund by looking at the withdraw rules, any capital gains and dividend income is tax free. Granted 7k a year contribution is not going to be a huge dent into financial freedom if you invest in the Roth for 5 years, so maybe allocate to a taxable account as well or max out a Roth 401k if you have that option.
The overlap in holdings between SCHD and DGRO is 36 holdings, which represents 8.7% of DGRO's 420 holdings and 36.0% of SCHD's 104 holdings. SCHD & SPLG a better option IMO
The overlap by weight is only 20%. I like your suggestion but I believe it’s not in alignment with the spirit of this Video. He is merely saying that coupling these two ETF’s is better than owning just one for your dividend focused leg of your portfolio. Of course they should be paired with Growth, International and Bonds If you want full diversification. This Video is only meant to address the Dividend portion of one’s portfolio. I believe he is spot on. Owning both covers more companies in differently proportioned market segments. They are stronger in tandem. 😊
Just started investing in July. Looked around and started wondering why everyone wasn't recommending this combo(I saw VTI and SCHG a lot. I want one or the other at some point). I went 50/50.
The core of my Roth is SCHD, DGRO, VUG, and VOO. SCHD is my largest holding. Plan on adding more to DGRO once I get to the number of shares of SCHD I want for now.
When I look at a stock or stocks, I want it to do better than an index (say VOO) with dividends reinvested for total return. I compared your 2 stocks to the VOO from the full year for the last 9 years. I calculated the geometric average for each year than ended in 2023. The combination of the 2 stocks did not outperform VOO. I also compared them with dividends withdrawn and again they did not out preform VOO. The dividends were more but the total returns were not. I know that past performance is not a predictor for future returns nor is any other method.
I agree 100% with your analysis. Yes the goal of this dividend portfolio is not meant to outperform the S&P 500, but to provide the most efficient and best way in my opinion to invest for both dividends and capital appreciation with steady dividend growth. I have a very small portion of my portfolio with these 2 ETFs and the majority of my money is tied up in VOO and QQQM/SCHG make up the next highest holdings after VOO because of the reasons you stated above, great analysis
In your other video, you said to combine QQQM & VOO. I love them both & have QQQM in my Roth & brokerage. The overlap in these is pretty high tho. 84% of QQQM holdings are in VOO
Both ETFs serve a different purpose. Qqqm is a growth strategy and VOO is a growth/value play. QQQM basically takes 100 stocks from the Nasdaq-100 index and this is its strategy. More likely than not, those stocks are also in the S&P 500 but with lower weights. So QQQM takes these stocks and allocated more higher weighting to them, thus giving the index outperformance for these growth stocks. Hope this helps Charlie!
@Marcos_Milla actually picking up another 1000 shares next week of DGRO.... and trying to build out a jepq position for income as im going to retire next year... selling the house now and that's going to add another 800-900k to my portfolio. It's been a long journey... but I just keep adding!
@@Marcos_Milla COWZ is a on the expensive side (0.49%), however it looks at the Russell 1000 which to me is a plus. I keep it below 20% to maintain a low overall cost. Looking forward if you cover this ETF in the future. Thanks for the videos.
When I was in the upload process I feel like I should of put an honorable mention that you can add VIG as a comparable to DGRO. Though VIG is more of a dividend grower since it has a lower yield and better returns than DGRO. But I was chasing a higher yield so I added DGRO. Vig is a great etf !
Marcos you mentioned that Broadcom was on top 10 on SCHD but they removed more then 3 weeks ago ( before this video ), so not anymore. I think now is better DGRO is much better then SCHD
Literally when I published the video like 3 days later they did the reconstitution 😭. Honestly, SCHD is now more of a value fund than growth because of less tech exposure. I own both dgro and schd. I own more of dgro tho.
@@Marcos_Milla ohhh makes sense tks for the explanation, so I do have SCHD in my Roth Ira but now maybe I will start buying only DGRO instead, ( Also some VOO+DGRO+QQQM in my Roth IRA ) I'm 50 and just starting investing.what you thinking??
I love VTV. Higher share price is fine because that means you gained and benefited. I love scooping up shares on pullbacks because the dividend yield rises and of course cheaper shares
Dividend stocks are quite bad for total returns so do not tske those if you want returns over stable income! While schd is the best, not available in europe
Some fund overlap but both have different objectives. Schd is more of a higher dividend yield and low growing companies and dgro has a lower dividend yield but higher growth companies
I lost over $80k when everything started to tank. Not because I was in an exchange that went belly up. I was just stupid to hold and because that's what everyone said. I'm still responsible. It just taught me to be a better investor now that I understand more of what could go wrong. It took me over two years of being in the market, I'm really grateful I found one source to recover my money, at least $10k profits weekly. Thanks Patricia Annie Brooks
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
Most people are retiring this year and has nothing to show for. But I assure you it’s never late to get your financial life together again.. All thanks to Annie Brooks for I and my family
I prefer dividend stocks in tax advantaged accounts like a Roth and 401k rather than taxable. I personally have a total stock market index fund (VTI) in my 401k because I could comfortably hold this fund for 40+ years and it’s hard for dgro and SCHD to outperform both the S&P 500 and something like vti. I prefer the Roth IRA idea tho. Just my 2 cents
@@Marcos_MillaThanks for the video, the crystal ball, the puppy, and your positive attitude!! Keep up the great work, Marcos!! 5,000 subs are around the corner. My crystal ball 🔮 told me so!!! 😊🏆💪🏻
![The [Best Dividend ETF] for 2024](http://i.ytimg.com/vi/qDAj5WVy198/mqdefault.jpg)
Whats the best ETF to add to SCHD? What Percentages or shares of SCHD do you have?
250 shares of SCHD, and its my worst performing stock in my portfolio over the last year..lol. My 100 shares of DGRO way out performed my expectations.
@@Rahmiethat god you had DGRO. The tech play I see in a lot of portfolios with a good dividend yield is either an S&P 500 index fund or DGRO/VIG.
VGT and SCHD. You’re welcome
@@BW-kv9wj 🔥
I am 50% SCHD and 50% SCHG which has been outperforming VGT and QQQ recently, while being a little bit less risky. The decision on SCHD is based on income needs- 50% is enough for me, so it depends on how your income requirement. If you don't need the income then something like SPY or VOO is better.
Love your videos. 44yo 5.2 mil net worth, and driving 2013 corolla. Biggest positions VOO, VTI, SCHD, VYM, and now looking to build up DRGO. I got $48,800 divs last year in taxable divs. Q2 taxable divs this year was $17,388 this year.
That is incredible Phil. Thanks for sharing. I love that you drive that car with that net worth. Clearly you have cracked the code (: And your holdings are rock solid. It's nice being financially free! Soooo much better than a new car every couple years.
Are you using a company for this or doing it on your own? I put in a hundred K over a year ago but I am barely breaking even
If one is in their early 40s and just started investing (have 401k from work). Should they just focus on growth etf since it will be too late for them to see real benefits with dividends?
I wouldn't say early 40's is 'too late' for anything related to investing. If you have at least 20 years left to put money into the market then I think growth is a nice way to lean. I would still have a balance of the two. I think value/dividends is good to have at any age in any market (with at least a portion of the portfolio). Getting help from a CFA that puts the time in to research companies thoroughly and implement effective risk management strategies even if you are a DIY investor, can bring tremendous benefits. This system has proven effective for me!
I’m trying to get an advisor for guidance but it’s harder than you think. Anyone who is fee-based is hard to find and usually have a heavy workload. Would you be comfortable sharing a recommendation if it’s not too much trouble
SCHD + VOO + SCHG is my portfolio at the moment
Great 3 fund! Is schd in a Roth to take advantage of the tax benefits of a Roth?
I have my niece’s Roth in SCHG and SCHD and it’s been crushing the last few years!!
@@AD-cy7wx love the Schwab combo, 2 of the best in the industry 💪🏼
I went with both the SCH's and VTI instead of VOO. Couple other random stocks, but that is the bulk.
@@mixaleenalovesglitter2543 VTI is an excellent choice! I like the bulk being to index funds. Thank you for commenting 💪🏼
I started investing in DGRO this year and I will have a 50/50 split with SCHD by June. These two make up the bulk of my dividend sector in my 3(ish) portfolio. I did a side-by-side analysis of the two plus other dividend funds and these two stood out as the best combo from my perspective. There is very little overlap, even less now that SCHD is dropping AVGO, and the other fundamentals are complimentary. I think that you are correct and that these two ETF's will work well together and I look forward to good growth and good dividends for the foreseeable future. Cheers
Thank you! I try and do detailed analysis like sometimes up to 2am prior to making a video lol. But I love seeing people doing their own analysis as well! That’s my goal is to get people thinking on how to make investing fun yet exciting!
Just passed 100 shares of SCHD and will continue to purchase monthly. Looking to start investing in DGRO next week. Good video.
Thank you 🙏💪 100 shares strong 💪
congrats i have 80 shares of DGRO trying to get to 100
Is it okay to open a roth ira and a IBA with the same brokerage account? Example Fidelity? Im 50 years old so i want to take advantage of the roth, but it's capped at 7k then i woukd have to switch. So, my plan is SPLG as my foundation and separately SCHD & SCHD. Should i use to separate accounts? Or again, all in Fidelity, but one roth and one traditional
There’s no harm in having separate apps or just one app for your investments. I have all my investments with vanguard and a lot of people have all their investments with fidelity. Fidelity is very very reputable. I always recommend to max out the Roth IRA and then move onto your taxable
@Marcos_Milla thank you! You are awesome
If someone does not have access to a Roth to take advantage of the tax benefits, would you still recommend SCHD in a brokerage account?
yes 💪🏼 (not financial advise, just my 2 cents)
What etf do u consider for a taxable account? I do have SCHD in my Roth IRA, so the question would be should I mirror my Roth IRA for my brokerage account.
This is an excellent question. (Not a financial advisor) but my 2 cents would be to always try and protect your dividend income from taxes through tax advantages accounts like a Roth IRA or a Roth 401k. So if you do have a Roth 401k with a company that has a wide range of investment funds then try that route. Downside is a lot of 401k’s are limited to what they can invest in, like my 401k only has VTI as the most aggressive fund. There’s no harm in adding SCHD to your brokerage account. A total of people have most of their dividend income flowing through here due to the cap of 7000 contributed annually to a Roth IRA and from my knowledge a 401k is like 22k. But like I said earlier most 401k’s are limited in what you can invest in. So short answer is, yes if it fits your investing goals and if you like to have that dividend income flowing for you to use at any time during your investing career. Hope this helps!
@@Marcos_Milla thank you so much for your feedback!!
@@angelromero8076 💪🏼
I have SCHD - QQQM - SPLG as my 3 Core Equity ETFs - thinking about DGRW or DGRO (i owned both in the past)-- thoughts on DGRW vs. DGRO?
Hmm. I’m not a financial advisor but I’ll chime in my 2 cents. Honestly your core 3 fund portfolio is excellent. Growth, core of a S&P 500 index fund, and dividend yield. I think DGRW and DGRO could deserve a spot in the table. DGRW has a higher expense ratio by like 3x-4x than DGRO only because it pays a monthly dividend versus dgro has quarterly. Dgro gets the higher dividend yield and more consistent dividend growth, where DGRW’s is a bit erratic.DGRW gets the bonus points for a higher return than DGRO in the past 1,3,& 5 years. Even outperforming the S&P 500. I would say if you’re into the monthly dividends and if you want that sort of cash flow for the future and have a long time horizon since DGRW is and will primarily be in technology then maybe DGRW is something to consider. If you’re more of a traditional dividend investor that likes a high yield, traditional quarterly dividend payments and a consistent and good CAGR for dividend payments. Then DGRO is probably something to look at. If you really think DGRO is not as good as DGRW because of the returns, you can always allocate more to QQQM/SPLG because in the long run I’m sure these ETFs will outperform any other strategy. Just my 2 cents. Hope this helps a ton!
Thanks for your words of wisdom - may steer more toward DGRO for now. @@Marcos_Milla
That was good analysis. Nice job.
@@sgtfish49 thank you!
SCHD & DGRO are a great combo! Thanks marcos, will be adding DGRO to my portfolio
📈
Hey Marcos! How would you squeeze FSPGX & SPMO in the same ETF port? Thank you! I'm meting my Merrill Lynch platform advisor on tuesday. Trying to stack-up for the first time, my ROTH IRA!!!
Both are growth funds. I would rather own one of them and not both for fund overlap sake. Higher risk and higher reward type of play but can be very rewarding long term if tech continues to be in favor
@@Marcos_Milla I'm sorry Marcos. I'm just trying to get more bang for the buck. I don't think I have a foundational-lion's share ETF in my mix-unless I'm wrong. I have a chance to put $42,000 to use. SPMO, SCHD & DRGO. Which one could be foundational? Clueless about the percentages. Any final thoughts? This $ is going into the IRA. My accountant told me to wait a year before I put it in the ROTH. Thank you Marcos.
Is it to late to jump in? Im looking to get back into the stock market but I don’t want to constantly watch my portfolio.
In my opinion, (not financial advice), it’s never a bad time to jump in as long as you dollar cost average and have a strategy that you can stick to for a long period of time
Thanks for the Alpha. I have to do more research on SCHD.
💪
Dividends from the stock market encouraged me to begin investing. What matters, in my opinion, is that if you invest and make additional money in addition to dividends, you will be able to live off of dividends without selling. It implies that you can provide that benefit for your children, giving them a head start in life. I've invested more than $600K in dividend stocks throughout the years; I'm currently buying more today and will continue to do so until the price falls even further.
Hearing from an experienced investor who has survived the crisis and prospered is always comforting. It could be worrisome when your portfolio goes from green to red, but if you have invested in strong firms, you should just keep growing them and stick to your goal.
I wholeheartedly concur, which is why I appreciate giving an investment coach the power of decision-making. Given their specialized expertise and education, as well as the fact that each and every one of their skills is centered on harnessing risk for its asymmetrical potential and controlling it as a buffer against certain unfavorable developments, it is practically impossible for them to underperform. I have made over 1.5 million dollars working with an investment coach for more than two years.
Wow, that sounds great, but how can I contact your investment coach?
There are many financial coaches who excel in their profession, but for the time being, I employ Vivian Carol Gioia because I adore her methods. You can make research and find out more.
I greatly appreciate it. I'm fortunate to have come upon your message because investing greatly fascinates me. I'll look her up and send her a message. You've truly motivated me. God's blessings on you
If you were drip’ing schd during this flat period you are winning. Cheaper the shares the more you get.
I was buying SCHD at the high 60’s before the run up to 80 and i agree 💪
100% Agree!! FLAT period = Give us good time for add!
@@Bullish_K2M2B a flat market a call option ETF like JEPQ is nice to have.
Hi Marcos. Owning both SCHD & DGRO. How diversified would this combo be? What are the combined sectors? Any common stocks in this combo? Coke? JNJ?
I would say this is the best 2 etf dividend combo. With both these funds you don’t miss out on any dividend growth or more value ortiented dividend companies. So yes, diversification is here in this portfolio. Common stock holdings are in top 5 order of Abbvie, chevron, Home Depot, Coca Cola and PepsiCo. The fund overlap by weight is 21% (you could plug in these ETFs or any in a fund overlap website like etfrc.com for free) so that’s always nice to see in a etf combination is a lower end of the stick on fund overlap. I would say the main overlapping sector are financials and healthcare for both these funds combined
@@Marcos_Milla Thank you Marcos. But how can I have these in a Vanguard brokerage account? It would be too complicated for me to have more than one brokerage account. If it's Vanguard what COULD be the 3 best ETFs?
@@Marcos_Milla What about Berk B shares, Tesla, Apple MSFT? I want those stocks too, but in higher concentrations.
@@Marcos_Milla But Marcos! What if I also want the top 5-10 tech stocks in my mix too? MSFT Apple Meta ? How best to do this in just a Vanguard broke account? What index fund then? Thank you!
Love the video
I will add DGRO now. I have QQQM SCHD VTI and my only REIT is O
Thank you!
I combined SCHD, DGRO and SPLG. My 10 year plan.
Diversification & high yield with great returns 📈👌
Any overlapping among those 3?
Crazy! That's my same 3 cores!
@@UltraRunner26 📈
Can I put VOO+SCHD+DGRO+QQQM
For my regular Brokerage Account and My Roth IRA?
Great videos my friend!
Hi Marcos! Is SPMO needed if I do DGRO & SCHD?
@@ianscianablo8507 I like capital appreciation ETFs with growth like SPMO. Dividends are great for more reliable and slower growth depending on the market cycle when value or growth outperforms. But I really do like SPMO
@@Marcos_Milla Hi Marcos. DGRO, SCHD & SPMO? Or can SPMO replace one of these? Or 33% each for these three? I loved the combo of SCHD & DGRO. Where can SPMO fit in? Almost there.
What are your thoughts on the expense ratio? Will that be an issue?
No issue with the expense ratio. 0.08% for dgro is insanely low. The ETFs in the dividend growth category average 0.48% so if you can get lower than that, you’re winning 💪🏼. I’d say my personal opinion is a expense ratio higher than what it should be like for example I wouldn’t be paying anything above 0.10% for a s&p 500 index fund because there’s so many out there below 0.04%. That’s my 2 cents on that.
Thank you very much Marco, it seems to me that if I already have a high portfolio +- 33% in growth etfs like QQQM VGT and SPYG, in addition to 33% in VOO with this I have enough exposure to technological companies, that is why I feel more comfortable alone having the SCHD, but I would like to know your opinion, or if in your opinion it would be good to combine SCHD + DGRO Regards
Juan, I love your portoflio. An excellent strategy and even greater returns. I never want to sway anyone’s opinions on what they want to do with their own money or stocks but to entertain and maybe make someone’s days better and less stressful. If you feel like SCHD alone is better for you and you can sleep at night and go about your day then maybe that’s the best strategy for you. Everyone has different opinion and what not. But everyone’s investing journey is unique and personal and that’s what makes this space so much fun and exciting. The combo of SCHD and DGRO video was an original video I came up with to target people who might be displeased with SCHD’s lack of performance in the overall market and wanted to solve this issue of underperformance but still have a high dividend yield and great returns. This adding dgro as a diversification play and hedge to SCHD. I had so much fun making the content and I know a lot of people loved the video and would either agree or disagree which is totally fine. I’m being very open ended because this is your decision and honesty, which whatever decision you make. Your portoflio is positioned in the future for high compounded annual returns and some good dividends coming in. So I would not worry about stressing over this too much, especially since your strategy is more of a growth strategy and not a dividend focused portfolio. Take it easy brother!
@@Marcos_Milla Thank you very much Marcos and yes surely when I change my strategy later and have it better positioned in dividends I will look to see this combination of SCHD + DGRO big hug
I would like to add 25% of SCHD to my portfolio. Instead of 25%, is SCHD 12% / 13% DGRO ok to do to make the 25%?
A lot of people lately including myself are splitting their dividend etf investments into schd plus another dividend etf like dgro. Which is what I do because of the recent performance of schd underperforming most dividend ETFs. This just minimizes risk and dgro and schd have a low fund overlap I believe of under 10%
If you had $100K to invest, is it more beneficial to allocate between 1 or 2 ETF ( ie: SCHD/DGRO) or multiple ETF (ie: SCHD, DGRO, SCHG, XLK, IYW)? Basically, focus on a few or divide equally between? Also, it seems like continued annual investment is better than just a beginning lump sum?
It all depends on your investing goals. If you are a dividend investor and prioritize dividend income then SCHD/DGRO might be something more to look into. But if you want dividends and growth and what not then the schd, dgro, schg, XLK, etc is a route. Dollar cost averaging is what every investor will recommend. I buy my ETFs weekly.
Appreciate the response. Thanks.
@@chuglobal no problem!
Isn't DGRO a large value ETF, not a large growth ETF? Correct me if I'm wrong.
Dgro is an etf that focuses on stocks with sustainably growing their dividends hence a dividend growth ETF.
You have great interactions with your subscribers and great (2 cents) advice. This helps me with decision making to lean one way or the other. Thanks
I try my best, even if it involves responding with paragraphs instead of one sentence like most RUclipsrs
For someone of your age I would suggest SCHD+VIG instead of DGRO. VIG has a higher growth, and a lower expense ratio, for anyone with a larger time-horizon VIG is a better compliment to SCHD. Just my opinion, great video btw
Thank you! For younger individuals under 30, and are looking for a more aggressive dividend growth strategy. Then VIG+SCHD is a great combo and you don’t mind maybe a lower yield but are forward looking 15-30 years to see where the dividend will be since VIG has more dividend growth stocks than DGRO. I agree with your comment. With the DGRO + SCHD combo, it was targeting more of a traditional dividend investor since you want to see at least a 2% dividend yield combined with of course good returns and a good CAGR for dividend yield.
I invested 50/50 SCHD DGRO
📈
Is Schd and dgro good at my age off 55 if so should it be in a Roth or ira
(Not financial advise). I like the schd & dgro combo. You get the best of both dividend growth stocks and more value oriented dividend stocks by combining both these ETFs and even a healthy dividend yield. If you need the money now from the dividends, keep it in a taxable account so you can access it. But if you DONT need the money now, put it in a Roth IRA and when you hit age 59 1/2 or it might be the 5 year mark to hold a fund by looking at the withdraw rules, any capital gains and dividend income is tax free. Granted 7k a year contribution is not going to be a huge dent into financial freedom if you invest in the Roth for 5 years, so maybe allocate to a taxable account as well or max out a Roth 401k if you have that option.
The overlap in holdings between SCHD and DGRO is 36 holdings, which represents 8.7% of DGRO's 420 holdings and 36.0% of SCHD's 104 holdings. SCHD & SPLG a better option IMO
SCHD + a S&P 500 index fund is a great option!
The overlap by weight is only 20%. I like your suggestion but I believe it’s not in alignment with the spirit of this Video. He is merely saying that coupling these two ETF’s is better than owning just one for your dividend focused leg of your portfolio. Of course they should be paired with Growth, International and Bonds If you want full diversification. This Video is only meant to address the Dividend portion of one’s portfolio. I believe he is spot on. Owning both covers more companies in differently proportioned market segments. They are stronger in tandem. 😊
@@tomcooper2646 this comment is exactly what I was aiming for. Thank you too for the kind words!💪🙏
Just started investing in July. Looked around and started wondering why everyone wasn't recommending this combo(I saw VTI and SCHG a lot. I want one or the other at some point). I went 50/50.
💪🏼
The core of my Roth is SCHD, DGRO, VUG, and VOO. SCHD is my largest holding. Plan on adding more to DGRO once I get to the number of shares of SCHD I want for now.
💪
Whats your number of shares u trying to reach if u don't mind me asking
You should add VGT and QQQM
QQQM + DGRO + SCHD for long term?
I like throwing in QQQM for the capital appreciation and growth 👀
Thinking the same maybe 20-40-40 split
When I look at a stock or stocks, I want it to do better than an index (say VOO) with dividends reinvested for total return. I compared your 2 stocks to the VOO from the full year for the last 9 years. I calculated the geometric average for each year than ended in 2023. The combination of the 2 stocks did not outperform VOO. I also compared them with dividends withdrawn and again they did not out preform VOO. The dividends were more but the total returns were not. I know that past performance is not a predictor for future returns nor is any other method.
I agree 100% with your analysis. Yes the goal of this dividend portfolio is not meant to outperform the S&P 500, but to provide the most efficient and best way in my opinion to invest for both dividends and capital appreciation with steady dividend growth. I have a very small portion of my portfolio with these 2 ETFs and the majority of my money is tied up in VOO and QQQM/SCHG make up the next highest holdings after VOO because of the reasons you stated above, great analysis
I currently hold SCHD, DGRO, SCHX and SOXX.
💪🏼💪🏼💪🏼
I hold Both in my Roth and have been performing well, can’t wait to reinvest the dividends I will be receiving this month from both!!
📈💪
"YMAX" To The Moon, Baby! 🚀
Never buy those, or covered call etfs your principal loses value over time.
In your other video, you said to combine QQQM & VOO. I love them both & have QQQM in my Roth & brokerage. The overlap in these is pretty high tho. 84% of QQQM holdings are in VOO
Both ETFs serve a different purpose. Qqqm is a growth strategy and VOO is a growth/value play. QQQM basically takes 100 stocks from the Nasdaq-100 index and this is its strategy. More likely than not, those stocks are also in the S&P 500 but with lower weights. So QQQM takes these stocks and allocated more higher weighting to them, thus giving the index outperformance for these growth stocks. Hope this helps Charlie!
how about DIVO + DGRO?
This is also a great combo for yield and returns!
2000 shares of SCHD and 1000 shares of DGRO as my core so far...
Best dividend combo
@Marcos_Milla actually picking up another 1000 shares next week of DGRO.... and trying to build out a jepq position for income as im going to retire next year... selling the house now and that's going to add another 800-900k to my portfolio. It's been a long journey... but I just keep adding!
@@Happ1971 I’m jealous 😩💪🏼keep it up!
congrats
I run 40/40% into SCHD+DGRO and 20% COWZ for diversity.
Wow. Great portfolio !
@@Marcos_Milla COWZ is a on the expensive side (0.49%), however it looks at the Russell 1000 which to me is a plus. I keep it below 20% to maintain a low overall cost. Looking forward if you cover this ETF in the future. Thanks for the videos.
Surprised no mention of Vig
When I was in the upload process I feel like I should of put an honorable mention that you can add VIG as a comparable to DGRO. Though VIG is more of a dividend grower since it has a lower yield and better returns than DGRO. But I was chasing a higher yield so I added DGRO. Vig is a great etf !
VOO: 35%
QQQM: 25%
SCHD: 20%
VIG: 15%
VXUS: 2.5%
VNQ: 2.5%
🔥
Marcos you mentioned that Broadcom was on top 10 on SCHD but they removed more then 3 weeks ago ( before this video ), so not anymore. I think now is better DGRO is much better then SCHD
Literally when I published the video like 3 days later they did the reconstitution 😭. Honestly, SCHD is now more of a value fund than growth because of less tech exposure. I own both dgro and schd. I own more of dgro tho.
@@Marcos_Milla ohhh makes sense tks for the explanation, so I do have SCHD in my Roth Ira but now maybe I will start buying only DGRO instead, ( Also some VOO+DGRO+QQQM in my Roth IRA ) I'm 50 and just starting investing.what you thinking??
I paired VTV with my SCHD…only downside is it’s a higher share price . Expense ratio .04
I love VTV. Higher share price is fine because that means you gained and benefited. I love scooping up shares on pullbacks because the dividend yield rises and of course cheaper shares
Considering DGRO but I guess it’s based off individuals other holding and overlap. Great videos!
@@Positively46 I try my best💪💪🙏
Yup. Great video
Thank you🙏
Dividend stocks are quite bad for total returns so do not tske those if you want returns over stable income! While schd is the best, not available in europe
👀
Only 3 vti,schd and dgro 3 kings
👑👑👑
What's the most common winning investment strategy for a new beginner?
As a beginner, it's essential for you to have a mentor to keep you accountable. I'm guided
by a widely known crypto
consultant
Hattie Glover
Interesting, please how can I get more information? I don't want to remain out of ignorance
She's on FACEBOOK
Look up her name
Keep up the good work
Thank you💪🙏
TALK ABOUT QQQM & HOW ITS THE BEST ETF
Breh
VGT is best if you want to get rich.
@@BW-kv9wj both are great funds 💪🏼
@@Marcos_Milla Yes. I own them both among quite a few other ETFs.
I combine some QQQM with some more QQQM ngl
The best growth strategy ☺️
36.0%
% of SCHD's 104 holdings also in DGRO
Some fund overlap but both have different objectives. Schd is more of a higher dividend yield and low growing companies and dgro has a lower dividend yield but higher growth companies
Without the mag 7, the market is basically flat
Very true
I lost over $80k when everything started to tank. Not because I was in an exchange that went belly up. I was just stupid to hold and because that's what everyone said. I'm still responsible. It just taught me to be a better investor now that I understand more of what could go wrong. It took me over two years of being in the market, I'm really grateful I found one source to recover my money, at least $10k profits weekly. Thanks Patricia Annie Brooks
I'm new at this, please how can I reach her?
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
she's mostly on Instagrams, using the user name
fxannie19 💯 ..that's it
Most people are retiring this year and has nothing to show for. But I assure you it’s never late to get your financial life together again.. All thanks to Annie Brooks for I and my family
too much overlap ....
24% isn’t that much overlap
(That’s pre-reconstitution, not sure what the new overlap is)
Agreed
What about this; dividend doesn’t increase wealth, since for example on ex div day stock falls by the percent of the dividend.
But it rises back up eventually. And when it does you have more shares than you had before.
Greta Flat
@Marcos_milla does it make sense to do schd/dgro in both my Roth IRA and my 401k?
I prefer dividend stocks in tax advantaged accounts like a Roth and 401k rather than taxable. I personally have a total stock market index fund (VTI) in my 401k because I could comfortably hold this fund for 40+ years and it’s hard for dgro and SCHD to outperform both the S&P 500 and something like vti. I prefer the Roth IRA idea tho. Just my 2 cents
My RRSP =
Foundational SPY BRK.B
Growth QQQM SCHG SMH XLK VGT
Dividend SCHD DGRO DGRW
Satellites AAPL MSFT NVDA AMD AMZN GOOG
Done. Period.
💪💪📈
@@Marcos_MillaThanks for the video, the crystal ball, the puppy, and your positive attitude!!
Keep up the great work, Marcos!!
5,000 subs are around the corner. My crystal ball 🔮 told me so!!! 😊🏆💪🏻
@@animaldonut I appreciate you seeing the details! Thank you animaldonut! 1000 is around the corner for you👀🙏
8060 Ian Prairie