I typically buy individual stocks. However, I've started investing in more exchange-traded funds (ETFs) over the past year. They help me further diversify my portfolio and sharpen my focus on my highest conviction ideas.
Dividend stocks are one of my highest conviction investments due to their historical outperformance over companies that don't pay dividends. The Schwab U.S. Dividend Equity ETF(NYSEMKT: SCHD) does a magnificent job tracking the best ones, which is why I have been buying the ETF hand over fist this year.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.
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