Discover which dividend-focused ETF aligns with your investment strategy. Real-time data and projections updated every 15 minutes.
Project your potential returns with real-time dividend yields
Understanding the key differences between these two popular dividend-focused ETFs
Historical returns and dividend performance
Get answers to common questions about SCHD and JEPI
SCHD focuses on dividend growth by investing in established U.S. companies with a history of consistent dividend payments and growth. JEPI uses an options strategy (covered calls) to generate high current income from a portfolio of low-volatility stocks, resulting in higher yield but potentially lower capital appreciation.
Historically, SCHD has shown stronger long-term capital appreciation due to its focus on companies with growing dividends and strong fundamentals. JEPI's covered call strategy caps upside potential during strong bull markets but provides more consistent income. For investors with a 10+ year horizon, SCHD generally offers better growth potential.
JEPI's yield is generated through its options strategy rather than traditional dividend payments. While the fund is designed to produce high income, the exact yield can fluctuate based on market volatility and options premiums. The 7.85% yield has been consistent recently, but investors should monitor the fund's distribution coverage.
Yes, many investors hold both ETFs in a diversified portfolio. SCHD provides dividend growth and capital appreciation, while JEPI offers higher current income. A common strategy is to allocate a portion to each based on your income needs and growth objectives.
JEPI is often preferred for immediate retirement income due to its higher yield and monthly distributions. However, SCHD may be better for earlier retirement stages where some growth is still desired. Many retirees use a combination - JEPI for near-term income needs and SCHD for longer-term income growth that outpaces inflation.
SCHD has a very low expense ratio of 0.06%, among the lowest in the dividend ETF space. JEPI has a higher expense ratio of 0.32% due to its more complex options strategy. While JEPI's fee is still reasonable for an actively managed fund with its strategy, SCHD's lower fee gives it a slight advantage in cost efficiency.