Stable Dividends: iShares Dow Jones Select Dividend ETF
10/31 Yield: 3.49%
Expense Ratio: 0.4%
While dividend growth is important, it doesn’t do income investors a bit of good if the quarterly or monthly dividend isn’t reliable. The iShares Dow Jones Select Dividend ETF (NYSE:DVY) is designed to deliver that stability. Since 2004, DVY’s quarterly dividend has never fallen below 40 cents per share, and never topped 60 cents.
On the surface, it would seem like the occasional huge payout would be nice, but with payout spikes come equally nasty payout plunges. The iShares Select Dividend Fund simply avoids that volatility altogether, holding rock-solid dividend stocks like Lorillard (NYSE:LO) and Chevron (NYSE:CVX).