What is the primary difference in management style between Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD)?

Capital Group Dividend Value ETF (CGDV) uses active management, allowing managers flexibility in selecting dividend growth strategies beyond passive indexing. In contrast, US Dividend Equity ETF Schwab (SCHD) typically tracks a specific index, aiming for cost efficiency. This difference means CGDV's holdings depend on manager judgment, while SCHD's reflect index rules, influencing how each fund reacts to market shifts and sector rotations.

What does the inception date tell you about the track record of Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD)?

US Dividend Equity ETF Schwab (SCHD) launched in October 2011, providing a long historical performance record across various market cycles. Capital Group Dividend Value ETF (CGDV) is newer, established in February 2022, with a shorter track record. A longer history helps investors understand how SCHD behaved in past downturns, while CGDV's recent inception means less historical data is available for analysis.

What does net assets mean and how does it differ between Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD)?

Net assets represent the total market value of holdings within a fund. US Dividend Equity ETF Schwab (SCHD) has $112.8 billion, enhancing liquidity and reducing tracking error risk. Capital Group Dividend Value ETF (CGDV) holds $38.3 billion, suggesting strong recent demand but a smaller base. Higher assets often mean easier trading, while smaller funds may face different liquidity challenges.

How do dividend yields differ between Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD)?

US Dividend Equity ETF Schwab (SCHD) offers a dividend yield of 3.11%, providing meaningful income generation. In contrast, Capital Group Dividend Value ETF (CGDV) has a lower yield of 1.17%, which may offer less immediate income. This difference influences suitability for income-focused investors, while CGDV might prioritize growth potential alongside dividends.

Is there overlap between the top holdings of Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD)?

Yes, there is no overlap between the top holdings of Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD). CGDV's top ten companies, such as Microsoft and Nvidia, differ entirely from SCHD's top ten, which include Merck and AbbVie.

Are sector weights available for Capital Group Dividend Value ETF (CGDV) or US Dividend Equity ETF Schwab (SCHD)?

Currently, sector weights are not available for Capital Group Dividend Value ETF (CGDV) or US Dividend Equity ETF Schwab (SCHD) in this comparison. While their category is 'Large Value', detailed sector allocation percentages are missing from the dataset, which limits precise sector diversification analysis.

What is the current net asset value per share for Capital Group Dividend Value ETF (CGDV)?

Net asset value per share for Capital Group Dividend Value ETF (CGDV) is not available in the provided data. While its total net assets of $38.3 billion are stated, this aggregate figure alone cannot provide the current share value.

What are the typical pros and cons of Capital Group Dividend Value ETF (CGDV)?

Pros include its large asset base of $38.3 billion suggesting substantial liquidity, and active management allowing flexibility beyond passive indexing. Its young age shows strong investor demand. Cons involve a higher expense ratio of 0.33% increasing costs, a lower dividend yield of 1.17% for immediate income, and top holdings concentrated in large technology firms potentially limiting value exposure.

How do dividend distributions typically work for exchange-traded funds?

Exchange-traded funds collect dividends from underlying stocks and distribute them to shareholders periodically. US Dividend Equity ETF Schwab (SCHD) has a 3.11% yield, meaning it pays out more relative to its price than Capital Group Dividend Value ETF (CGDV) at 1.17%. Distributions can be cash or automatically reinvested, but yields vary based on holdings and payout policies.

Which investing goals are typically associated with Capital Group Dividend Value ETF (CGDV) versus US Dividend Equity ETF Schwab (SCHD)?

US Dividend Equity ETF Schwab (SCHD), with its higher yield of 3.11% and low 0.06% fee, aligns with income-focused strategies seeking cost efficiency. Capital Group Dividend Value ETF (CGDV), with active management and growth-oriented tech holdings, suits investors prioritising capital appreciation alongside modest dividends. The choice depends on whether immediate income or growth potential is the primary objective.

CGDV vs SCHD

Q: How do the expense ratios of Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD) compare?

Capital Group Dividend Value ETF (CGDV) charges an expense ratio of 0.33%, while US Dividend Equity ETF Schwab (SCHD) charges only 0.06%. This 0.27 percentage point difference reflects active management costs versus passive indexing efficiency. Over long periods, higher fees reduce net returns unless outperformance compensates, so understanding this cost structure is vital for evaluating potential net earnings from each fund.

Q: How do the top holdings of Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD) reflect different strategies?

Capital Group Dividend Value ETF (CGDV) lists top holdings like Microsoft (MSFT), Nvidia (NVDA), and Meta Platforms (META), indicating a tilt toward large technology firms. US Dividend Equity ETF Schwab (SCHD) holds Merck (MRK), AbbVie (ABT), and Amgen (AMGN), reflecting a focus on healthcare and consumer staples. These distinct portfolios show CGDV's growth-value blend versus SCHD's defensive, income-oriented approach.

Two funds, one decision: we compare cost, performance and what each ETF actually holds in November 2026.

Compare Capital Group Dividend Value ETF (CGDV) and US Dividend Equity ETF Schwab (SCHD) side by side. This page reviews expense ratios, top holdings, dividend yields and how each fund tracks its market. CGDV charges 0.33%; SCHD charges 0.06%. Educational content, not financial advice.

Fund Snapshot

Key Fund Metrics

CGDV

Metric

SCHD

0.33%

Expense Ratio

0.06%

1.17%

Dividend Yield

3.11%

$38.26B

Net Assets

$112.77B

Holdings

102

Feb 22, 2022

Inception Date

Oct 20, 2011

–

Index Tracked

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Large Value

Fund Category

Large Value

SCHD costs about $27.00 less per year for every $10,000 invested.

Shared Top Holdings

These funds do not share any of their top holdings.

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Investment Analysis

CGDV

Pros

Large asset base of $38.3 billion suggests substantial liquidity and fund stability.
Active management allows flexibility in dividend growth strategies beyond passive indexing.
Young fund with $38.3 billion in net assets indicates strong recent investor demand.

Considerations

Higher expense ratio of 0.33 percent increases holding costs compared to passive peers.
Lower dividend yield of 1.17 percent may offer less immediate income for investors.
Top holdings concentrated in large technology firms, potentially limiting value exposure.

SCHD

Pros

Very low expense ratio of 0.06 percent makes it highly cost-efficient for investors.
Substantial dividend yield of 3.11 percent provides meaningful income generation potential.
Large net assets of $112.8 billion enhance liquidity and reduce tracking error risk.

Considerations

Top holdings heavily concentrated in defensive sectors like healthcare and consumer staples.
Value factor tilt may lead to periods of underperformance during growth market rallies.
Fund's long history means it may be less agile than newer, more innovative funds.

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About CGDV and SCHD

CGDV (CGDV)

The Capital Group Dividend Value ETF (CGDV) is a large-cap value fund designed to provide investors with exposure to dividend-paying companies. Launched in February 2022, it holds a concentrated portfolio of 59 positions, focusing on established firms with potential for income and value appreciation. The fund carries an expense ratio of 0.33%, which is moderate for an actively managed ETF strategy. With net assets of USD 38.26 billion, it offers substantial liquidity. Investors should note its current dividend yield of 1.17%, which provides modest income compared to high-yield sectors. As with all value strategies, performance can vary significantly depending on market cycles and economic conditions. It is important to remember that capital values can rise as well as fall, and dividends are not guaranteed. This fund suits those looking for a balanced approach to large-cap value investing within an ETF wrapper, but thorough personal research is always recommended before making any investment decisions.

SCHD (SCHD)

SCHD (Schwab US Dividend Equity ETF) is an exchange‑traded fund that aims to provide exposure to high-quality U.S. companies that have a history of paying dividends. Managed by Charles Schwab, the ETF screens for firms with stable earnings, reasonable payout ratios and consistent dividend records, concentrating on large‑cap names across a range of sectors. Investors often use SCHD for income and as a core holding to capture dividend yield with the diversification and liquidity of an ETF. It is designed to be a low‑cost, transparent vehicle, though dividends and share prices can fall and past performance is not a guarantee of future results. Suitable for investors seeking income and long‑term total return, it may not fit those focused solely on capital growth or who require guarantees. As with any investment, consider costs, tax treatment and how it fits your wider portfolio before investing.

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CGDV vs SCHD

Fund Snapshot