What is there was an easy way to earn consistent recurring revenue from your investments? And what if this tried and true method had a long-standing track-record? If this interests you, you’re in luck! Because today’s article is all about the high dividend ETF.

These are some of the easiest and most reliable investments. They’re basic, safe, and boring. But, they also payout consistently, making many investors quite rich.

In this article you’ll learn all about this wonderful opportunity.

Plus, we’ll look at several high dividend ETF strategies and invesment types. If you’re looking for a safe way to grow your wealth, then read on.

What Is A High Dividend ETF?

ETFs (or exchange trade funds) are special assets which track index funds while trading like stocks.

This might sound confusing, but it’s actually quite simple.

An ETF takes a whole collection of assets (like stocks, bonds, or real estate), lumps them into one fund, and then lets you buy shares of that fund.

Instead of buying a single stock or asset, you’re getting hundreds of them at once.

This really helps limit your risks, protecting you from volatility or market swings.

If some of the ETF’s holdings go down and some go up, your account remains pretty stable. There’s a lot less risk in this type of investment than there is in stock picking or mutual funds.

What To Look For When Investing

Not all ETFs are created equal.

Some cover the whole market (like Vanguard’s VOO), while others cover assets in a select niche.

Personally, I invest in two main ETFs: VOO (which tracks the whole S&P 500) and VYM (a high dividend ETF). So far my results with both are great!

When picking an ETF, look at what businesses are inside the fund.

Doing so saves you from picking poor performers or funds covering a dying, stagnate niche.

Additionally, take a look at the ETF’s management fees. Some funds look great, but under-preform due to excessive costs.

Lastly, if you’re investing for dividends (that’s where the fund issues cash payments just for holding shares of it), look at the annual payouts

With VYM, you’re getting about $3 per $100 invested. A pretty good cash payment for something you’re just holding on to. Plus, with enough shares these dividend checks really add up.

I recommend finding a high dividend yielding ETF with a consistent track record for payments.

Additional Resources

If you’re interested in high dividend ETF investing, I suggest you do your homework. This way you’ll find the best funds to match your needs and goals.

To help with this, here are several books, tools, and other resources:

• The Little Book Of Common Sense Investing – This is a classic title on ETF and index fund investing. It covers everything you need to know, giving you a strong grasp on why this is an excellent strategy. If you only read one book on the subject, make it this one.
• Dividend Stocks For Dummies – A fantastic read on all things dividend. The book walks you through each of the key components you should understand. And it teaches you how to invest in winning stocks or ETFs. There’s a ton of valuable content here so give it a look.
• This fascinating article on Warren Buffett’s $1 million bet. It showcases the huge difference between ETFs (and index funds) vs “active investing.”
• Tony Robbins Money: Master The Game – A lot of hardcore stock pickers really hate on this book. In reality, this is a terrific read. Tony Robbins interviews dozens of top investors (like Carl Icahn and Paul Tudor Jones) for insider advice on how regular people can grow their money wisely. This is a big book that’s packed with solid, actionable advice.

These are all excellent starting places. And if you read even half the material on this list, you’ll become better informed than 99% of investors.

ETFs are great for diversifying your money, letting you real the profits from dozens of companies at once.

Additionally, this wide reach limits your risk, helping shield your money from volatility or market corrections. A perfect combination for smart, long-term investors.

P.S. Looking for a high-quality, commission free brokerage firm? I recommend Robinhood. They’re free to join, charge zero fees, and are fully backed by the SEC. Plus you’ll receive a free bonus stock when you sign up through this link.