MORL adds leverage to an already high-yielding sector - mortgage real estate investment trusts. For those investors, the UBS E-TRACS Monthly Pay 2x Mortgage REIT ETN ( MORL) and its 20% yield could be for you. Sometimes a 3, 4 or even 7% dividend yield isn’t even enough. Monthly Dividend ETFs To Buy #4: UBS E-TRACS Monthly Pay 2x Mortgage REIT ETN (MORL) DES has also been less volatile than the popular IWM as well.Įxpenses run 0.38% for the monthly dividend ETF. However, that yield is nearly double traditional small-cap metrics like the iShares Russell 2000 ( IWM). Enter the WisdomTree SmallCap Dividend ETF ( DES), which adds monthly dividend payouts to the mix.Īccording to WisdomTree, “The Index is dividend weighted annually to reflect the proportionate share of the aggregate cash dividends each company is projected to pay in the coming year.” Or, in plain English, DES screens for those firms with not only the highest yields, but those that are also the most secure and strong.Īll in all, DES tracks 685 different dividend paying small-cap stocks, with financials (26%), industrials (18%) and utilities (135), rounding out the top sector weights.ĭES isn’t the highest yielding ETF on the planet, with a current dividend yield of 2.87%.

That margin grows even larger when you include small caps that pay hefty dividends. Over the longer term, small caps have historically out performed large cap stocks by a wide margin. Monthly Dividend ETFs To Buy #3: WisdomTree SmallCap Dividend ETF (DES) Income seekers should probably use the dividend ETF as a satellite position. However, it has been prone to big price swings, due to the volatility of its underlying holdings. Since the monthly dividend ETF’s inception in 2011, SDIV has managed to return 25%. In terms of total performance, SDIV has been solid. SDIV is truly a global option, with the United States only making up around 23% of assets. Top holdings include telecom Frontier Communications ( FTR) and Australian department store operator David Jones. SDIV tracks the 100 highest-yielding equity securities (including REITs and MLPs) from across the world and then equally weights them to create its portfolio. However, in that diverse mixture, investors are treated to one of the highest-yielding monthly dividend ETFs around. The $966 million Global X SuperDividend ETF ( SDIV) is a hodgepodge of various global high-yielding stocks, trusts and other securities. Monthly Dividend ETFs To Buy #2: Global X SuperDividend ETF (SDIV) That monthly payout - along with the fact that its holds relatively stable and large firms - makes it perfect for conservative investors looking for income. The DIA has managed to post a 7.5% annual return during that time - not too shabby for plodding mega-cap giants.Īnother often ignored benefit of the DIA, is that it pays a monthly dividend. That focus on the biggest and brightest has produced some pretty decent returns over the last ten years. All for a cheap expense ratio of 0.17% - or $17 per $10,000 invested. These include household names like Visa ( V) and Caterpillar ( CAT). The $11 billion and heavily traded dividend ETF tracks the 30 mega-cap stocks within the Dow. The popular SPDR Dow Jones Industrial Average ( DIA) ETF makes it easy to add the Dow to your portfolio. Regardless, the index is still a great way to add exposure to some of America’s largest and most venerable companies. You can make the argument that the Dow Jones Industrial Average is a dinosaur of an index and pretty meaningless in terms of true broad stock market measure. Monthly Dividend ETFs To Buy #1: SPDR Dow Jones Industrial Average ETF (DIA) Here are five ETFs that pay their dividends monthly. All in all, monthly dividend payments can be a godsend for those investors near or in retirement.

In addition, waiting six months for your money reduces the true yield on your investment. Which is why investors should try ETFs that pay their dividends monthly.Īside from the ability to pay your car payment on time, monthly dividends can also help on the compounding front and boost returns if those payments are reinvested. Overspending and not budgeting properly are some of the biggest hazards in retirement. And with various sources of income occurring at different times, it can be a challenge to manage all of those payouts. From the cable bill to our mortgages, our lives mostly revolve around a monthly schedule. Individual bonds generally pay out their coupons only once or twice a year, while most stocks, exchange traded funds (ETFs) and mutual funds pay on a quarterly basis.īut bills are generally due every month. One of the biggest issues with retirement is balancing out your cash flows.

Dia etf dividends