{"id":3108,"date":"2026-10-23T16:42:29","date_gmt":"2026-10-23T16:42:29","guid":{"rendered":"https:\/\/retrotradingreport.com\/index.php\/2026\/10\/23\/jepi-yields-8-schd-yields-3-which-is-the-better-dividend-etf\/"},"modified":"2026-10-23T16:42:29","modified_gmt":"2026-10-23T16:42:29","slug":"jepi-yields-8-schd-yields-3-which-is-the-better-dividend-etf","status":"publish","type":"post","link":"https:\/\/retrotradingreport.com\/index.php\/2026\/10\/23\/jepi-yields-8-schd-yields-3-which-is-the-better-dividend-etf\/","title":{"rendered":"JEPI yields 8%, SCHD yields 3%: which is the better dividend ETF?"},"content":{"rendered":"
<\/div>\n

The JPMorgan Equity Premium Income ETF (JEPI) and the Schwab US Dividend Equity (SCHD) funds are popular among income-focused investors. JEPI has accumulated over $45 billion in assets, while SCHD has $116 billion in assets, making it the biggest dividend ETF in the world. So, which is a better fund to invest in?<\/p>\n

SCHD ETF is firing on all cylinders on anti-AI demand<\/h2>\n

To a large extent, SCHD is not really a dividend ETF because of its low yield of about 3%. For example, the Vanguard Value ETF (VTV) yields 2% and is not considered a dividend fund. <\/p>\n

Even so, SCHD has become one of the best-performing funds in the world this year. It has had a total return of 32%, much higher than S&P 500\u2019s 12%. <\/p>\n

The ETF has become popular among investors this year, drawing over $24 billion in inflows since January. Its popularity is mostly because it is made up of traditional companies that have little exposure to the AI industry<\/a>. About 50% of its composition are companies in industries like healthcare, consumer staples, and energy. Technology companies make just a 14% of the fund. As a result, investors have rushed to its safety as fears of the AI bubble will burst escalate. <\/p>\n

Technicals suggest that the SCHD ETF has more upside to go. The daily chart shows that the fund bottomed at $32.37 on October 5 and then resumed the upward trend. It jumped to a record high of $35.35 on Thursday, moving briefly above the crucial resistance level of $35.30.<\/p>\n

The risk, however, is that the fund has formed a double-top pattern whose neckline is at $32.37. This pattern often leads to a bearish reversal. However, there are signs that the ETF will continue rising, especially if it moves above the key resistance level of $35.50. A move above that level will point to more gains, potentially to $40.<\/p>\n

<\/figure>\n

SCHD ETF chart | Source: TradingView<\/em><\/p>\n

JEPI has a higher dividend yield, but lags in performance<\/h2>\n

For many investors, JEPI seems like the better dividend ETF, thanks to its higher payout, which stands at about 8%. It also pays its dividends each month and has an exposure to the biggest companies in the United States, including popular names like Nvidia and Microsoft.<\/p>\n

The fund uses the covered call strategy, where it invests in companies and then writes call options on the S&P 500 Index. It gets its dividends from the call premiums and the dividends paid by the companies. <\/p>\n

The challenge, however, is that, while the SCHD ETF has higher dividend yields, its total return is usually much lower than funds. Its total return this year is just 5.57% against the S&P 500\u2019s return of 12.3%. In the last five years, JEPI has returned 41%, much lower than SCHD\u2019s 62% and S&P 500\u2019s 79%. <\/p>\n

Therefore, there is a likelihood that the SCHD ETF will continue doing better than JEPI in the foreseeable future. Indeed, history shows that covered call assets underperform their core assets. <\/p>\n

The post JEPI yields 8%, SCHD yields 3%: which is the better dividend ETF?<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

The JPMorgan Equity Premium Income ETF (JEPI) and the Schwab US Dividend Equity (SCHD) funds are popular among income-focused investors. JEPI has accumulated over $45 billion in assets, while SCHD has $116 billion in assets, making it the biggest dividend ETF in the world. So, which is a better fund to invest in?SCHD ETF is…<\/p>\n","protected":false},"author":1,"featured_media":3109,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-3108","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investing"],"_links":{"self":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/posts\/3108","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/comments?post=3108"}],"version-history":[{"count":0,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/posts\/3108\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/media\/3109"}],"wp:attachment":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/media?parent=3108"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/categories?post=3108"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/tags?post=3108"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}