CGDV vs DIVY

CGDVACapital Group Dividend Value ETF

DIVYCSound Equity Dividend Income ETF

In short

CGDV A stock picker's dividend fund at near-index pricing: 0.33% a year, roughly 60 names, and a mandate for above-average yield plus growth. Live since 2022 and already grown into a multi-billion-dollar fund.

DIVY Most dividend funds hope for yield. DIVY writes it into the job description: an actively picked portfolio aiming for at least twice the S&P 500's dividend yield, paid out monthly.

Stated mandate

CGDV The fund seeks income above the average yield of U.S. stocks while also offering capital-growth potential.

DIVY The actively managed fund seeks current income by targeting a portfolio dividend yield at least twice that of the S&P 500, with long-term capital appreciation as a secondary objective.

Why people hold it

• CGDV Costs 0.33% a year while the typical fund in its active dividend peer group charges around 0.55%. Active stock picking, index-fund pricing.
• Dual mandate: income above the average yield of U.S. stocks plus capital-growth potential. Not a pure yield chase.capitalgroup.com
• Tens of billions in assets and heavy daily trading make it one of the easier funds in its peer group to get in and out of at a fair spread.
• Delivers its stated mandate with unusual consistency for an active fund, placing it among the strongest implementations in its dividend-income peer group.

• DIVY The yield target is in the mandate, not the marketing: the fund seeks a portfolio dividend yield at least twice that of the S&P 500, with long-term growth as the stated second job.
• Cash arrives monthly, and the 0.45% fee sits under the typical charge for an active dividend-income fund.
• Names are chosen bottom-up on profitability, quality and value, so a fat payout has to clear a fundamentals bar first.

Worth knowing

• CGDV About 60 holdings. That concentration means individual company stumbles land harder than in a fund holding hundreds of names.
• Active and benchmark-agnostic: results track the managers' calls, not an index, so it can drift well away from the broad market in either direction.
• Pays quarterly, not monthly. Worth knowing if you're building an income schedule.

• DIVY A small fund that trades thinly. Spreads can be wider than in household-name dividend ETFs, and bigger orders can push the price around.
• Doubling the market's yield narrows the hunting ground toward higher-payout corners, so the sector mix can look quite different from the broad market.
• The category is crowded with cheaper active options (CGDV at 0.33%, HIDV at 0.35%), and DIVY lands in the lower half of our dividend-income peer group.

Full CGDV profile⁠

Full DIVY profile⁠