DGRO vs DJD

DGROAiShares Core Dividend Growth ETF

DJDAInvesco Dow Jones Industrial Average Dividend ETF

In short

DGRO BlackRock's dividend-growth screen casts a wider net than most: five straight years of raises rather than ten, plus a payout-ratio cap that filters out stretched payers. About 400 US dividend raisers, large through small cap, for 0.08% a year.

DJD The Dow, run through a dividend filter. DJD takes the Dow Jones Industrial Average, keeps the payers, and weights them by 12-month dividend yield instead of share price, for 0.07% a year.

Stated mandate

DGRO The fund seeks to follow an index of U.S. equities whose dividends have grown consistently.

DJD The fund provides exposure to dividend-paying equity securities in the Dow Jones Industrial Average and selects them according to 12-month dividend yield.

Why people hold it

• DGRO Costs 0.08% a year, a small fraction of the typical fee among US dividend-screen ETFs.
• The screen has teeth: a qualified dividend, five years of uninterrupted dividend growth, a payout ratio under 75%, and the top decile of yielders cut before the other tests run.ishares.com
• Roughly 400 names across large, mid and small caps, weighted by the dividend dollars each company pays rather than by market cap.ishares.comcib.barclays
• Tracks the Morningstar US Dividend Growth Index about as tightly as this group gets, and it's an actively traded, multi-billion-dollar fund that has run since 2014.

• DJD A rules-based screen of one of the most recognized indexes in investing: dividend-paying Dow members, ranked and weighted by trailing 12-month yield. No manager discretion.invesco.com
• 0.07% a year puts it in the same fee tier as the largest dividend index funds (SPYD at 0.07%, SCHD at 0.06%) and well under the typical dividend-screen ETF.
• Running since 2015 with quarterly payouts, and it holds close to its stated mandate: one of the more faithful implementations among dividend-screen funds.

Worth knowing

• DGRO Chopping the highest-yielding decile is deliberate: this is built around payout growth and dividend durability, not the fattest current yield on the shelf.ishares.com
• Only dividend payers qualify, so some of the market's biggest non-paying growth companies sit outside the portfolio by rule.ishares.com
• Income arrives quarterly, not monthly, and this is plain US stock exposure: no buffer, no hedge, full equity risk.

• DJD The Dow caps the universe at 30 names, so you get a concentrated, all-large-cap sleeve of roughly 30 stocks, not a broad dividend market.
• Yield weighting sends the biggest stakes to the highest-yielding Dow names, which tilts the portfolio toward whatever corner of the index is currently out of favor.
• It trades thinly next to the household names of the dividend category, so order size and execution matter more here.

Full DGRO profile⁠

Full DJD profile⁠