DIVB vs DJD

DIVBAiShares Core Dividend ETF

DJDAInvesco Dow Jones Industrial Average Dividend ETF

In short

DIVB Most dividend funds only count the check that hits your account. DIVB's index also counts buybacks, treating a shrinking share count as cash returned to owners, and it charges five basis points to do it.

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

DIVB The fund seeks to track an index of U.S. companies selected for a history of dividend payments and/or share buybacks, providing equity exposure oriented toward income and long-term growth.

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

• DIVB Five basis points a year, one of the lowest fees in the dividend-screen aisle, where the typical fund charges many times more.
• The Morningstar US Dividend and Buyback Index counts repurchases alongside payouts, so a company buying back stock qualifies even with a modest yield. Roughly 400 US names.
• Sits in the top tier of a large dividend-screen peer group and stays tight to its stated mandate: US dividend payers and buyback machines, nothing exotic.
• A billion-dollar-plus member of the iShares Core lineup, running since 2017 and distributing quarterly.

• 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

• DIVB Buybacks return value through share count, not cash in your pocket, so the income profile can sit lighter than pure high-yield screens like SPYD.
• Moderately traded rather than a volume heavyweight like SCHD or VIG, so limit orders earn their keep, especially in size.
• All-equity, all-US. Dividends and buybacks soften nothing when the American stock market sells off.

• 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 DIVB profile⁠

Full DJD profile⁠