DIVB vs FDVV

DIVBAiShares Core Dividend ETF

FDVVAFidelity High 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.

FDVV Fidelity built its own high-dividend index instead of licensing someone else's, then priced it at 0.15%. About 120 yield-screened stocks, cash out quarterly, in a multi-billion-dollar package.

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.

FDVV The fund seeks to track, before fees and expenses, the Fidelity High Dividend Index. It normally invests at least 80% of assets in securities included in that index or depositary receipts representing those securities.

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.

• FDVV 0.15% a year against a 0.39% median for dividend-screen funds. Less of the dividend leaks out on the way to you.
• Rules, not hunches: it tracks the Fidelity High Dividend Index and normally keeps at least 80% of assets in that index's names.fidelity.com
• A multi-billion-dollar fund that trades actively, so the spread is rarely the story when you buy or sell.
• Pays quarterly and sits among the stronger builds in a crowded field of US dividend screens.

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.

• FDVV Cheaper doors into dividends exist: VIG at 0.04% and SCHD at 0.06%. The extra basis points here buy Fidelity's own screen, not a broader menu.
• A yield screen trims the market to roughly 120 stocks, so sector and single-name weights run heavier than in a total-market fund.
• The quarterly check follows what the holdings actually pay. This fund tracks an index; it does not target an income level.

Full DIVB profile⁠

Full FDVV profile⁠