DIVB vs PEY

DIVBAiShares Core Dividend ETF

PEYCInvesco High Yield Equity Dividend Achievers 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.

PEY Two screens stacked: ten straight years of dividend increases, then the 50 highest yielders, weighted by yield instead of company size. Running since 2004, paying monthly, at 0.68%.

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.

PEY The fund seeks to track, before fees and expenses, the NASDAQ US Dividend Achievers 50 Index. It normally invests at least 90% of assets in dividend-paying common stocks comprising that index.

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.

• PEY Names must have raised dividends ten years running before the yield hunt starts; the index then takes the top 50 by yield, reconstituted each March and rebalanced quarterly.nasdaq.comnasdaq.com 2invesco.com
• Income arrives monthly rather than quarterly, from a concentrated book of about 50 dividend payers.
• Listed in December 2004, one of the longest-running dividend screens in ETF form, so its behavior across multiple market cycles is lived history, not a backtest.

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.

• PEY The 0.68% fee sits above the category median and well above index rivals such as SCHD at 0.06% and VIG at 0.04%.
• Weighting by dividend yield, not company size, puts the heaviest weights on the biggest payers, and a fat yield sometimes reflects a beaten-down price rather than a thriving business.nasdaq.com
• About 50 holdings is a narrow slice of the dividend market, so individual names and sector tilts carry real weight.

Full DIVB profile⁠

Full PEY profile⁠