The First Trust Value Line Dividend ETF (FVD) offers investors a passive way to gain exposure to the Large Cap Value segment of the US equity market. This article examines the ETF’s characteristics, performance, risks, and compares it to similar options.
The O’Shares U.S. Quality Dividend ETF (OUSA) is a high-quality ETF that tracks the ALPS O’Shares U.S. Quality Dividend Index. The index selects the top 100 dividend-paying companies based on factors such as profitability, leverage, dividend growth, and volatility. OUSA has a low dividend yield of 1.77% and a high expense ratio of 0.48%. While the ETF has performed well in recent years, it has underperformed its peers, such as the Vanguard Dividend Appreciation ETF (VIG) and the iShares Core Dividend Growth ETF (DGRO). Due to its high expense ratio and competitive alternatives, I rate OUSA a “hold.”
