---
title: "Why retirees are choosing this $100.8 billion ETF over individual dividend stocks"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/293641924.md"
description: "The Schwab U.S. Dividend Equity ETF (SCHD), with $100.8 billion in assets, is favored by retirees for its low fees and reliable income. While its top holdings like Coca-Cola and Chevron show strong dividend coverage, Merck faces a potential patent cliff post-2028. Despite a lower current yield than Treasuries, SCHD offers total return through dividend growth and equity appreciation, appealing to investors prioritizing long-term stability over immediate high yields."
datetime: "2026-07-23T15:43:47.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/293641924.md)
  - [en](https://longbridge.com/en/news/293641924.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/293641924.md)
generator: "portal-rs"
---

# Why retirees are choosing this $100.8 billion ETF over individual dividend stocks

Quick ReadSCHD's 3.2% yield comes from 100 screened large-caps with 10+ year dividend histories, supported by a conservative 55% fund-level payout ratio.Coca-Cola extends a 63-year dividend streak, while Merck's payout faces pressure after 2028 when KEYTRUDA's patent cliff threatens roughly half its pharma revenue.Are you ahead, or behind on retire...

### Related Stocks

- [KO.US](https://longbridge.com/en/quote/KO.US.md)
- [MRK.US](https://longbridge.com/en/quote/MRK.US.md)
- [CVX.US](https://longbridge.com/en/quote/CVX.US.md)
- [KOF.US](https://longbridge.com/en/quote/KOF.US.md)
- [CCEP.US](https://longbridge.com/en/quote/CCEP.US.md)
- [SCHD.US](https://longbridge.com/en/quote/SCHD.US.md)

## Related News & Research

- [Meet the Dividend King That's Quietly Crushing the S&P 500 in 2026. Here's Why It's a Buy This August.](https://longbridge.com/en/news/296262501.md)
- [Munich Reinsurance Co Stock Corp in Munich Grows Stake in Merck & Co., Inc. $MRK](https://longbridge.com/en/news/296202779.md)
- [This ETF Is the Most Important in the Market. You Probably Haven’t Heard of It.](https://longbridge.com/en/news/296026151.md)
- [Dividend stocks continue to climb as SCHD eyes ninth straight weekly gain](https://longbridge.com/en/news/296377281.md)
- [Dividend ETF Showdown: SCHD vs. VYMI vs. JEPI for Income Investors](https://longbridge.com/en/news/296602257.md)

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**