While the Vanguard FTSE All-World ETF (VWRL) has been a standout choice, in this blog, I'll reveal why I believe the Fidelity Global Quality Income UCITS ETF (FGQI) is the best dividend ETF for my investment journey in 2024. This ETF has undergone a thorough review, here.
Global Diversification - Spreading Risk Across the World Just like VWRL, FGQI offers the allure of global diversification. It taps into an array of international markets, making it an attractive option for spreading risk. By including stocks from various regions, this ETF enables me to participate in the growth potential of different economies.
Cost-Efficiency - Maximizing My Returns Minimizing costs is a fundamental principle in my investment strategy, and FGQI doesn't disappoint. With its competitive expense ratio, this ETF allows me to keep expenses in check, ensuring that my returns remain robust. Cost-efficiency is a key factor contributing to overall investment success.
Passive Investment Strategy - A Steady Approach I value the steadiness of a passive investment strategy, and FGQI embodies this philosophy. Similar to VWRL, it seeks to replicate the performance of its benchmark index without the complications of active management. This aligns seamlessly with my long-term investment goals.
Dividend Yields - An Additional Source of Income The income component in my investment portfolio holds significance, and FGQI excels in this area. Many of the holdings in this ETF provide attractive dividend yields. This feature is appealing, allowing me to generate income alongside the potential for capital appreciation.
FGQI is currently paying a yield of about 3% which for me is a nice sweet spot and has grown its dividend by 43% since 2019, which is impressive and nice.
Investment in Established Companies - Portfolio Stability FGQI includes shares of well-established, high-quality companies. These firms have a track record of success and stability, contributing to the overall robustness of my portfolio. I appreciate the reliability that such investments bring. I have to add that the top holdings are interesting for such an ETF, this includes Microsoft, Apple, Nvidia, Proctor and Gamble and much more.
Alignment with Long-Term Goals - Growing with Quality As a long-term investor, FGQI resonates with my financial objectives. By offering exposure to quality income-producing stocks on a global scale, this ETF positions my investments to benefit from long-term economic growth and market expansion.
Conclusion While VWRL has been a fantastic choice, I've chosen FGQI as the centerpiece of my dividend ETFs for 2024 investment journey. Its global diversification, cost-efficiency, passive management, dividend yields, investment in established companies, and alignment with long-term goals make it the perfect fit for me.
Disclaimer: I am not a financial advisor, this blog is centered around my opinion and should not be viewed as legal, professional, or financial advice. For me, it's crucial to supplement my knowledge with resources like videos, articles, and books to deepen my understanding of investing principles and strategies.
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