Best Of
Best Dividend Growth ETFs in 2026
ETFs focused on companies with a track record of growing their dividends over time.
Data updated August 2026 · 40 ETFs
Who this page is for
Best for
- Long-time-horizon investors building a rising income stream
- Younger investors who prefer growing income over high current yield
- Anyone looking for natural inflation-hedging through rising dividends
Not a fit for
- Investors needing maximum income today — starting yields are typically 2-3%
- Short-term traders chasing headline distribution rates
- Pure growth investors who prefer non-dividend-paying stocks
Analysis
Dividend growth ETFs target companies that consistently increase their payouts year after year. These funds focus on quality over yield—the starting yield may be modest (often 2-3%), but the annual increases compound into a powerful income stream over time. A company that raises its dividend 8% per year doubles your income in nine years without you adding a single dollar. These ETFs typically hold blue-chip names like Johnson & Johnson, Procter & Gamble, and Microsoft—companies with strong balance sheets and durable competitive advantages. They tend to outperform in bear markets and provide a natural inflation hedge as dividends grow faster than consumer prices.
Risks specific to this category
- Dividend-cut lag: dividend indexes rebalance after a cut is announced, so a passive fund typically rides the stock down and locks in the reduced payout before its screen removes the name.
- Sector tilts: dividend screens overweight financials, utilities, and consumer staples relative to the broad market, so these funds share rate-cycle sensitivity that a total-market fund does not.
- Distributions are not contractual: each payout is declared period by period, so the yields on this page can fall without notice when portfolio income, option premium, or fund policy changes.
- Methodology divergence: every fund here follows its own index rules or mandate, so two funds with similar headline yields can hold very different portfolios and diverge sharply in a drawdown — category membership is not interchangeability.
- Screens react after the fact: a fund's place in this list is re-rated only once a dividend cut, strategy change, or asset decline has already shown up in the reported data.
See this list inside your portfolio
A ranked list is a starting point. Dividend Vision turns it into a plan — forecasting the income your holdings actually generate and putting each fund's yield next to its total return and risk.
- Income forecasting — know what your holdings pay monthly, quarterly, and yearly
- Yield vs. total return — weigh each distribution against price performance, not the headline rate
- Screen & compare — line up any income ETFs side by side on yield, cost, and strategy
- Portfolio risk — see income concentration, issuer overlap, and volatility across your holdings
- AI ETF comparison — ask plain-language questions to compare yield, risk, and income potential
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Top picks
Top 3 dividend growth ETFs by assets under management.
Yield distribution
Expense ratio distribution
Income projection
Estimated income if the current average distribution rate of 3.00% held for a full year with share prices unchanged. Distribution rate is not total return—a fund can pay a large distribution while its share price falls—so treat these as an upper-bound illustration, not a forecast.
| Investment | Annual income | Monthly income | Weekly income |
|---|---|---|---|
| $10,000 | $300 | $25 | $6 |
| $25,000 | $751 | $63 | $14 |
| $50,000 | $1,502 | $125 | $29 |
| $100,000 | $3,004 | $250 | $58 |
Issuer breakdown
Distribution of ETFs by fund issuer. Larger issuers often offer lower expense ratios and higher liquidity.
How this list is built
"Best" here means the selection rule below, applied to our own data — not an opinion poll and not a prediction:
- Universe: every security in our database matching this category — 91 qualified as of August 2026.
- Exclusions: liquidated, delisted and renamed funds drop out automatically; a renamed fund's successor appears in its place.
- Ordering: assets under management, largest first.
- Cap: the top 40 are shown; 51 further matching funds are not listed here. Use the screener for the complete set.
- Independence: no placement on this page is paid, sponsored, or influenced by a fund issuer.
All 40 ETFs
| Ticker | Name | Issuer | Yield | Expense ratio | AUM | Frequency |
|---|---|---|---|---|---|---|
| VIG | Vanguard Dividend Appreciation Index Fund ETF Shares | Vanguard | 1.64% | 0.04% | $114.4B | Quarterly |
| SCHD | Schwab U.S. Dividend Equity ETF | Schwab | 2.95% | 0.06% | $109.2B | Quarterly |
| VYM | Vanguard High Dividend Yield Index Fund ETF Shares | Vanguard | 2.37% | 0.04% | $84.3B | Quarterly |
| DGRO | iShares Core Dividend Growth ETF | iShares | 1.67% | 0.08% | $43.8B | Quarterly |
| VNQ | Vanguard Real Estate ETF | Vanguard | 3.49% | 0.13% | $39.2B | Quarterly |
| CGDV | Capital Group Dividend Value ETF | Capital Group | 1.16% | 0.33% | $39.2B | Quarterly |
| EWY | iShares MSCI South Korea ETF | iShares | 1.10% | 0.59% | $28.2B | Annual |
| RDVY | First Trust Rising Dividend Achievers ETF | First Trust | 0.71% | 0.47% | $25.9B | Quarterly |
| DVY | iShares Select Dividend ETF | iShares | 3.04% | 0.38% | $24.1B | Quarterly |
| SDY | SPDR S&P Dividend ETF | State Street | 2.47% | 0.35% | $22.2B | Quarterly |
| VYMI | Vanguard International High Dividend Yield ETF | Vanguard | 4.82% | 0.07% | $21.4B | Quarterly |
| SPHQ | Invesco S&P 500 Quality ETF | Invesco | 0.93% | 0.15% | $20.1B | Quarterly |
| DGRW | WisdomTree U.S. Quality Dividend Growth Fund | WisdomTree | 0.78% | 0.28% | $17.4B | Monthly |
| IWY | iShares Russell Top 200 Growth ETF | iShares | 0.37% | 0.20% | $16.4B | Quarterly |
| HDV | iShares Core High Dividend ETF | iShares | 1.49% | 0.08% | $15.0B | Monthly |
| NOBL | ProShares S&P 500 Dividend Aristocrats ETF | ProShares | 2.10% | 0.35% | $12.0B | Quarterly |
| SDVY | First Trust SMID Cap Rising Dividend Achievers ETF | First Trust | 0.81% | 0.58% | $11.8B | Quarterly |
| IGF | iShares Global Infrastructure ETF | iShares | 2.85% | 0.37% | $10.6B | Semi-Annual |
| FDVV | Fidelity High Dividend ETF | Fidelity Investments | 3.26% | 0.15% | $10.6B | Quarterly |
| EZU | iShares MSCI Eurozone ETF | iShares | 3.42% | 0.50% | $10.0B | Semi-Annual |
| VIGI | Vanguard International Dividend Appreciation Index Fund ETF Shares | Vanguard | 2.16% | 0.07% | $9.3B | Quarterly |
| IDV | iShares International Select Dividend ETF | iShares | 9.88% | 0.50% | $8.6B | Quarterly |
| FVD | First Trust Value Line Dividend Index Fund | First Trust | 2.31% | 0.62% | $8.3B | Quarterly |
| FDL | First Trust Morningstar Dividend Leaders Index Fund | First Trust | 3.62% | 0.43% | $8.0B | Quarterly |
| DIVO | Amplify CWP Enhanced Dividend Income ETF | Amplify ETFs | 4.66% | 0.56% | $7.9B | Monthly |
| SPYD | SPDR Portfolio S&P 500 High Dividend ETF | State Street | 4.36% | 0.07% | $7.8B | Quarterly |
| XMMO | Invesco S&P MidCap Momentum ETF | Invesco | 0.60% | 0.35% | $7.8B | Quarterly |
| DXJ | WisdomTree Japan Hedged Equity Fund | WisdomTree | 1.27% | 0.48% | $7.4B | Semi-Annual |
| DLN | WisdomTree U.S. LargeCap Dividend Fund | WisdomTree | 1.25% | 0.28% | $6.4B | Monthly |
| CGDG | Capital Group Dividend Growers ETF | Capital Group | 3.99% | 0.47% | $5.6B | Quarterly |
| LVHI | Franklin International Low Volatility High Dividend Index ETF | Franklin Templeton | 5.85% | 0.40% | $5.6B | Quarterly |
| TDIV | First Trust NASDAQ Technology Dividend Index Fund | First Trust | 1.46% | 0.50% | $4.4B | Quarterly |
| DON | WisdomTree U.S. MidCap Dividend Fund | WisdomTree | 1.95% | 0.38% | $4.1B | Monthly |
| DEM | WisdomTree Emerging Markets High Dividend Fund | WisdomTree | 5.30% | 0.63% | $4.1B | Quarterly |
| RDVI | FT Vest Rising Dividend Achievers Target Income ETF | First Trust | 8.20% | 0.75% | $3.8B | Monthly |
| MLPX | Global X MLP & Energy Infrastructure ETF | Global X | 4.04% | 0.45% | $3.6B | Quarterly |
| KNG | FT Vest S&P 500 Dividend Aristocrats Target Income ETF | First Trust | 8.38% | 0.74% | $3.5B | Monthly |
| GCOW | Pacer Global Cash Cows Dividend ETF | Pacer | 3.60% | 0.60% | $3.5B | Quarterly |
| SPHD | Invesco S&P 500 High Dividend Low Volatility ETF | Invesco | 4.89% | 0.30% | $3.5B | Monthly |
| DIVI | Franklin International Core Dividend Tilt Index ETF | Franklin Templeton | 0.95% | 0.09% | $2.8B | Quarterly |
Frequently asked questions
What are the best dividend growth ETFs?
This page lists the top 40 ETFs in this category ranked by key metrics. The list includes funds from issuers like Vanguard, Schwab, iShares and more.
How often is this list updated?
The data on this page is refreshed regularly using the latest available distribution rates, expense ratios, and AUM figures. Last updated August 2026.
What is the average yield of these ETFs?
The average distribution yield across the 40 ETFs on this list is 3.00%. Individual yields range from 0.37% to 9.88%.
What's the difference between dividend growth and high-yield ETFs?
High-yield ETFs prioritize current income (high payout today), while dividend growth ETFs prioritize income trajectory (growing payout over time). Dividend growth strategies typically start with lower yields but deliver higher income after 5-10 years of compounding raises.
What are Dividend Aristocrats?
Dividend Aristocrats are S&P 500 companies that have increased their dividend for at least 25 consecutive years. ETFs tracking these companies (like NOBL) offer exposure to the most reliable dividend growers in the market.
Are dividend growth ETFs good for young investors?
Yes. The compounding effect of rising dividends is most powerful over long time horizons. A young investor buying a dividend growth ETF today may see their yield on cost double or triple by retirement, creating a substantial income stream from a modest initial investment.
Looking for the complete list?
This page is our editorial shortlist, selected and ordered by the rule above. For every fund we track in this category, with live filtering, see the full dividend growth etfs list.
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The metrics and risks behind this list, explained in the Academy.
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