John Hancock Exchange Traded Fund Trust - U S High Divided ETF (JHDV)

ETF John Hancock Exchange Traded Fund Trust - U.S. High Dividend ETF Summary

Profile:

The John Hancock Exchange Traded Fund Trust - U.S. High Dividend ETF (HDV) is a passively managed exchange-traded fund that tracks the Morningstar US High Dividend 50 Index. This index focuses on the 50 largest U.S. companies with a consistent history of paying high dividends and sustainable business practices. HDV offers investors access to a diversified portfolio of high-dividend-paying stocks across various sectors, including financials, energy, and consumer staples.

Objective:

HDV's primary objective is to provide investors with high current income in the form of dividends. It aims to achieve this by investing in companies with a track record of paying consistent and growing dividends.

Issuer:

• Company: John Hancock Investment Management LLC
• Reputation and Reliability: John Hancock is a well-established and reputable financial services company with over 150 years of experience. It manages over $400 billion in assets across various investment products.
• Management: The ETF is managed by a team of experienced portfolio managers with expertise in dividend-paying equities.

Market Share:

HDV is a major player in the high-dividend ETF space, with an estimated market share of around 10%.

Total Net Assets:

As of November 6, 2023, HDV has approximately $11.4 billion in total net assets.

Moat:

HDV's competitive advantages include:

• Low expense ratio: The ETF has an expense ratio of 0.09%, which is lower than most comparable high-dividend ETFs.
• Diversification: The ETF offers exposure to a diversified portfolio of high-dividend-paying stocks, reducing single-company risk.
• Track record: HDV has a proven track record of providing high current income to investors.

Financial Performance:

HDV has historically outperformed its benchmark index, the S&P 500, in terms of total return. Over the past 5 years, HDV has generated an annualized total return of 11.7%, compared to 10.2% for the S&P 500.

Growth Trajectory:

The demand for high-dividend-paying investments is expected to grow as investors seek income-generating options in a low-interest rate environment. This bodes well for HDV's future growth prospects.

Liquidity:

• Average Trading Volume: HDV has an average daily trading volume of over 1.5 million shares, indicating high liquidity.
• Bid-Ask Spread: The bid-ask spread is typically narrow, suggesting low trading costs.

Market Dynamics:

Factors influencing HDV's market environment include:

• Interest rate environment: Rising interest rates can make dividend-paying stocks less attractive.
• Economic growth: A strong economy typically supports dividend-paying companies.
• Sector performance: The performance of sectors with high dividend-paying companies, such as financials and utilities, can impact HDV's performance.

Competitors:

• Vanguard High Dividend Yield ETF (VYM) - Market share: 15%
• iShares Core High Dividend ETF (HDV) - Market share: 10%
• SPDR S&P Dividend ETF (SDY) - Market share: 8%

Expense Ratio:

HDV has an expense ratio of 0.09%.

Investment Approach and Strategy:

• Strategy: HDV tracks the Morningstar US High Dividend 50 Index.
• Composition: The ETF invests in large-cap U.S. stocks with a history of paying high dividends.

Key Points:

• High dividend yield
• Diversified portfolio
• Low expense ratio
• Track record of outperformance
• Strong liquidity

Risks:

• Volatility: HDV is subject to market fluctuations, just like any other stock.
• Market risk: The ETF's performance is tied to the performance of the underlying stocks.
• Interest rate risk: Rising interest rates can make dividend-paying stocks less attractive.

Who Should Consider Investing:

• Income-oriented investors looking for current income
• Investors seeking portfolio diversification
• Investors with a long-term investment horizon

Fundamental Rating Based on AI:

8.5/10

HDV scores well in terms of its financial health, market position, and future prospects. Its low expense ratio, diversified portfolio, and track record of outperformance make it an attractive option for income-seeking investors. However, investors should be aware of the risks associated with dividend-paying stocks, such as volatility and interest rate risk.

Resources and Disclaimers:

Information for this analysis was gathered from the following sources:

• John Hancock website
• Morningstar
• ETFdb.com

This information is for educational purposes only and should not be considered investment advice. All investment decisions should be made with the help of a professional and after conducting thorough due diligence.