Dividend comparison

DGRO vs SDY: Which Is Better for Income?

Fees, yield, total returns, drawdowns, holdings overlap and dividend history for iShares Core Dividend Growth ETF and State Street SPDR S&P Dividend ETF, side by side. Updated October 21, 2026.

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DGRO vs SDY: key differences
The short answer, from the latest data on this page.
  • Fees. DGRO is cheaper at 0.08% a year versus 0.35% for SDY. On $10,000 that is $27 a year less in fees.
  • Income. SDY pays more income, yielding 2.42% over the last twelve months versus 1.88% for DGRO. That is about $53 more a year on $10,000. Both pay quarterly.
  • Performance. Over the last 5 years, DGRO returned 64.5% versus 40.4% for SDY, with dividends reinvested. $10,000 would have grown to $16,454 in DGRO and $14,037 in SDY.
  • Risk. DGRO has been the bumpier ride. Its worst peak-to-trough decline over the last 5 years was -19.3%, against -15.2% for SDY.
  • Diversification. DGRO holds 391 positions and SDY holds 155.
  • Dividend growth. DGRO grew its yearly payout 7.9% a year over the last 4 years, versus 1.7% for SDY.
  • Size. DGRO is the larger fund with $44.2 billion in assets, against $21.5 billion for SDY.

Bottom line: DGRO fits better if you care most about lower fees, stronger 5-year returns, faster dividend growth and broader diversification. SDY fits better if you care most about more income today and smaller drawdowns.

Side-by-side snapshot
Trailing twelve-month figures where available. Higher yield is highlighted — not a buy recommendation.
MetricDGRO
iShares Core Dividend Growth ETF
SDY
State Street SPDR S&P Dividend ETF
Dividend yield (TTM)1.88%2.42%
Dividend / share (TTM)$1.49$3.78
Payout frequencyQuarterlyQuarterly
Last dividend$0.3850 on Sep 18, 2026$0.9168 on Sep 23, 2026
Ex-dividend dateSep 15, 2026Sep 21, 2026
Dividend growth (CAGR)7.9% over 4 yrs1.7% over 4 yrs
Price$79.26$156.10
Dividend growth streak10 years3 years
Beta0.670.58
Max drawdown (5Y)-19.3%-15.2%
Market cap$43.96B$21.52B
ExchangeAMEXAMEX
Expense ratio0.08%0.35%
Assets under management$44.19B$21.52B
Number of holdings391155
Top 10 concentration—20.7%
Income on a $10,000 investment
Illustrative only — assumes current TTM yield stays constant. Actual distributions change.

DGRO

$15.71/mo

$188 /yr at 1.88% yield

SDY

$20.16/mo

$242 /yr at 2.42% yield

Dividend history
Total dividends paid per share in each calendar year. DGRO pays quarterly; SDY pays quarterly.
YearDGROSDY
2025$1.4506$3.6342
2024$1.3851$3.3824
2023$1.3159$3.2981
2022$1.1679$3.1952
2021$1.0718$3.3913
Strategy: Dividend equity
Rules-based equity funds that screen for companies paying sustainable or rising dividends, aiming at income plus long-term share-price participation. The screen is what defines the fund: yield-ranked indexes deliver more cash now, dividend-growth indexes deliberately exclude the highest payers in favor of durability. Both approaches produce a sector mix that looks nothing like the broad market, typically heavier in financials, healthcare, staples and industrials.

Expect stretches of underperformance versus the broad market whenever leadership comes from the high-growth, low-yield companies these screens exclude.

What DGRO vs SDY actually do

DGRO
An iShares fund holding a wide set of US companies with a record of raising their dividends.

It tracks the Morningstar US Dividend Growth Index, which requires at least five consecutive years of dividend growth, a payout ratio under 75%, a positive earnings forecast, no REITs, and excludes the top 10% of the universe by yield. The five-year requirement is looser than VIG's ten, so the portfolio is broader, running to several hundred names. Holdings are weighted by the total dollar value of dividends paid rather than by market cap, which tilts weight toward the largest actual dividend payers rather than the largest companies.

Suits an investor who wants dividend growth with more names and a slightly higher starting yield than a stricter growth screen delivers. Less suitable for someone who wants concentrated exposure to only the longest-running dividend raisers.

Dividend growth, broad

Performance
Total returns with dividends reinvested, from the adjusted closing price series. $10,000 invested on Oct 20, 2021 would now be worth $16,454 in DGRO and $14,037 in SDY.
PeriodDGROSDY
1 month3.08%4.16%
3 months2.75%0.83%
Year to date14.17%12.17%
1 year15.72%11.40%
3 years70.71%47.14%
5 years64.54%40.37%
  • DGRO
  • SDY
81127172202120222023202420252026165140

Both series indexed to 100 on 2021-10-20 using the adjusted closing price series. Past performance does not guarantee future results.

Sector allocation
Weight of each sector within the fund. Sectors are aligned on the same row so the two funds can be read against each other directly.
  • DGRO
  • SDY
0%6%12%17%23%Financial Services19.7%12.1%Industrials11.2%18.4%Technology19.5%9.1%Consumer Defensive12.2%15.9%Healthcare17.2%8.5%Utilities7.0%12.9%Financials19.2%Information Technology17.8%Health Care17.4%Consumer Staples12.8%Other23.0%23.0%
Top 10 holdings
Largest positions by portfolio weight.

SDY155 holdings total

NameWeight
ACNACCENTURE PLC CL A3.71%
VZVERIZON COMMUNICATIONS INC2.92%
CVXCHEVRON CORP2.16%
OREALTY INCOME CORP1.95%
MDTMEDTRONIC PLC1.84%
PEPPEPSICO INC1.83%
TGTTARGET CORP1.69%
ADPAUTOMATIC DATA PROCESSING1.56%
KVUEKENVUE INC1.53%
NKENIKE INC CL B1.52%

Quick verdict

DGRO fits better if you care most about lower fees, stronger 5-year returns, faster dividend growth and broader diversification. SDY fits better if you care most about more income today and smaller drawdowns. Model the holding inside your real portfolio before deciding.

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Frequently asked questions

Is DGRO or SDY better for dividend income?
It depends on your goals. DGRO currently yields 1.88% Trailing Twelve Months (TTM) while SDY yields 2.42%. Higher yield means more current income per dollar invested, but may come with different risk, growth, or NAV characteristics. Compare total return and payout sustainability — not just the headline yield.
What is the difference between DGRO and SDY?
iShares Core Dividend Growth ETF (DGRO) is an ETF listed on AMEX. State Street SPDR S&P Dividend ETF (SDY) is an ETF listed on AMEX. Side-by-side metrics on this page cover yield, fees, returns, drawdowns, holdings overlap and dividend history when available.
Which is cheaper, DGRO or SDY?
DGRO has the lower expense ratio. DGRO charges 0.08% a year and SDY charges 0.35%, a difference of $27 a year on a $10,000 investment.
Which has performed better, DGRO or SDY?
Over the last 5 years, DGRO has the higher total return with dividends reinvested: DGRO returned 64.5% and SDY returned 40.4%. Past performance does not predict future returns.
Which is riskier, DGRO or SDY?
Measured by the worst peak-to-trough decline over the last five years, DGRO has been riskier: DGRO fell as much as 19.3% and SDY as much as 15.2%. Their betas are 0.67 and 0.58.
How often do DGRO and SDY pay dividends?
Both pay quarterly. The most recent payments were $0.3850 for DGRO and $0.9168 for SDY.
How much income does $10,000 in DGRO vs SDY generate?
At current TTM yields, $10,000 in DGRO would generate roughly $15.71 per month ($188 annually). The same amount in SDY would produce about $20.16 per month ($242 annually). Actual payouts vary with distribution changes and reinvestment.
Can I hold both DGRO and SDY?
Yes. Many income investors hold both to diversify strategy or index exposure. Whether the combination actually diversifies depends on overlapping holdings and factor exposure. Model both inside Dividend Wealth to see combined income, sector mix, and forecast impact.
Where can I compare DGRO vs SDY with my full portfolio?
Create a free Dividend Wealth account to import or enter holdings, forecast dividend income, and see how DGRO and SDY fit alongside the rest of your portfolio. A 14-day free trial of Standard is available with no credit card required; a limited Free plan is also available.

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For informational and educational purposes only. Not investment advice. Past performance and current yields do not guarantee future results. Verify figures independently before making investment decisions.