Schwab High Yield Bond ETF Price & Performance (SCYB)

Investors are increasingly turning to diversified ETFs, such as the Schwab U.S. Dividend Equity ETF, which balances exposure across sectors like financials, healthcare, and consumer staples. With a low expense ratio and a 30-day SEC yield of 3.7%, it provides consistent dividend payouts, making it a strategic choice for passive income.12

The Schwab U.S. Aggregate Bond ETF (SCHZ) is gaining attention for its focus on high-quality bonds, with over 70% of its portfolio rated AA or higher. Designed for income and capital preservation, it offers exposure to treasuries, corporate bonds, and mortgage-backed securities, all while maintaining tax efficiency.34

Short-term bond funds, like the Schwab 1-5 Year Corporate Bond ETF, are attracting interest as the Federal Reserve signals a potential end to rate hikes. With reduced sensitivity to rate changes and yields over 5%, these funds provide a safer option for investors targeting near-term financial goals.56