The iShares Core High Dividend ETF (HDV) was launched on 03/29/2011, and is a passively managed exchange traded fund designed to offer broad exposure to the Large Cap Value segment of the US equity market.

The fund is sponsored by Blackrock. It has amassed assets over $11.01 billion, making it one of the larger ETFs attempting to match the Large Cap Value segment of the US equity market.

Large cap companies usually have a market capitalization above $10 billion. Overall, they are usually a stable option, with less risk and more sure-fire cash flows than mid and small cap companies.

Value stocks have lower than average price-to-earnings and price-to-book ratios. They also have lower than average sales and earnings growth rates. Considering long-term performance, value stocks have outperformed growth stocks in almost all markets; however, they are more likely to underperform growth stocks in strong bull markets.

Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF’s expense ratio.

Annual operating expenses for this ETF are 0.08%, making it one of the least expensive products in the space.

It has a 12-month trailing dividend yield of 3.46%.

ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund’s holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.

This ETF has heaviest allocation to the Consumer Staples sector–about 21.90% of the portfolio. Energy and Healthcare round out the top three.

Looking at individual holdings, Exxon Mobil Corp (XOM) accounts for about 7.92% of total assets, followed by Johnson & Johnson (JNJ) and Chevron Corp (CVX).

The top 10 holdings account for about 48.13% of total assets under management.

HDV seeks to match the performance of the Morningstar Dividend Yield Focus Index before fees and expenses. The Morningstar Dividend Yield Focus Index offers exposure to high quality U.S. domiciled companies that have had strong financial health and an ability to sustain above average dividend payouts.

The ETF return is roughly 5.90% so far this year and was up about 11.53% in the last one year (as of 07/01/2025). In the past 52-week period, it has traded between $107.62 and $121.28.

The ETF has a beta of 0.64 and standard deviation of 13.16% for the trailing three-year period, making it a medium risk choice in the space. With about 82 holdings, it effectively diversifies company-specific risk.