State Street Global Advisors, the asset management unit of custodian bank State Street (NYSE:STT), said Tuesday it’s rolling out a low-cost dividend exchange-traded fund, making it the latest addition to its suite of 23 SPDR Portfolio ETFs.
The SPDR Portfolio S&P Sector Neutral Dividend ETF (SPDG) is designed to track the total return performance of the S&P Sector-Neutral High Yield Dividend Aristocrats Index, which mirrors the sector weights of the S&P Composite 1500 Index and consists of companies that have increased or maintained dividend payments every year for at least seven straight years.
“Providing the potential for attractive income, while seeking to track an index designed to mitigate the effect sector biases can have on the relative returns of dividend strategies versus broader equity markets, SPDG is designed for income-oriented buy-and-hold investors seeking a low-cost, core dividend fund,” said Matthew Bartolini, head of SPDR Americas Research at State Street Global Advisors.
Since launching in 2017, SPDR Portfolio ETFs have over $156B in assets under management. Overall, State Street Global Advisors is one of the world’s largest asset managers with $3.8T in under its care.
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