The technology sector, the largest sector weight in the S&P 500, is an increasingly important part of the dividend conversation. That is especially true at a time of piddly yields on U.S. Treasurys and slowing dividend growth.
In addition to being one of the biggest contributors to the buyback boom of recent years, technology stocks have also been major drivers of the S&P 500's dividend growth since the financial crisis. In fact, technology is now one of the benchmark U.S. equity index's biggest dividend-paying groups in dollar terms.
Let's Talk Tech
As was noted in this space Tuesday, the Technology SPDR (ETF)(NYSE: XLK), the largest technology ETF by assets, possesses a trailing 12-month dividend yield well above the yield on 10-year Treasurys. Additionally, XLK and comparable technology ETFs are home to companies that have some of the largest cash stockpiles in Corporate America, ensuring dividend growth trends for the sector should remain positive going forward.
“According to Howard Silverblatt, senior index analyst for ...
/www.benzinga.com/analyst-ratings/analyst-color/16/07/8211276/tapping-tech-dividends-with-etfs alt=Tapping Tech Dividends With ETFs>Full story available on Benzinga.com
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