The Best Dividend ETFs for Regular Income
A recent analysis by Handelsblatt highlighted four dividend ETFs that excel not only in terms of high distributions but also in solid returns. These ETFs are ideal for investors seeking regular income.
1. iShares Stoxx Europe 600 Banks (DE000A0F5UH1)
This ETF invests in 100 dividend-rich stocks from 23 industrial countries, with a focus on the financial sector, which constitutes 37% of its weighting. It offers stable and sustainable dividend payments. Since the beginning of 2020, investors have earned approximately 2,400 euros in dividends with a total return of about 28%.
2. Invesco Euro Stoxx High Dividend Low Volatility (IE00BZ4BMM98)
This ETF focuses on particularly dividend-rich companies from the Eurozone with low price volatility. The selection is based on the top dividend stocks of the Euro Stoxx Index, considering country constraints and volatility filters. With ongoing costs of about 0.3% per year, dividend distributions have consistently increased over the past five years. The total return is approximately 70% before taxes since inception.
3. L&G Quality Equity Dividends ESG Exclusions Europe ex-UK UCITS ETF
This ETF focuses on European quality stocks with high and growing dividends while excluding certain business areas based on ESG criteria. It includes cyclical sectors but offers sustainable dividend distributions thanks to companies like OMV or Allianz.
4. Xtrackers Euro Stoxx Quality Dividend ETF
This ETF, along with others such as the BNPP Easy Equity Dividend ETF, is also frequently recommended among top dividend selections.
Conclusion for Investors
These ETFs combine attractive ongoing yields with long-term solid returns. By diversifying across dividend-rich quality companies in Europe and globally, they offer moderate risk and are excellent for investors seeking regular income. Considering dividend levels, payment stability, price volatility, and sustainability makes them valuable investments in an income-oriented strategy.
This assessment is based on the latest Handelsblatt analyses and complementary expert evaluations of the best European and global dividend ETFs for 2025.