Recently, the "dividend" index has been very popular, I have briefly sorted out the data of some mainstream dividend indices (see the table below), and the higher annualized returns of the index since the base period are dividend quality, consumption dividend, dividend low volatility 100, dividend low volatility, dividend potential, SZSE dividend, etc.
Data**: Dongcai Choice data, as of December 8, 2023.
In terms of market capitalization, the average market value of 300 dividends is the highest, reaching 32028.4 billion yuan, the lowest average market value is the consumption dividend, which is 9127.5 billion yuan. In terms of style, the 300 bonus is relatively more biased.
The six indexes marked in red, from the perspective of the valuation position of the price-earnings ratio, the price-earnings ratio, and the price-to-book ratio, the dividend low wave 100 and the dividend low wave are currently in the bottom area.
Data**: Dongcai Choice data, as of December 12, 2023.
Although the dividend quality is good, the current price-to-book ratio is 457 times, valuation percentile 7044%, so is the consumption dividend, and the current price-to-book ratio is 530 times, valuation percentile 5393%, still not cheap - of course, this indicator only represents whether the underlying asset is currently expensive or cheap, but it does not predict the future trend.
The difference between the price-to-book ratios is still relatively large, so the industry difference between these indices should still be relatively large. The price-to-book ratio of Dividend Low Volatility 100 and Dividend Low Volatility is currently only 062 times and 060 times (less than 1 represents the net assets that have fallen), the first heavy industry isBanks
Personally, I think that if you prefer big blue chips, you can choose the dividend low volatility index (average market capitalization 2433.).0.7 billion yuan), if you prefer a relatively small market capitalization, you can choose the dividend low volatility 100 index (average market capitalization 1236.).2.9 billion yuan). This year, the Dividend Low Volatility 100 Index, which has a smaller market capitalization, has **1086%, which is 782% is a little better.
It should be reminded that although the index style with a lower market capitalization has risen better this year, some institutions have recently felt that the small-cap** is nearing the end.
Looking at the amount of institutional holdings, the two largest ETFs in the market that track these two indexes**, the dividend low volatility ETF (512890) are held by institutions for 101.6 billion yuan, dividend low volatility 100 ETF is held by institutions 70.1 billion yuan. It seems that institutions prefer low dividend volatility. (As of June 30, 2023).
It is worth mentioning that in the past ten years, only 2018 was a loss, and the rest of the years were positive. Dividend Low Volatility ETF (512890).Since its inception, the annual line has been all red, and the 2019 range returns, 2020 range returns, 2021 range returns, 2022 range returns, range-bound returns in 2023 so far
Data**: Dongcai Choice data, as of December 12, 2023.
Although the index is a passive index, the excess return relative to the index is a bit surprising to me, and the range returns since its inception have been established, the dividend low volatility index range return is only 3151%, with an excess return of up to 509%, ranking first among all tracking dividend low volatility indices**.
Data**: Dongcai Choice data, as of December 12, 2023.
This should be a large excess contribution to dividend reinvestment and new income. In any case, Huatai Pineapple ** is indeed quite powerful in the operation of ETF indexes.
The index is ** year by year, and the valuation is still cheap, which is the charm of enterprise development!This kind of ** is healthy, not achieved by inflating valuations**. If earnings and valuations rise at the same time in the future, we can also get a double gain, the so-called Davis double-double.
The chart below shows the top 10 constituents of the index. In terms of dividend yield, the dividend yield (TTM) of the Dividend Low Volatility Index is 4055%, which is slightly higher than the Dividend Low Volatility 100 Index, and the dividend yield will also provide some safety cushion for our earnings. Data**: Dongcai Choice data, as of December 12, 2023.
Data**: Dongcai Choice data, as of December 12, 2023.
From the perspective of the proportion of institutional investors, the proportion of institutional investors in the dividend low volatility ETF (512890) has always remained above 70%, and the latest issue is 8097%, which is still relatively recognized by institutional investors.
Data**: Dongcai Choice data, as of June 30, 2023.
In the third quarterly report of the dividend low volatility ETF (512890), ** manager Liu Jun said:
With the introduction of a number of policies in key areas of macroeconomic regulation and control, such as real estate, localized bonds, capital markets, and consumption, market risk appetite has begun to improve.
Looking aheadInvestors will play between policy expectations and actual cashing, market volatility may intensify, and the dividend strategy shows a strong defensiveness and becomes a "safe haven" for the market. Policies to stabilize growth have been continuously introduced, mainly focusing on real estate, capital markets, private economy, platform economy and other fields, and the recovery of industries with strong economic expectations is gradually improving. The dividend strategy is highly exposed in pro-cyclical industries, and has once again become an important starting point for both offensive and defensive targets.
To a certain extent, dividend investment has the characteristics of going through the cycleHowever, the correlation between absolute returns and the overall beta of the market is still high, and there is a certain lack of offensive relative returns when the growth style is strong. Therefore, overlaying indicators on top of the basic bonus strategy for repair or enhancement is a direction worth considering. And because of this,We can think of Bonus Low Volatility as a Dividend Enhancement Strategy with a low volatility factor superimposedFrom the perspective of earning relative returns, the dividend low volatility strategy appropriately improves the risk characteristics of high beta and high volatility of the basic dividend strategy.
On the whole, the dividend low-volatility strategy can screen out high-quality companies with stable income, strong defensiveness and high yield potential, which are prominent in the market and have a more cost-effective allocation than the mainstream broad base, and have a better long-term holding experience
Standing at the current point in time, I am also relatively optimistic about the dividend low volatility index, if you are also optimistic, you can pay attention to itDividend Low Volatility ETF (512890)., this **also has an over-the-counter connection**, and small partners who invest in the OTC can pay attentionHuatai Pineapple CSI Dividend Low Volatility ETF Connect (Class A 007466, Class C 007467).
Generally speaking, we configure ** to adopt the "core" + "satellite" strategy, or the "dumbbell" strategy.
How to adopt the "core" + "satellite" strategy, then the dividend low volatility ETF (512890) is suitable as the "core" part and plays the role of the bottom position;
If the "dumbbell" strategy is adopted, the dividend low-volatility ETF (512890) is suitable as a side allocation, and the other side can consider allocating high-volatility offensive varieties, such as computers, artificial intelligence, new energy vehicles and other emerging technology industries that have been supported by national policies for a long time.
My article is basically ** combing notes, the amount of information is still relatively large, thank you for your patience to read, all content is personal research, does not constitute investment advice, please pay more attention to objective data.
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