Income-Oriented ETF

Written By
Paul Tracy
Updated August 5, 2020

What is Income-Oriented ETF?

An income-oriented ETF is an exchange-traded fund that pays frequent dividends or interest payments to investors in the ETF.

How Does Income-Oriented ETF Work?

An income-oriented ETF is made up of stocks that typically pay substantial monthly or quarterly dividends and, in some cases, bonds that make higher-than-average interest payments.

Why Does Income-Oriented ETF Matter?

Income-oriented ETFs are a good choice for investors seeking a stream of income from a diversified set of i stocks and fixed-income securities.