Best Dividend Growth ETFs (Including Dividend Aristocrats)
22 funds in our universe match this category. Sort the table by any column - default sort is trailing 12-month yield, highest first.
Dividend-growth ETFs hold companies with a track record of raising their dividend, rather than screening for the highest current yield. The category includes both broad dividend-growth index funds (SCHD, VIG, DGRO, DGRW) and funds that track the literal S&P 500 Dividend Aristocrats index - U.S. companies that have raised their dividend every year for at least 25 consecutive years. NOBL is the ETF most investors mean when they search "dividend aristocrats ETF," since it tracks that exact index; the broader dividend-growth funds in the table below use their own, less restrictive screens but land on a similar theme of quality, durability, and a rising payout.
Trailing yield in this category tends to look modest next to covered-call or option-income funds - often 1.5-4.5%, well below the 8%+ headline numbers common elsewhere on this site. That is by design: dividend-growth funds are optimized for a rising income stream and lower volatility over a full market cycle, not for maximizing this year's cash payout. The pitch is compounding - a smaller yield today that has historically grown faster than inflation, sourced from real operating earnings rather than options premium or return of capital.
This is also the category with the longest live track records in the ETF market - SCHD (2011) and VIG (2006) have both been through at least one full bear market, and NOBL and its Aristocrats index methodology existed before that. If "sleep well at night" income with a rising payout matters more to you than this year's absolute yield, this table is the place to start; if you want maximum current cash flow, see the covered-call and monthly/weekly-dividend hubs instead.
What to look for in a dividend growth ETF
Start with the screen, not the yield. A fund requiring 25 consecutive years of increases (NOBL) is buying a very different set of companies than one screening on dividend quality and balance-sheet strength (SCHD) or one requiring only a decade of growth (VIG, DGRO). The screen determines the sector mix, the starting yield, and how the fund behaves when growth stocks lead the market - all more consequential than the small differences in trailing yield between these funds.
Then look at expense ratio and track record, because in this category they actually matter. Dividend-growth funds are long holding periods by design, and a persistent fee gap compounds against you over decades in a way it never does in a fund you hold for two years. These are also the oldest income ETFs available - several have been through a full bear market, which is real evidence that a fund with three years of history simply cannot offer.
Dividend growth vs. high yield
The funds on this page will pay you less today than almost anything in the covered-call or weekly-dividend hubs. That is the entire point of the category. A dividend-growth fund is buying a rising income stream sourced from real operating earnings, where a covered-call fund is converting volatility into cash now and capping its upside to do it.
Which fits depends on your time horizon. If you need the income to cover expenses this year, a 2-3% yield will not do the job and the higher-yield hubs are the right place to look. If you are still accumulating and want the payout to grow faster than inflation over a decade or more - with less NAV risk and simpler tax treatment, since qualified dividends are generally taxed more favorably than options-premium income - this is the more durable category. Many portfolios hold both, using dividend growth as the core and options income as a satellite sleeve.
YTF grades are research-only, not financial advice. Yield, expense ratio, and AUM are point-in-time snapshots - open a fund's profile for current data and full dividend history.
How we built this list
- The fund is categorized as dividend-growth in our data, covering both Dividend Aristocrats trackers and broader dividend-growth screens.
- The fund is currently active and trading on a U.S. exchange.
- Ranked by trailing 12-month yield by default, though in this category expense ratio, track record, and the underlying screen deserve more weight than the yield column.
- Each row links to a profile with full dividend history, so you can see whether the payout has actually grown rather than trusting the label.
Frequently asked questions
What is the best Dividend Aristocrats ETF?
NOBL (ProShares S&P 500 Dividend Aristocrats ETF) is the fund most closely tied to the literal Dividend Aristocrats index - S&P 500 companies with 25+ consecutive years of dividend increases. Other funds in this table (SCHD, VIG, DGRO, DGRW) use their own dividend-growth or dividend-quality screens that overlap with the Aristocrats theme without tracking that exact index.
What is the difference between a dividend growth ETF and a Dividend Aristocrats ETF?
A Dividend Aristocrats ETF (like NOBL) tracks a specific index requiring 25+ consecutive years of dividend increases. A dividend-growth ETF is a broader label for funds that screen for rising-dividend companies using their own methodology, which may have shorter streak requirements or add quality/fundamentals filters - SCHD, VIG, and DGRO are all dividend-growth funds but do not track the Aristocrats index specifically.
Why is the yield on dividend growth ETFs lower than other income ETFs?
Dividend-growth funds prioritize companies with rising payouts and durable earnings over funds that maximize current yield, so their starting yield is usually lower than a covered-call or high-yield fund. The argument for them is that the dividend stream itself tends to grow over time, plus more price stability, rather than a high but potentially variable payout today.
Is SCHD or VIG the better dividend growth ETF?
They optimize for different things. SCHD screens for dividend quality and yield, which has historically produced a higher starting yield and a more value-tilted portfolio. VIG screens for a long record of consecutive increases, which tends toward larger, steadier companies and a lower starting yield with a smoother growth path. Neither dominates - SCHD generally pays more today, VIG generally holds up better in a growth-led market. Compare live yield, expense ratio, and grade in the table above.
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Disclaimer
Numbers on this site are for research and educational use only - not individualized investment advice or a recommendation to buy or sell securities. ETFs involve risk including possible loss of principal. Past yield and performance do not predict future results. Yield to Freedom (YTF) grades are illustrative and subjective; verify all data independently.