NOBL: An ETF For Dividend Aristocrats
The S&P 500 Dividend Aristocrats index consists of companies that have increased dividends for at least 25 consecutive years — and only one U.S. fund tracks it.


A chronicle of companies moving in and out of the S&P 500 Dividend Aristocrats index may not be as riveting as an episode of The White Lotus. But look behind the scenes. Stock market volatility is heightened these days, signaling a possible inflection point in market leadership. It’s a good time, then, for investors to turn their attention to stocks that pay dividends, especially the stocks of high-quality companies with steadily increasing payouts.
That’s the stomping ground of the Dividend Aristocrats index, which includes only companies in the S&P 500 benchmark that have consistently raised dividends for at least 25 consecutive years. Coca-Cola, Procter & Gamble and Walmart are longtime Aristocrats members.
Earlier this year, as part of the benchmark’s annual reconstitution, three new companies were added: insurance company Erie Indemnity, energy provider Eversource Energy, and FactSet Research Systems, which provides financial data and analytic services to investors. There were no deletions.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
ProShares S&P 500 Dividend Aristocrats (NOBL)
Exchange-traded fund ProShares S&P 500 Dividend Aristocrats (NOBL, $104, expense ratio 0.35%) is the only U.S. fund that tracks the Dividend Aristocrats index, which currently includes 69 stocks.
The ETF is an antidote of sorts to the concentration of the Magnificent Seven, those tech-related firms that drove market returns for much of the past two years. None of the Seven are Aristocrats, for starters; two of them, Amazon.com and Tesla, don’t even pay a dividend. And the Aristocrats index is equal-weighted — assets are evenly divided by each stock in the index, regardless of market value, dividend yield, or any other measure — and rebalanced quarterly. “It’s a ward against single-stock concentration,” says a spokesperson for S&P Dow Jones Indices. The ETF also yields 2.5%, which is better than the 1.2% yield of a comparable S&P 500 ETF.
Naturally, the absence of the Magnificent Seven in the Aristocrats index has hurt the relative recent returns of the ProShares S&P 500 Dividend Aristocrats ETF. Over the past five years, the ETF’s 11.5% annualized return has lagged the 16.9% average annual gain in the straight-up S&P 500. But over longer hauls, the Aristocrats index has turned in similar returns to the S&P 500, with less volatility.
Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.
Related content
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Nellie joined Kiplinger in August 2011 after a seven-year stint in Hong Kong. There, she worked for the Wall Street Journal Asia, where as lifestyle editor, she launched and edited Scene Asia, an online guide to food, wine, entertainment and the arts in Asia. Prior to that, she was an editor at Weekend Journal, the Friday lifestyle section of the Wall Street Journal Asia. Kiplinger isn't Nellie's first foray into personal finance: She has also worked at SmartMoney (rising from fact-checker to senior writer), and she was a senior editor at Money.
-
The 401(k) Mistake That Could Cost You Millions in Retirement Savings
Thinking about reducing your 401(K) contributions in the current market? Here are six reasons why you may want to reconsider.
-
What the HECM? Combine It With a QLAC and See What Happens
Combining a reverse mortgage known as a HECM with a QLAC (qualifying longevity annuity contract) can provide longevity protection, tax savings and liquidity for unplanned expenses.
-
What the HECM? Combine It With a QLAC and See What Happens
Combining a reverse mortgage known as a HECM with a QLAC (qualifying longevity annuity contract) can provide longevity protection, tax savings and liquidity for unplanned expenses.
-
721 UPREIT DSTs: Real Estate Investing Expert Explores the Hidden Risks
Potential investors need to understand the crucial distinction between a REIT's option to buy a Delaware statutory trust's property and its obligation.
-
I'm an Insurance Expert: Yes, You Need Life Insurance Even if the Kids Are Grown and the House Is Paid Off
Life insurance isn't about you. It's about providing for loved ones and covering expenses after you're gone. Here are five key reasons to have it.
-
Stock Market Today: Tesla Drags on Stocks Amid Musk-Trump Feud
Sentiment has soured between President Trump and his once-loyal ally, Tesla CEO Elon Musk.
-
My Professional Advice: When It Comes to Money, You Do You
This is how embracing the 'letting others be' and 'learning to surrender' mindsets can improve your relationship with money.
-
Direct Indexing Expert Explains How It Can Be a Smarter Way to Invest
Direct indexing provides a more efficient approach to investing that can boost after-tax returns, but is it right for you?
-
Stock Market Today: Stocks Brush Off Weak Jobs Data
The yields on the 2-year and 10-year Treasury notes fell sharply after a pair of weak economic reports.
-
What Does It Really Take to Retire Rich?
With enough time and consistency, even an average income can lead to a wealthy retirement.