RDIV ETF Outperforms S&P 500 with 15.8% Annual Return Over Decade

Key Facts

According to Barron's reports, the First Trust Rising Dividend Achievers ETF (RDIV) delivered an annual return of 15.8% over the past ten years. The fund has been identified as the only dividend-focused ETF to outperform the S&P 500 index during this decade-long period. The fund's success is attributed to its methodology of selecting companies with rising dividends, although the yield itself may not be the primary driver of the total return.

This outperformance comes amid intense competition in the ETF space, where market data shows RDIV's strategy leading peers such as the Schwab US Dividend Equity ETF (SCHD) and Vanguard Dividend Appreciation ETF (VIG) in total decadal returns. Compared to the S&P 500's average annual return of approximately 12.7% over the same period (per S&P Global data), RDIV's focus on quality and liquidity metrics has provided a significant alpha for long-term holders.

As of the market snapshot on May 13, 2026, investors are weighing the sustainability of these gains against the current interest rate environment. Recent economic data showed U.S. Initial Jobless Claims at 200k (as of May 7, 2026), reflecting a resilient labor market that supports cash-rich dividend payers. Traders should watch upcoming Federal Reserve commentary for further signals on how monetary policy might impact value and dividend-oriented equities.