iShares Core High Dividend ETF (HDV): Complete Beginner's Guide
Last updated: March 2026 • BlackRock • High Dividend
Expense Ratio
0.08%
AUM
$11.0B
Dividend Yield
3.50%
Inception
2011
Beginner Score
9/10
What is iShares Core High Dividend ETF?
HDV tracks the Morningstar Dividend Yield Focus Index, which selects high-dividend U.S. stocks that also pass financial health screening based on Morningstar's proprietary analysis. This dual focus on yield and quality helps avoid dividend traps by filtering out companies with unsustainable payouts. The fund offers a quality-income approach at a very reasonable expense ratio.
HDV is managed by BlackRock and has been available since 2011. With $11.0B in assets under management, it's a well-established fund with strong institutional backing. The fund charges an expense ratio of 0.08%, which means for every $10,000 you invest, you pay approximately $8 per year in management fees.
HDV at a Glance — Key Metrics
| Expense Ratio | 0.08% |
| Total Holdings | 75 |
| P/E Ratio | 16.0 |
| Beta | 0.72 |
| Dividend Yield | 3.50% |
| AUM | $11.0B |
| Inception Year | 2011 |
| Issuer | BlackRock |
Top 10 Holdings in HDV
HDV holds 75 different securities. Here are the largest positions that make up the core of this fund:
| # | Company | Ticker | Weight |
|---|---|---|---|
| 1 | ExxonMobil | XOM | 9.00% |
| 2 | Johnson & Johnson | JNJ | 6.50% |
| 3 | AbbVie | ABBV | 6.00% |
| 4 | Verizon Communications | VZ | 5.50% |
| 5 | Chevron | CVX | 5.00% |
| 6 | Coca-Cola | KO | 4.50% |
| 7 | Pfizer | PFE | 4.20% |
| 8 | Philip Morris International | PM | 4.00% |
| 9 | Cisco Systems | CSCO | 3.80% |
| 10 | PepsiCo | PEP | 3.50% |
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HDV Performance History
Here's how HDV has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:
YTD
1.80%
1 Year
8.00%
3 Year
6.50%
5 Year
7.50%
10 Year
8.00%
Beginner Suitability Score: 9/10
Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.
HDV scores 9/10 because it has very low fees, shows lower-than-average volatility, focuses on 75 selected holdings, and has been available since 2011, giving it a proven track record.
How to Buy HDV — Step by Step
- Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
- Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
- Search for "HDV" — Use the search bar in your brokerage platform to find iShares Core High Dividend ETF.
- Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
- Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.
Dollar Cost Averaging Into HDV
Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):
| Monthly | 10 Years | 20 Years | 30 Years |
|---|---|---|---|
| $100/mo | $18,417 | $59,295 | $150,030 |
| $250/mo | $46,041 | $148,237 | $375,074 |
| $500/mo | $92,083 | $296,474 | $750,148 |
*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.
Fee impact: With HDV's expense ratio of 0.08%, a $10,000 investment would lose approximately $686 to fees over 20 years compared to a zero-fee investment. This is a reasonable fee level for the value provided.
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Pros and Cons of HDV
Pros
- ✓Morningstar financial health screens help avoid companies that may cut dividends
- ✓Low expense ratio of 0.08% is excellent for a quality-dividend strategy
- ✓Lower beta and defensive sector tilt provide stability during market stress
- ✓Concentrated portfolio of 75 holdings ensures meaningful positions in each stock
Cons
- ✗Heavy energy and healthcare concentration makes performance dependent on those sectors
- ✗Smaller number of holdings means less diversification than broader dividend funds
- ✗Lagging capital appreciation compared to growth-oriented or broad market funds
HDV vs Similar ETFs
See how HDV stacks up against similar funds:
Frequently Asked Questions
Is HDV a good ETF for beginners?▾
HDV has a Beginner Suitability Score of 9/10 on our scale. This makes it a strong choice for new investors due to its low fees and focused strategy.
What is the expense ratio of HDV?▾
HDV has an expense ratio of 0.08%. This means for every $10,000 you invest, you pay approximately $8 per year in fees. This is considered very low and cost-efficient.
How much money do I need to invest in HDV?▾
You can invest in HDV with as little as $1 through brokers that offer fractional shares (like Fidelity, Schwab, or Robinhood). There is no minimum investment required beyond the share price itself, which changes daily. Dollar cost averaging — investing a fixed amount regularly — is a popular strategy.
Does HDV pay dividends?▾
Yes, HDV pays dividends with a current yield of approximately 3.50%. Dividends are typically paid quarterly and can be reinvested automatically through most brokers.
What are the top holdings in HDV?▾
The top holdings in HDV include ExxonMobil (9.00%), Johnson & Johnson (6.50%), AbbVie (6.00%), and more. The fund holds 75 total positions, providing focused exposure to selected companies.