COLLEGE PLANNING | ESTATE PLANNING | INVESTING | PORTFOLIO SPOTLIGHT | REAL ESTATE | RETIREMENT | TAX PLANNING
Capital Group Dividend Value ETF
TICKER CGDV
ASSETS $ 29.1 billion
PERFORMANCE |
YTD |
1 yr. |
3 yr. |
|
-2.27% |
20.98 % |
20.98 % |
TOP 5 HOLDINGS Microsoft Corp.; Nvidia Corp.; Broadcom Inc.; Applied Materials Inc.; RTX Corp.
CONTACT INFO
800-421-9900 • capitalgroup. com
EQUITY SECTOR ALLOCATION( As a % of portfolio) Information Technology 29.5 % Industrials 14.9 % Healthcare 12.5 % Consumer Discretionary 8.7 % Financials 6.6 % Materials 6.3 % Communication Services 5.7 % Consumer Staples 5.7 % Energy 5.2 % Utilities 2.2 % Real Estate 1.1 %
AUM, performance and portfolio stats as of 3 / 31 / 26. Turnover as of 5 / 31 / 25. Standard deviation( three years) versus the Morningstar US Large-Mid Cap Broad Value TR USD index. Sources: Capital Group and Morningstar.
Finding Value In Unusual Places
The Capital Group Dividend Value ETF puts a premium on intrinsic value. By Jeff Schlegel
A
FUND WHOSE TOP 10 HOLDINGS INCLUDE NVIDia, Broadcom and Meta Platforms must be a growth-oriented fund, right? Not necessarily.
As it happens, these names are also among the top positions in the Capital Group Dividend Value ETF, a product that has generated top-notch returns since it launched four years ago by employing a strategy that has a different take on the concept of value investing.“ At Capital we generally think about intrinsic value rather than value in the sense of low price-to-book or low price-to-earnings,” says Chris Buchbinder, lead portfolio manager on this exchange-traded fund.
The names that make it into the fund’ s portfolio of roughly 50 stocks are high-conviction picks that the managers hope to hold for three to five years.“ When you look at four-year hold- ing periods, some things that might look expensive might end up being cheap and things that look cheap might end up being expensive,” Buchbinder says.
Consider Meta Platforms, Facebook’ s parent company. Buchbinder says his fund substantially increased its investment in Meta in the autumn of 2022 at a time when the company bottomed at about $ 90 a share. It was around this period that Apple made changes to its iPhone operating system enabling users to block advertisers from collecting and sharing their data. Investors fretted over the negative impact this could have on Meta’ s advertising business.
“ Meta wasn’ t in any of the value benchmarks at that time, but in our view it was a value stock because we felt it had tremendous intrinsic value,” Buchbinder explains. He adds that Meta
MAY / JUNE 2026 | FINANCIAL ADVISOR MAGAZINE | 47