SCHD dividend yield: 3.77%. PEP dividend yield: 3.69%. SCHD tracks the Dow Jones U.S. Dividend 100 Index, focusing on quality companies with consistent dividend histories. With $60B+ AUM, it's the most popular dividend ETF in the US — combining income with quality. Only companies with 10+ consecutive years of dividends qualify. The ETF rebalances annually and has delivered market-beating total returns since inception in 2011. PepsiCo is a Dividend King with 52+ consecutive years of increases. Its diversified portfolio spans beverages and snacks via brands including Pepsi, Gatorade, Lay's, and Quaker. Snack food exposure provides more stable volumes than pure beverages. International expansion in emerging markets drives long-term growth.
SCHD tracks the Dow Jones U.S. Dividend 100 Index, focusing on quality companies with consistent dividend histories. With $60B+ AUM, it's the most popular dividend ETF in the US — combining income with quality. Only companies with 10+ consecutive years of dividends qualify. The ETF rebalances annually and has delivered market-beating total returns since inception in 2011.
PepsiCo is a Dividend King with 52+ consecutive years of increases. Its diversified portfolio spans beverages and snacks via brands including Pepsi, Gatorade, Lay's, and Quaker. Snack food exposure provides more stable volumes than pure beverages. International expansion in emerging markets drives long-term growth.
Is SCHD or PEP better for dividend income in 2026?
SCHD currently offers a 3.77% yield (1.05/share/year) while PEP offers 3.69% (5.42/share/year). SCHD provides higher current income. However, SCHD has grown its dividend faster (13.05% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in SCHD vs PEP earn per year?
With $10,000 invested today: SCHD pays approximately $377/year. PEP pays approximately $369/year. With DRIP reinvestment over 10 years, these grow to $1,926/year (SCHD) and $1,035/year (PEP).
Does SCHD or PEP pay monthly dividends?
SCHD pays quarterly dividends. PEP pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.
📬
Get this SCHD vs PEP comparison by email
Save your analysis + get weekly dividend insights. Free forever.