Don't chase the 4000 points recklessly! These four ETFs with low valuation and high dividends are super hassle-free.

The market is fluctuating around 4000 points. Today it’s about hot concepts, tomorrow it will rotate sectors. New investors chasing after trends can easily find themselves trapped right after entering the market. Instead of being led by the market, it’s better to focus on a stable investment strategy—low valuation + high dividends. You don’t need to pick stocks or stay up late watching the market; you can allocate with ETFs at the click of a button.

For ordinary people, it’s sufficient to directly pay attention to the “Dividend +” strategy index under the current market conditions. This type of index includes the CSI Dividend Index, CSI Dividend Low Volatility Index, National Securities Free Cash Flow Index, and National Securities Value 100 Index, each with different styles. How to choose? Regardless of whether you seek stability, are conservative, want returns, or need balance, you can easily find the right fit.

If you seek stability, choose the dividend ETF from E Fund (515180, Connect A/C/Y: 009051/009052/022925). It tracks the CSI Dividend Index, focusing on companies with long-term stable dividends, such as those in the banking, coal, and transportation industries, with a dividend yield of 4.6%, which is more than twice the market average, suitable for those with low risk tolerance who just want steady dividends.

If you are more conservative, choose the low volatility dividend ETF from E Fund (563020, Connect A/C: 020602/020603). It tracks the CSI Dividend Low Volatility Index, which further filters for companies with smaller price fluctuations while maintaining high dividends, primarily focusing on the banking sector. It has lower volatility and strong defensive characteristics.

If you want higher returns, choose the free cash flow ETF from E Fund (159222, Connect A/C: 024566/024567). It tracks the National Securities Free Cash Flow Index, which specifically selects companies with ample cash reserves, focusing on the oil, petrochemical, and automotive sectors, with a historical annualized return exceeding 19%. Compared to pure dividend funds, it offers some growth flexibility, making it suitable for those who can accept slight fluctuations and seek higher returns.

For balance, choose the value ETF from E Fund (159263, Connect A/C: 025497/025498). It tracks the National Securities Value 100 Index, which considers low valuations, high dividends, and sufficient cash flow, essentially a “three-in-one” index covering industries like home appliances and banking, with a dividend yield of 4.9% and a price-to-earnings ratio of only 11.4 times. It is stable and versatile, making it a good choice if you’re unsure what to pick.

Massive information and precise interpretation can be found in the Sina Finance APP.

Editor: Jiang Yuhan

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