136 Dividend ETFs Ranked For 2021 We put every dividend ETF through a rigorous screening to identify the best of the best. Author: Feb 23, 2021 Dividend ETFs, at least in some allocation, belong in just about every portfolio. It may seem a bit counterintuitive in the current environment given that growth stocks and small-caps have been on a tear, while dividend funds, in general, have been laggards for the past few years. Over the long-term, however, dividend stocks have been winners. Studies have shown that over periods of decades, stocks that pay dividends have outperformed those that haven't. On top of that, they're generally less volatile, are backed by healthier balance sheets and provide an important source of income that can help cushion some downside risk.