(RDVI) FT Cboe Vest Rising - Overview

The FT Cboe Vest Rising Dividend Achievers Target Income ETF (BATS: RDVI) commits at least 80% of its net assets – plus any investment-purpose borrowings – to dividend-paying equities or instruments that provide exposure to such securities, aiming to generate income through both stock dividends and option premiums.

Its stated objective is to deliver distributions at an annual rate roughly 8 % above the current S&P 500 dividend yield. Assuming the S&P 500 yield is about 1.5 % (as of Q3 2024), RDVI targets a total distribution yield near 9.5 %.

Because the fund is classified as “non-diversified,” it may hold a concentrated portfolio, which amplifies idiosyncratic risk and can increase volatility, especially when leverage is employed to boost income.

From publicly available data (as of September 2024), RDVI’s expense ratio is 0.65 %, its trailing 12-month distribution yield sits around 5.6 %, and its top holdings are heavily weighted toward consumer staples, utilities, and real-estate sectors-areas historically known for higher dividend payouts.

Key macro drivers for RDVI’s performance include U.S. interest-rate policy (which influences corporate dividend-paying capacity), corporate earnings growth, and sector-specific trends such as energy price volatility affecting utility dividends.

For a deeper, data-driven assessment of how RDVI fits into an income-focused portfolio, you might explore the analytical tools on ValueRay to compare its risk-adjusted return profile against peers.