TPHD Profile
The Timothy Plan High Dividend Stock ETF aims to provide investors with a robust income stream by focusing on high-dividend-paying stocks. Under normal market conditions, the fund invests at least 80% of its net assets, either directly or indirectly, in the securities that make up the Victory US Large Cap High Dividend Volatility Weighted BRI Index. This index, created by the Sub-Advisor, is designed to identify large-cap stocks with high dividend yields and manage individual security risk through a volatility weighting approach.
The Victory US Large Cap High Dividend Volatility Weighted BRI Index combines fundamental analysis with a risk control mechanism to enhance returns and stability. The index includes large-cap companies with strong dividend payouts, but it adjusts for risk by weighting securities based on their volatility. This approach aims to balance income generation with risk management, focusing on companies that not only provide attractive dividends but also exhibit lower volatility compared to their peers.
In addition to its focus on high dividend yields, the ETF employs a strategic methodology to manage risk and optimize performance. The volatility weighting aspect of the index means that securities with lower volatility receive higher weights, potentially reducing overall portfolio risk while still aiming for high income. The fund's investment strategy is designed to capture income from high-dividend stocks while mitigating the impact of market fluctuations on its overall performance.
The Timothy Plan High Dividend Stock ETF provides investors with exposure to a curated selection of high-yield stocks, supported by a disciplined investment process. By leveraging the volatility-weighted index, the fund seeks to deliver consistent dividend income and potentially enhance long-term returns. The active management of the ETF ensures that it remains aligned with its investment objectives and adapts to changing market conditions, offering a strategic approach to income-focused investing.
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