TPHD: Volatility Weighted And Biblically Responsible Dividends

Seeking AlphaETF AnalysisTPHD: Volatility Weighted And Biblically Responsible DividendsDec. 7, 2020 11:44 AM ET|| About: Timothy Plan High Dividend Stock ETF (TPHD), Includes: CDL, LVHD, VONVby: Cashflow CapitalistCashflow Capitalist High Yield LandlordBecome a “Passive Landlord” with our 8% Yielding Real Estate Portfolio.SummaryTPHD is a dividend-focused ETF that concentrates on companies that avoid behaviors that Bible-believing Christians find objectionable.
The ETF is also volatility-weighted, a somewhat rare characteristic for a dividend ETF.
The dividend yield at 2.39% is quite low, and it is unknown how well the underlying index picks strong dividend growers.
While the moral screening process will certainly have a strong appeal to a niche audience, it would be nice to see explanations from the ETF sponsor about individual holding exclusions.

A Niche Within A Niche
Amid the ESG tsunami washing over the investment world, there are countless individual facets of "socially responsible investing" ("SRI"), each with their own specialized traits and target audiences. The stock market has been sliced and diced in innumerable ways by these socially responsible ETFs and mutual funds to fill various niches.
The Timothy Plan High Dividend Stock ETF (TPHD) fits squarely into this SRI trend — specifically, in a niche geared toward Christians who want their investments to align with their biblical values. More specifically, it appeals to Christians interested in dividend stocks who want their investments to align with their biblical values. Even more specifically, it appeals to Christians interested in dividend stocks who want low-volatility investments that align with their biblical values.
Obviously, this ETF will not appeal to everyone. TPHD exists within a ("biblically responsible") niche within a ("socially responsible") niche within a ("ESG") niche within yet another (dividend investing) niche. The super-duper niche nature of TPHD is... Read more