Schwab U.S. Dividend Equity ETF (SCHD) and NEOS Nasdaq-100 High Income ETF (QQQI) both appeal to income investors, but they generate dividends in very different ways. SCHD relies on dividends paid by its holdings, while QQQI earns income mainly through an options strategy. In simple terms, QQQI pays more income, while SCHD offers more consistency. A look at SCHD dividend history and QQQI dividend history shows how wide that gap has become.
Claim 70% Off TipRanks This Holiday Season
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
SCHD: Steady Quarterly Dividends
SCHD pays dividends on a quarterly basis, using the cash income generated by its underlying holdings. As shown in the SCHD dividend history image above, payouts in 2024 and 2025 have generally ranged between $0.25 and $0.28 per quarter.
Currently, SCHD’s five holdings with the highest upside potential include FMC Corporation (FMC), Insperity (NSP), Amerisafe (AMSF), Ovintiv (OVV), and Signet Jewelers (SIG). At the same time, its five holdings with the greatest downside potential are Carter’s (CRI), Murphy Oil (MUR), Comerica (CMA), Western Union (WU), and CNA Financial (CNA).
SCHD’s dividends tend to remain consistent from one quarter to the next, which is why many investors use it as a long-term income ETF rather than a high-yield product.
QQQI: Higher Monthly Payouts
QQQI follows a very different model. The ETF pays monthly dividends, driven mainly by an options-based income strategy tied to the Nasdaq-100. As shown in the QQQI dividend history table, recent monthly payouts in 2025 have mostly ranged between $0.59 and $0.64 per share.
Currently, QQQI’s five holdings with the highest upside potential include Strategy (MSTR), ARM Holdings (ARM), Datadog (DDOG), Atlassian (TEAM), and Thomson Reuters (TRI). Meanwhile, the five holdings with the largest downside risk based on current analyst targets include Tesla (TSLA), Warner Bros. Discovery (WBD), Marriott International (MAR), Paccar (PCAR), and Old Dominion Freight Line (ODFL).
That structure results in much higher cash payouts compared with SCHD, but the amounts can move up or down from month to month depending on market conditions and options income.
Bottom Line
Heading into 2026, the better choice depends on investor preference. Those who value consistency and stability may lean toward SCHD. Investors willing to accept variable payouts for higher income may find QQQI more appealing.