If you are a dividend investor seeking a low-risk, high-yield investment, consider an exchange-traded fund. ETFs invest in several companies and have a low fees, allowing you to diversify your portfolio, enjoy steady income, and hold the best companies in the market. ETFs have become a hot investment in 2025 and the asset has attracted $556 billion in inflows in the first half of 2025, a historic high.
If you’re still on the lookout for high-yield ETFs, here are two low-risk, high-yield options – JPMorgan Equity Premium Income ETF (NYSEARCA:JEPI) and Global X Super Dividend ETF (NYSEARCA: SDIV) to consider in July. Both ETFs are known for high yields and here’s a closer look at each.
J.P. Morgan Equity Premium Income
Managed by the professional experts at JP Morgan, the J.P.Morgan Equity Premium Income ETF has an impressive yield of 11.38%. The fund holds some of the biggest names in the industry and uses equity-linked notes to generate income by selling call options on the securities held. By selling options, it collects the option premium in the form of income which is distributed as a dividend each month.
JEPI has an NAV of $56.96. While the NAV has remained flat over the year, the ETF has generated steady dividend income. It holds 122 shares and has the highest allocation in the technology sector. The fund invests in:
- Information Technology: 15.7%
- Financials: 13.4%
- Industrials: 13%
- Other: 13%
- Healthcare: 11.3%
It holds the Magnificent Seven including Meta Platforms (NASDAQ: META | META Price Prediction), Amazon.com Inc. (NASDAQ: AMZN), and Nvidia Corp. (NASDAQ: NVDA). The top 10 stocks form 15.80% of the fund and no stock has a weightage over 2%. It has a 12-month rolling dividend yield of 7.39% and a 30-day SEC yield of 11.38%. The fund has a low expense ratio of 0.35% which means you get to keep more of the returns.
JEPI has a five-year annualized return of 10.94% and a one-year annualized return of 8%. Its return since inception is 11.37%. If you’d invested $10,000 in 2020 in JEPI, it would be worth $17,193 today. The fund aims to provide equity exposure at low volatility while generating income for investors each month.
Global X SuperDividend ETF
Another high-yield dividend ETF, the Global X SuperDividend ETF is a straightforward fund that invests in 100 high-yielding stocks around the world. Since it invests in the top dividend stocks globally, it enjoys ultimate diversification by opening doors for global investment opportunities at low risk. This ETF also pays monthly dividends and has a yield of 11.8%.
To be included in the ETF, a company’s dividend yield must fall between 6% to 20%, which is fairly high, considering the S&P 500’s 1.3% yield. It also excludes companies where a dividend cut is announced. Hence, you’ll have no risk when it comes to the monthly distribution. The ETF has an aggressive income investment but the high yield makes up for the risks. It has made monthly distributions for 13 consecutive years. While the payment has fluctuated, it hasn’t disappointed.
SDIV has an NAV of $22.87 and it is up 10.38% year-to-date. It has generated a five-year annualized return of 2.81% and a three-year annualized return of 4.5%. The ETF has an expense ratio of 0.58% and holds 105 stocks. Its fund distribution includes:
- Financials: 30.9%
- Energy: 22.7%
- Real estate: 13.1%
- Materials: 11.7%
The fund invests 24.4% of the holding in the United States, followed by 15.6% in Hong Kong and 9.1% in Britain. Investors keen on holding global stocks will enjoy the diversification SDIV offers.
When you’re chasing a high-yield at low risk, consider SDIV.
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