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**Summary:**

The Motley Fool highlights three dividend-paying ETFs – Global X MLP ETF (MLPA), Schwab U.S. Dividend Equity ETF (SCHD), and JP Morgan Nasdaq Equity Premium Income ETF (JEPQ) – as potentially strong choices for investors seeking passive income and diversification. MLPA focuses on natural gas infrastructure MLPs and offers a high yield, SCHD emphasizes large-cap dividend stocks with low expense ratio, and JEPQ uses covered call options on Nasdaq-100 stocks for income. Each ETF has unique characteristics and risk/reward profiles suitable for different investment objectives.

**News Article:**

**Motley Fool Recommends Dividend ETFs for Income-Seeking Investors**

**ALEXANDRIA, VA – July 29, 2024** – As the S&P 500 continues its upward trajectory, financial services company The Motley Fool suggests investors looking for passive income and portfolio diversification consider dividend-paying Exchange Traded Funds (ETFs).

In a recent analysis, Motley Fool contributors highlighted three ETFs as potentially strong choices: the Global X MLP ETF (MLPA), the Schwab U.S. Dividend Equity ETF (SCHD), and the JP Morgan Nasdaq Equity Premium Income ETF (JEPQ).

Lee Samaha, a Motley Fool contributor, points to the Global X MLP ETF (MLPA), which primarily invests in midstream master limited partnerships (MLPs) focused on natural gas pipelines and storage. The ETF boasts a significant trailing-12-month distribution yield of 7.5% and its performance tends to have little correlation with the S&P 500 index.

Scott Levine recommends the Schwab U.S. Dividend Equity ETF (SCHD) for its reliability and strong dividends. SCHD has a 30-day Securities and Exchange Commission (SEC) yield of 3.8% and an extremely low total expense ratio of just 0.06%.

Daniel Foelber features JP Morgan Nasdaq Equity Premium Income ETF (JEPQ) that utilizes covered call options on Nasdaq-100 stocks to generate income. The ETF’s strategy involves sacrificing some potential upside for a guaranteed return from options premiums, resulting in a high 30-day SEC yield of 11.2%.

Each ETF offers a distinct approach to generating passive income. Investors should consider their individual risk tolerance and investment goals when selecting an appropriate ETF.

The Motley Fool, founded in 1993, provides financial advice and analysis through its website, premium services, podcasts, and its non-profit foundation.

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