How TDIV Quietly Transformed Into a High‑Growth Tech ETF

The First Trust NASDAQ Technology Dividend Index Fund ETF (TDIV) has quietly evolved from a defensive, dividend‑oriented tech play into a high‑growth vehicle driven by structural exposure to semiconductors and AI infrastructure demand. Originally attracting investors for its combination of technology exposure and income, TDIV’s methodology focuses on large‑cap, cash‑flow‑rich semiconductor companies that pay regular dividends, resulting in a ~1.3% yield while capturing secular growth trends. Unlike broad tech ETFs that rely on mega‑cap, non‑dividend names, TDIV excludes those and leans heavily into semiconductors and companies benefiting from AI tailwinds. This strategy has enabled it to outperform both the S&P 500 and the Nasdaq 100 (NDX) in recent years. The article argues that over the next 12–18 months, TDIV could surpass traditional tech ETFs like QQQ and software‑focused AI funds, thanks to robust infrastructure spending, though investors should watch for cyclicality in the semiconductor sector. TDIV’s distinct index construction—selecting dividend‑paying tech companies and weighting them based on dividend metrics—positions it as a compelling choice for growth with income. However, ongoing monitoring of AI demand and semiconductor cycles remains essential to validate its growth thesis. #TDIV #TechETF #AIInvesting #Semiconductors #SlimScan #GrowthStocks #CANSLIM