Dividend-focused fund FDL rises 12.3% YTD, led by energy gains but lacks tech exposure.

The First Trust Morningstar Dividend Leaders Index Fund (FDL) has gained 12.3% year-to-date, outperforming a comparable dividend ETF largely due to strong energy sector performance, especially Exxon Mobil and Chevron amid rising oil prices. The fund offers a solid 3.7% trailing yield with quarterly dividends, but payouts vary as they reflect actual dividends from holdings. However, its near absence of technology stocks limits growth potential during tech-driven market rallies. Despite some skepticism about sustained energy gains, FDL remains a strong income tool for retirees seeking steady dividends and low costs, though it may not match broad market growth.