ETF for Companies that Increase Dividend: PEY

On Monday we talked about picking stocks that increase dividend
yield regularly as a good way of investment. Here we introduce a new
Exchange Traded Fund (ETF) that is based on exactly that principle:
PEY, PowerShares High Yield Equity Dividend Achievers Portfolio.

PEY seeks investment results that, before expenses, generally
correspond to the price and yield performance of the Mergent
Dividend Achievers 50 Index. The Index is comprised of the 50
highest yielding companies with at least 10 years of consecutive
dividend increases.

The Wheaton, Illinois-based PowerShares is rather a new player in
ETF world. However, they have launched several ETFs in 2005.

As we often point out, you need to pay the usual commission to your
broker for buying or selling any ETF. We recommend a low cost
brokerage like Scottrade (7$ for market or limit order) for ETF
trading to keep your cost lower especially if you follow the wise path
of investing in ETF/Mutual Funds at regular interval and take
advantage of dollar-cost averaging.