ProShares S&P Technology Dividend Aristocrats ETF (TDV) Covered Calls

ProShares S&P Technology Dividend Aristocrats ETF provides exposure to high-quality, dividend-paying technology companies within the S&P 500. By tracking the S&P Technology Dividend Aristocrats Index, the fund targets well-established firms that have increased their dividends for at least seven consecutive years, offering a blend of tech-sector growth potential and disciplined income generation.

You can sell covered calls on ProShares S&P Technology Dividend Aristocrats ETF to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for TDV (prices last updated Thu 11:35 AM ET):

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Core Business and Products

ProShares S&P Technology Dividend Aristocrats ETF (TDV) is a specialized equity fund that focuses on the "blue-chip" segment of the technology sector. Unlike broad tech ETFs that prioritize market capitalization and rapid growth, TDV filters for financial discipline and consistent shareholder returns. As of April 2026, the fund manages approximately $250 million in assets and holds a portfolio of roughly 40 technology-related companies.

The fund's selection criteria require companies to be members of the S&P Total Market Index, classified in the technology sector (or tech-related industries like interactive media), and have a minimum of seven consecutive years of dividend growth. Key characteristics include:

1. Equal-Weighted Strategy: The index is equally weighted, preventing the fund from being dominated by a few "mega-cap" names and providing better exposure to mid-sized dividend growers.
2. High-Quality Holdings: Portfolio anchors in 2026 include established giants such as Microsoft, Apple, and Visa, alongside specialized firms like Applied Materials, Motorola Solutions, and Cognex.
3. Sector Diversification: While focused on Tech, the fund includes software, semiconductors, and data processing services, providing a broad view of the digital economy.

Competitive Landscape

TDV occupies a unique "Growth-at-a-Reasonable-Price" (GARP) niche. It is fully optionable, though liquidity in its options chain is lower than massive benchmarks like XLK. With an expense ratio of 0.45%, it is positioned as a premium thematic product for investors who want tech exposure without the extreme volatility of non-earning growth stocks. It serves as a more conservative alternative to "pure growth" tech vehicles.

Key peers and related dividend/tech vehicles include:

1. ProShares S&P 500 Dividend Aristocrats ETF: The flagship sibling fund that requires 25 years of dividend growth across all sectors.
2. Technology Select Sector SPDR Fund: The primary market-cap-weighted tech benchmark.
3. Vanguard Information Technology ETF: A massive, low-cost peer providing broad exposure to the U.S. tech sector.
4. Schwab US Dividend Equity ETF: A broad dividend peer that often holds high-quality tech names like Texas Instruments.
5. VanEck Semiconductor ETF: A specialized peer focusing on the chip industry, which is a major component of TDV.

Strategic Outlook and Innovation

In 2026, TDV is a cornerstone for "Quality Tech" strategies. As the technology sector matures, more companies are shifting from pure R&D reinvestment to returning capital to shareholders, expanding TDV’s eligible universe. The fund’s most recent quarterly dividend—paid in late March 2026—was $0.26 per share, resulting in an annualized dividend yield of approximately 1.15%.

Innovation at ProShares involves maintaining the "Aristocrat" brand integrity while adapting to GICS sector reclassifications. By including "Technology-related" companies in communication services, TDV ensures it captures the full breadth of modern innovation. As of early 2026, the fund maintains a lower P/E ratio (approx. 21x) compared to the broader S&P 500 Tech Index, offering a valuation "margin of safety" for income-oriented tech investors.

Want more examples? TDUP Covered Calls | TDW Covered Calls