Boost Your Portfolio’s Diversification and Income With This High-Yield International ETF
Many people are looking for investments that can beat inflation, which sits at 6%. How about a dividend ETF yielding 7.5% that also gives you exposure to some of the worlds top international stocks? The ETF is the iShares International Select Dividend ETF (BATS:IDV). What is the IDV ETF? The IDV ETF comes from BlackRocks popular iShares family of ETFs. It “seeks to track the investment results of an index composed of relatively high dividend paying equities in non-U.S. developed markets.” As the name suggests, the fund invests across a wide array of non-U.S., high-yield dividend stocks. Note that this ETF is not mainly focused on investing in so-called emerging markets such as China or India but developed markets outside of the U.S., such as the United Kingdom, Europe, Canada, and Australia. As an investor, you want to be careful not to overgeneralize, but investing in emerging markets typically comes with higher risks (and higher rewards) than in developed markets. This ETF wouldnt be the right fit for investors looking for that type of higher-risk, higher-reward investment profile, but there are plenty of emerging market ETFs like the Vanguard FTSE Emerging Markets ETF and the iShares MSCI Emerging Markets ETF that give