Five Dividend ETFs Your Broker Forgot To Mention

Five Dividend ETFs Your Broker Forgot To Mention Thus far, many things can be said about 2011 from an investor's point of view. That the year has been kind to dividend investors is certainly one of them as scores (we're talking in the hundreds) of companies have been rewarding investors with all that cash they stored up during the dark days of the financial crisis. Yes, it's going to take the big money center banks a few more years to get back to paying pre-crisis dividends, but investors have had plenty of other places to turn. In addition to the usual suspects at the sector level (staples, telecom, utilities, etc.), dividend ETFs have proven to be another sanctuary for income-hungry investors. Let's have a look at few dividend ETFs that may not be as well known as the iShares Dow Jones Select Dividend Index Fund DVY or the Vanguard Dividend Appreciation ETF VIG, but are definitely worth giving a nod to. 1) Guggenheim Multi-Asset Income ETF CVY: Want the best of all worlds when it comes to dividend securities? Foreign stocks, MLPs, royalty trusts, REITs, etc? Well, CVY lives up to its billing as a multi-assset play because this ETF is about much more than just common stocks of U.S.-based companies. With $491.6 million in assets under management, CVY is home to 148 stocks. Top-10 holdings including ConocoPhillips COP, Linn Energy LINE and McDonald's MCD. Yield: 4.76%. 2) WisdomTree DEFA Equity Income Fund DTH: It has been said time and time again that income investors should look overseas for at least a couple of members of their portfolios and DTH helps accomplish that goal as U.S.-based companies are nowhere to be found in this ETF, which devotes almost half its weight to the U.K., Australia and France. DTH has $132.6 million in AUM. Financials lead the sector mix at almost 29%, but energy, health care, telecom and utilities are all well represented. If you're willing to bet on a European recovery and South America's continued growth and need a nice yield (4.6%) for your trouble, DTH is the bet to make. 3) Guggenheim International Multi-Asset Income ETF HGI: HGI has turned in a stellar performance in the past year, surging 25%. The ETF, which has $95.6 million in AUM and is home to 145 stocks is still somewhat anonymous despite its robust performance. This is another global play as the U.S. accounts for just 6.9% of HGI's country weight. With a yield of 4.8%, consider HGI a more international, more common stock version of CVY, though it should be noted HGI will get you involved with REITs and MLPs and other high-yielding asset classes. 4) Global X SuperDividend ETF SDIV: Proving that investors love dividends, SDIV made its debut on June 8 and in that brief amount of time, the ETF has accumulated almost $25.5 million in AUM, a stunning total for less than three weeks of work. SDIV is an interesting prospect for any dividend investor because it features 100 stocks, each accounting for 1% of the ETF's weight. Beyond that, SDIV is a global play with the U.S. accounting for just 32% of the fund's country weight. Australia, Canada, Singapore and the U.K. are just a few of the other countries SDIV offers exposure to. At the sector level, SDIV is REIT heavy at 22% of the fund's weight, but telecoms, financials and utilities also figure prominently in the fund's mix. It may not be a stretch to say that SDIV is already among the best of dividend ETFs that are less than a year old. 5) WisdomTree International Utilities ETF DBU: It might be a good idea to turn your lights on to the WisdomTree International Utilities ETF. This is one of those ETFs that combines the best of both worlds: the higher yields and dividends offered by international stocks and the high payouts, yields and dependability of the utilities sector. U.S. utilities are great dividend payers and high yielders in their own right, but their foreign peers have them beat on both fronts. DBU is ideal for the conservative investor with a long-term time horizon. While you hold DBU, you'll enjoy a yield that currently hovers around 4%.
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