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Is ALPS International Sector Dividend Dogs ETF (IDOG) a Strong ETF Right Now?
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Launched on 06/28/2013, the ALPS International Sector Dividend Dogs ETF (IDOG - Free Report) is a smart beta exchange traded fund offering broad exposure to the World ETFs category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
The fund is managed by Alps. IDOG has been able to amass assets over $212.88 million, making it one of the average sized ETFs in the World ETFs. Before fees and expenses, this particular fund seeks to match the performance of the S-Network International Sector Dividend Dogs Index.
The S-Network International Sector Dividend Dogs Index identifies five high yielding securities, based on regular cash dividends, in each of the ten Global Industry Classification Standard sectors and is rebalanced quarterly.
Cost & Other Expenses
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Annual operating expenses for IDOG are 0.50%, which makes it on par with most peer products in the space.
It's 12-month trailing dividend yield comes in at 5.25%.
Sector Exposure and Top Holdings
Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.
Taking into account individual holdings, H & M Hennes & Mauritz Ab (HMB) accounts for about 2.38% of the fund's total assets, followed by Stellantis Nv (STLAMMI2) and Israel Chemicals Ltd. (ICL - Free Report) .
IDOG's top 10 holdings account for about 21.84% of its total assets under management.
Performance and Risk
The ETF has gained about 7.34% so far this year and was up about 20.31% in the last one year (as of 10/30/2023). In the past 52-week period, it has traded between $22.77 and $29.31.
IDOG has a beta of 0.84 and standard deviation of 16.67% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk.
Alternatives
ALPS International Sector Dividend Dogs ETF is a reasonable option for investors seeking to outperform the World ETFs segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard Total International Stock ETF (VXUS - Free Report) tracks FTSE Global All Cap ex US Index and the Vanguard FTSE Developed Markets ETF (VEA - Free Report) tracks FTSE Developed All Cap ex US Index. Vanguard Total International Stock ETF has $53.84 billion in assets, Vanguard FTSE Developed Markets ETF has $103.86 billion. VXUS has an expense ratio of 0.07% and VEA charges 0.05%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the World ETFs.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Is ALPS International Sector Dividend Dogs ETF (IDOG) a Strong ETF Right Now?
Launched on 06/28/2013, the ALPS International Sector Dividend Dogs ETF (IDOG - Free Report) is a smart beta exchange traded fund offering broad exposure to the World ETFs category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
The fund is managed by Alps. IDOG has been able to amass assets over $212.88 million, making it one of the average sized ETFs in the World ETFs. Before fees and expenses, this particular fund seeks to match the performance of the S-Network International Sector Dividend Dogs Index.
The S-Network International Sector Dividend Dogs Index identifies five high yielding securities, based on regular cash dividends, in each of the ten Global Industry Classification Standard sectors and is rebalanced quarterly.
Cost & Other Expenses
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Annual operating expenses for IDOG are 0.50%, which makes it on par with most peer products in the space.
It's 12-month trailing dividend yield comes in at 5.25%.
Sector Exposure and Top Holdings
Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.
Taking into account individual holdings, H & M Hennes & Mauritz Ab (HMB) accounts for about 2.38% of the fund's total assets, followed by Stellantis Nv (STLAMMI2) and Israel Chemicals Ltd. (ICL - Free Report) .
IDOG's top 10 holdings account for about 21.84% of its total assets under management.
Performance and Risk
The ETF has gained about 7.34% so far this year and was up about 20.31% in the last one year (as of 10/30/2023). In the past 52-week period, it has traded between $22.77 and $29.31.
IDOG has a beta of 0.84 and standard deviation of 16.67% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk.
Alternatives
ALPS International Sector Dividend Dogs ETF is a reasonable option for investors seeking to outperform the World ETFs segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard Total International Stock ETF (VXUS - Free Report) tracks FTSE Global All Cap ex US Index and the Vanguard FTSE Developed Markets ETF (VEA - Free Report) tracks FTSE Developed All Cap ex US Index. Vanguard Total International Stock ETF has $53.84 billion in assets, Vanguard FTSE Developed Markets ETF has $103.86 billion. VXUS has an expense ratio of 0.07% and VEA charges 0.05%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the World ETFs.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.