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Is Franklin U.S. Low Volatility High Dividend Index ETF (LVHD) a Strong ETF Right Now?
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Making its debut on 12/28/2015, smart beta exchange traded fund Franklin U.S. Low Volatility High Dividend Index ETF (LVHD - Free Report) provides investors broad exposure to the Style Box - Large Cap Value 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.
A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns.
If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
Managed by Franklin Templeton Investments, LVHD has amassed assets over $654.53 million, making it one of the average sized ETFs in the Style Box - Large Cap Value. This particular fund, before fees and expenses, seeks to match the performance of the QS Low Volatility High Dividend Index.
The Franklin Low Volatility High Dividend Index composes of equity securities of U.S. companies with relatively high yield and low price and earnings volatility.
Cost & Other Expenses
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.
Annual operating expenses for LVHD are 0.27%, which makes it one of the cheaper products in the space.
It has a 12-month trailing dividend yield of 3.22%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
For LVHD, it has heaviest allocation in the Utilities sector --about 24.5% of the portfolio --while Consumer Staples and Real Estate round out the top three.
Taking into account individual holdings, Johnson & Johnson (JNJ) accounts for about 3% of the fund's total assets, followed by Coca-cola Co/the (KO) and Verizon Communications Inc (VZ).
Its top 10 holdings account for approximately 26.78% of LVHD's total assets under management.
Performance and Risk
So far this year, LVHD return is roughly 17.68%, and was up about 19.38% in the last one year (as of 11/05/2026). During this past 52-week period, the fund has traded between $39.47 and $46.14.
LVHD has a beta of 0.55 and standard deviation of 11.69% for the trailing three-year period. With about 118 holdings, it effectively diversifies company-specific risk .
Alternatives
Franklin U.S. Low Volatility High Dividend Index ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.
Schwab U.S. Dividend Equity ETF (SCHD) tracks Dow Jones U.S. Dividend 100 Index and the Vanguard Morningstar Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. Schwab U.S. Dividend Equity ETF has $122.42 billion in assets, Vanguard Morningstar Value ETF has $196.92 billion. SCHD has an expense ratio of 0.06% and VTV changes 0.03%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value
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 Franklin U.S. Low Volatility High Dividend Index ETF (LVHD) a Strong ETF Right Now?
Making its debut on 12/28/2015, smart beta exchange traded fund Franklin U.S. Low Volatility High Dividend Index ETF (LVHD - Free Report) provides investors broad exposure to the Style Box - Large Cap Value 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.
A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns.
If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
Managed by Franklin Templeton Investments, LVHD has amassed assets over $654.53 million, making it one of the average sized ETFs in the Style Box - Large Cap Value. This particular fund, before fees and expenses, seeks to match the performance of the QS Low Volatility High Dividend Index.
The Franklin Low Volatility High Dividend Index composes of equity securities of U.S. companies with relatively high yield and low price and earnings volatility.
Cost & Other Expenses
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.
Annual operating expenses for LVHD are 0.27%, which makes it one of the cheaper products in the space.
It has a 12-month trailing dividend yield of 3.22%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
For LVHD, it has heaviest allocation in the Utilities sector --about 24.5% of the portfolio --while Consumer Staples and Real Estate round out the top three.
Taking into account individual holdings, Johnson & Johnson (JNJ) accounts for about 3% of the fund's total assets, followed by Coca-cola Co/the (KO) and Verizon Communications Inc (VZ).
Its top 10 holdings account for approximately 26.78% of LVHD's total assets under management.
Performance and Risk
So far this year, LVHD return is roughly 17.68%, and was up about 19.38% in the last one year (as of 11/05/2026). During this past 52-week period, the fund has traded between $39.47 and $46.14.
LVHD has a beta of 0.55 and standard deviation of 11.69% for the trailing three-year period. With about 118 holdings, it effectively diversifies company-specific risk .
Alternatives
Franklin U.S. Low Volatility High Dividend Index ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.
Schwab U.S. Dividend Equity ETF (SCHD) tracks Dow Jones U.S. Dividend 100 Index and the Vanguard Morningstar Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. Schwab U.S. Dividend Equity ETF has $122.42 billion in assets, Vanguard Morningstar Value ETF has $196.92 billion. SCHD has an expense ratio of 0.06% and VTV changes 0.03%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value
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.