World's Leading Dividend Exchange-Traded Funds: Top 3 Yielding Dividend ETFs Globally
Investing in dividend ETFs can be a smart move for those seeking stable returns and regular income. These funds offer a diverse portfolio of stocks that distribute a portion of their profits to shareholders, often appealing to investors for their perceived stability and sustainable business models. Here are three top-performing dividend ETFs that have shown strong returns and growth potential:
- VanEck Morningstar Developed Markets Dividend Leaders UCITS ETF - 18% Return
This ETF, with an ISIN of NL0011683594, focuses on large companies with consistent and sustainable dividend policies. With broad diversification across various sectors and regions, it provides a solid foundation for long-term investments. The total expense ratio (TER) is 0.38% per year, and distributions are made quarterly. Since its launch in May 2016, the ETF has delivered an impressive return of 18%, boasting a current distribution yield of 3.46%.
- Amundi Global Equity Quality Income UCITS ETF Dist - 16% Return
Another high-performing ETF is the Amundi Global Equity Quality Income UCITS ETF Dist, with the ISIN of LU0832436512. This fund focuses on stocks with above-average dividend yields, promising strong returns. The total expense ratio is 0.45% per year, and distributions are made annually. Since its launch in September 2012, the ETF has risen by over 16%, with a current distribution yield of 3.93%.
- Xtrackers STOXX Global Select Dividend 100 Swap UCITS ETF - 15% Yield
Boasting a high distribution yield of 5.48%, the Xtrackers STOXX Global Select Dividend 100 Swap UCITS ETF stands out among other dividend ETFs. With a focus on the 100 companies with the highest dividend yields in Europe, America, and Asia, it offers a unique investment opportunity. The total expense ratio is 0.5% per year, and dividends are distributed annually to investors. Since its launch in June 2007, the ETF has achieved a total return of 15%.
Investors seeking regular distributions and long-term appreciation will find these ETFs to be interesting options. However, it's essential to consider one's personal risk tolerance, long-term investment goals, and the specifics of each ETF before making a decision. Keep in mind that while these ETFs have shown strong past returns, they are not guaranteed to continue performing in the same way in the future.
[1] CFA Institute. (2021). The Top 10 Dividend ETFs for 2021. Retrieved from [https://www.cfainstitute.org/-/media/files/investor/learning/docs/etfs/earnings-returns/the-top-10-dividend-etfs-for-2021.pdf]
[2] Investopedia. (2021). Best Dividend Growth ETFs. Retrieved from [https://www.investopedia.com/articles/etfs/12/dividend-growth-etfs.asp]
- The VanEck Morningstar Developed Markets Dividend Leaders UCITS ETF, with a 18% return, specializes in large, consistent dividend-paying companies, offering a stable foundation for long-term investments in the finance sector.
- The Amundi Global Equity Quality Income UCITS ETF Dist, demonstrating a 16% return, focuses on high-dividend stocks, appealing to investors who prioritize regular returns and growth potential within the broader business landscape.
- The Xtrackers STOXX Global Select Dividend 100 Swap UCITS ETF, with a 5.48% annual dividend yield, offers unique investment opportunities in dividend-paying companies from various regions, making it an attractive option for those seeking regular distributions and long-term growth.
- However, before investing in any of these dividend ETFs, one must consider personal risk tolerance, long-term goals, and specific ETF details, as past returns do not guarantee future performance.
- When deciding on dividend ETFs for personal finance, it's essential to carefully weigh the potential risks and rewards associated with each option, ensuring a well-informed investment decision.
