IDV devotes about 66% of the portfolio to Europe, but the concentration to troubled economies is much less than DWX. The Guggenheim S&P Global Dividend Opportunities ETF (NYSEArca: LVL) has a high yield of 7.1%, and allocates 57% to Europe. The high yield is a payoff for the high level of risk, as 83% of the portfolio is devoted to high yield international stocks.
Going forward, it is important to watch international dividend ETFs since they had a high price appreciation in 2012, reports Zhang. Yields can drop off if the stock or ETF price appreciates. [International Dividend ETFs Ahead of the Fiscal Cliff]
Other international dividend ETFs include:
- WisdomTree International LargeCap Dividend Fund (NYSEArca: DOL)
- Dow Jones Global Select Dividend Index Fund (NYSEArca: FGD)
- SPDR S&P Emerging Market Dividend ETF (NYSEArca: EDIV)
Tisha Guerrero contributed to this article.