Yield-hunger investors who are wary of the rising interest rates ahead can turn to a dividend-themed exchange traded fund that specifically focuses on companies with low correlation to interest rates.

The Fidelity Dividend ETF for Rising Rates (NYSEArca: FDRR) “is no longer a hidden gem of the ETF world,” Matthew Goulet, Fidelity’s senior vice president of ETF Business Development, told ETF Trends in a call.

“The recent volatility is a wake up call for advisors and provides an opportunity to swap in a different strategy,” Goulet added.

FDRR tries to reflect the performance of a group of large and mid-capitalization, dividend-paying companies expected to pay and grow their dividends and have a positive correlation of returns to increasing 10-year U.S. Treasury yields. The positive correlation to Treasury yields and sector neutrality may help protect investors’ returns in rising rate environments, when high-yielding stocks and sectors tend to underperform.

“As advisors, you want the yield but can’t hold only defensive sectors,” Goulet  explained, referring to defensive sectors like bond-esque utilities that are negatively affected by rising rates.

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