Categories: Exchange Traded Funds (ETFs)International Investing

Small-Cap Dominance with International Dividends

Hanumann, CC-By-2.0

The WisdomTree International SmallCap Dividend Fund (DLS) is an exchange-traded fund (ETF) that invests in non-U.S. dividend-paying securities. The fund was the second-strongest performer in the International Dividend category for the first half of this year.

In the case of DLS, “international” means that only companies based outside of the United States and Canada are considered for inclusion in the fund’s underlying index.

And, nearly 78% of this fund’s positions are in small-cap stocks. In general, small-cap stocks seem to have been the best performers in the international dividend category for this time period. The fund’s country distribution emphasizes Japan, Australia, the United Kingdom and Scandinavia. View the current price, volume, performance and top 10 holdings of DLS at ETFU.com.

For the first half of the year, DLS rose 8.68%, with most of the increase in its share price occurring during the first quarter. Its 5.43% yield is quite attractive for an ETF. Assets managed here are just under $1.1 billion. The chart below shows the most recent 12 months’ worth of performance.

The top 10 largest holdings in this fund total just 1.77% of its assets. These top 10 holdings include Kaken Pharmaceutical Co. Ltd., 0.2%; Sanrio Co. Ltd., 0.2%; Teijin Ltd., 0.19%; Nishi-Nippon City Bank Ltd., 0.19%; and Pigeon Corp., 0.17%.

WisdomTree International SmallCap Dividend Fund (DLS) is a solid way to invest in a broad swath of global dividend-paying small-cap stocks. If you are an income seeker who wants international exposure in your holdings, you may wish to consider adding DLS to your holdings if that niche is unfilled. Remember to look for the current price, volume, performance and top 10 holdings of DLS on ETFU.com.

Look out next week as we round out the category for top-performing international dividend-based funds for the first half.

If you want my advice about buying and selling specific ETFs, including appropriate stop losses, please consider subscribing to my Successful ETF Investing newsletter. As always, I am happy to answer any of your questions about ETFs, so do not hesitate to send me an e-mail. You just may see your question answered in a future ETF Talk.

In case you missed it, I encourage you to read my e-letter column from last week about the top international dividend ETF of 2015’s first half. I also invite you to comment in the space provided below.

Doug Fabian

Doug Fabian is the Editor of Weekly ETF Report, a free weekly e-newsletter, and the newsletter Successful ETF Investing. He’s also the host of the syndicated radio show, “Doug Fabian’s Wealth Strategies.” Doug also edits the fast-paced trading service ETF Trader’s Edge, for investors who want to take their profits to the next level. Taking over the reins from his dad, Dick Fabian, back in 1992, Doug has continued to uphold the reputation of the newsletter as the #1 risk-adjusted market timer as ranked by Hulbert’s Investment Digest. Doug became a member of the “SmartMoney 30” in 1999 — a listing of the most influential individuals in the mutual fund industry. In the feature, SmartMoney magazine exclaims that Doug is the best-known “trend follower” among the $56 billion (and growing) group of financial advisors. In 2001, Doug wrote “Maverick Investing,” published by McGraw-Hill. He also regularly appears at seminars around the country, stands out on the pages of the largest newspapers (The Wall Street Journal, The Los Angeles Times, and The New York Times), and speaks on national television (CNBC, Fox News, and Bloomberg Forum). For more than 35 years, Successful ETF Investing (formerly the Telephone Switch Newsletter and Successful Investing) has produced double-digit percentage annual gains. Doug has become known for his expert knowledge and timely use of innovative tools, such as exchange-traded funds, bear funds, and enhanced-index funds to profit in any market climate. For more information about Doug’s services, go to http://www.fabian.com/