Core Insights - Dividend exchange-traded funds (ETFs) are providing a combination of performance and income, with Franklin U.S. Dividend Booster Index ETF (XUDV) and Franklin International Dividend Booster Index ETF (XIDV) being highlighted as strong performers in early 2026 [1] Performance Overview - XUDV has outperformed the S&P 500 with a year-to-date increase of just over 9%, while XIDV has risen by 6.11%, making XUDV suitable for investors seeking performance and dividend maximization, and XIDV appealing for those looking for international diversification [2] Fund Strategies - XUDV tracks the VettaFi New Frontier U.S. Dividend Select Index (NFUS), focusing on U.S. large-cap companies that are essential, cash-flow positive, and dividend-focused [4] - XIDV follows the VettaFi New Frontier International Dividend Select Index (NFDM), aiming to deliver high yield without leverage or derivatives, benefiting from ongoing dollar weakness and stretched valuations [4] Yield and Expense Ratios - As of January 31, XUDV has a 30-day SEC yield of 4.55% and XIDV has a yield of 4.71%, providing investors with income alongside performance [5] - Both funds have competitive expense ratios, with XUDV at nine basis points and XIDV at 19 basis points, which helps in maximizing yield while limiting concentration risk and volatility [6] Notable Holdings Performance - In February 2026, notable performers in XUDV included: - Vertiv Holdings Co (VRT) with a return of 36.9% - Edison International (EIX) achieving a 20.0% return - LyondellBasell Industries NV (LYB) returning 17.4% [7] - For XIDV, standout performers included: - Magna International Inc (MGA) with a 23.3% increase - Keppel Ltd (BN4:SES) returning 20.1% - Infrastrutture Wireless Italiane SpA (INW) achieving a 20.0% return [8]