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ALPS Emerging Sector Dividend Dogs ETF (EDOG)
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EM Emphasis on Dividends Could Be Excellent for EDOG
Etftrendsยท 2025-10-23 13:05
Core Insights - Emerging market (EM) stocks are experiencing a resurgence in 2025, with growth sectors like consumer internet and technology leading the way, but value-oriented EM equities are also performing well amid this growth rally [1] - The ALPS Emerging Sector Dividend Dogs ETF (EDOG) has increased nearly 12% year-to-date, highlighting its strong performance [1] Performance Metrics - EDOG boasts a trailing 12-month dividend yield of 6.24%, which is more than double that of the MSCI Emerging Markets Index, making it a standout in terms of yield among traditional broad market ETFs [2] - The overlap by weight between EDOG and the MSCI Emerging Markets Index is only 1%, allowing for diversification without significant holdings-level overlap [2] Dividend Trends - The dividend landscape in emerging markets is improving, with dividends and share buybacks becoming more common in some developing economies, which is positive for EDOG investors [3] - The Asia-Pacific region is noted for enhancing shareholder rewards, with the top five country weights in EDOG being Asian nations, making it appealing for long-term investors seeking diversification [4] Investment Appeal - Dividends signal company health and cash generation capabilities, making them attractive to investors, especially in emerging markets where quality and value are prioritized [5] - EDOG mitigates risk by equally weighting its sector exposures, reducing dependence on a few sectors for income, and its quality focus ensures that dividend payers can sustain and potentially grow payouts over time [6]