Northern Trust Corporation (NTRS): This New ETF Gets Defensive With Global Dividends

IQDE is the international equivalent of the aforementioned FlexShares Quality Defensive Index Fund, an ETF that has been a solid performer since inception. That fund, with a 30-day SEC yield of 3.12 percent, has returned about 11.4 percent since its December debut.

Obviously, there can be no guarantees that IQDE will mirror that performance and the new ETF’s Eurozone exposure does present some challenges. In fairness, the Japan exposure should prove helpful if the yen continues to decline, boosting Japanese shares along the way. As it is, Japanese equities are Asia’s best performers this year.

In terms of individual holdings, IQDE is littered with familiar, international blue-chips. The ETF’s top-10 lineup includes GlaxoSmithKline plc (ADR) (NYSE:GSK), Commonwealth Bank of Australia, TOTAL S.A. (ADR) (NYSE:TOT) and Eni SpA (ADR) (NYSE:E).

Less than two full trading days into IQDE’s life, it is too early to render judgment on the new ETF, particularly without yield information available. However, it is worth remembering FlexShares has had prior success with dividend ETFs. More importantly, investors that are willing to go global these days should be compensated for that risk and it looks like IQDE. After all, the average dividend yield on GlaxoSmithKline plc (ADR) (NYSE:GSK), Eni SpA (ADR) (NYSE:E) and TOTAL S.A. (ADR) (NYSE:TOT) is over five percent.

This article was originally written by The ETF Professor, and posted on Benzinga.