LVHI: A 4.5% Yield Built For Higher Rates

Franklin Intl Low Volatility High Dividend Index ETF ( LVHI ) remains a buy, now primarily for its currency protection amid potential future interest rate hikes. LVHI's hedged strategy shields dividends from currency fluctuations, positioning it to outperform unhedged peers like VYMI and IDV if rates rise. With a 4.5% starting yield and a five-year dividend CAGR of 9.76%, LVHI offers attractive, growing income for long-term investors. LVHI's lack of technology exposure and lumpy payout schedule make it best suited as a portfolio sleeve, not a core holding.