ALPS International Sector Dividend Dogs ETF

IDOG

Market cap $425M

Designed to provide broad exposure to the Foreign Large Value ETF category of the market, the ALPS International Sector Dividend Dogs ETF (IDOG) is a smart beta exchange traded fund launched on 06/28/2013.

Sometimes where you invest matters more than how you invest, and two dividend dogs funds from ALPS highlight the trend. The ALPS International Sector Dividend Dogs ETF (IDOG) gained 33.4% year-to-date through November 2, far outpacing the 7.8% return from its domestic twin, the ALPS Sector Dividend Dogs ETF (SDOG), according to ETF Database data.

As its name implies, the ALPS International Sector Dividend Dogs ETF (IDOG) is a play on ex-U.S. dividend-paying equities. To be specific, the $394.22 million ETF focuses on developed market equities and it's a dividend yield strategy.

International equities have finally gotten their respective acts together relative to U.S. stocks. That resurgence includes dividend payers.

A smart beta exchange traded fund, the ALPS International Sector Dividend Dogs ETF (IDOG) debuted on 06/28/2013, and offers broad exposure to the Foreign Large Value ETF category of the market.

International ETF investing has been a key theme so far in 2025, boosting portfolios significantly for numerous investors. Already, on a YTD basis, numerous such strategies have outperformed key domestic funds, offering diversification alongside those returns.

I rate IDOG a buy: the Dogs of the Dow strategy is a proven risk-adjusted outperformance and high dividend yield. IDOG offers superior long-term returns and Sharpe ratios versus ACWX, though it comes with higher concentration and liquidity risks, making it best for long-term investors. ACWX provides broader diversification and emerging market exposure, but its higher valuation and lower yield make it less attractive in the current macro environment.

If the first half of 2025 had a story to tell in ETF land, it may well be the performance of international equities. Non-U.S. stocks and ETFs performed well amid serious tariff concerns, as many investors sought to diversify their portfolios.

After more than a decade of lackluster performance, established international and emerging markets are growing in popularity. What's driving this, and what could derail this investor enthusiasm?

It's been a strong year for ex-U.S. equities. International equities ETFs have done very well following the spring swoon for U.S. stocks.