Franklin International Low Volatility High Dividend Index ETF

LVHI

Market cap $4.71B

Amid confusion about the future trajectory of the war in Iran, the possibility of a continued ceasefire, and the potential implications for the price of oil—and the market in general—it's understandable that many investors may be seeking stability. During a volatile time, it may make sense to turn to exchange-traded funds (ETFs) that are designed specifically to have lower volatility.

Volatility rising amid Middle East tensions? These 5 dividend ETFs under $50 offer steady income, diversification, and a defensive edge in uncertain markets.

Geopolitical conflicts are creating uncertainty in the markets. There is nothing markets dislike more than uncertainty, which is why there is so much volatility.

The Schwab US Dividend Equity ETF ( NYSEARCA :SCHD ) has been an excellent holding in the past few months, and it has undone many years of underperformance quite quickly.

At the recent Exchange conference, there was much chatter among advisors concerning the growing role of international dividends. Todd Mathias, Head of U.S. ETF Product Strategy & Development at Franklin Templeton, sat down with VettaFi to discuss the shift toward international dividend strategies.

All three of these ETFs are beating the market by a wide margin so far in 2026. They invest in stocks that perform well in market downturns.

Franklin Intl Low Volatility High Dividend Index ETF (LVHI) remains a buy, offering international exposure to high-quality, low-volatility dividend payers. LVHI's currency-hedged strategy and sector allocation—favoring financials, industrials, and energy—reduce volatility and shield against U.S. dollar fluctuations. Recent outperformance versus SPY is driven by capital rotation out of tech and into value sectors, with LVHI benefiting from AI-driven infrastructure demand.

For nearly two decades, the playbook for U.S. investors was simple: Buy domestic tech and enjoy the ride. However, the conversation has shifted toward a long-overdue resurgence of international investing.

Low-volatility ETFs may gain appeal as oil tops $100 amid escalating U.S.???Iran tensions.

Choppy S&P 500 moves, AI-driven tech sell-offs and a softer dollar are pushing investors to look beyond U.S. equities, toward global equity ETFs amid volatility.