Funds with highest expected yields over 5 years
August 15, 2016 3:00 PM
Clients looking for an income stream are mostly likely interested in bonds (whose most newsworthy aspect now are their low yields), or dividend-paying stocks.
We've highlighted the importance of dividends before, looking both at individual stocks, as well as the total returns of funds. However, those rankings were based on past performance data.
Biggest dividend increases from S&P 500 companies
Top funds by total returns
Now we're looking ahead at expected, future dividend ratios. Based on projections, of course, these mutual funds and ETFs have the highest expected dividends per share over the next five years, compared to their share price today.
Bear in mind, dividends can pile up over five years for an eye-popping projection (some are in the teens.) Moreover, when you look at the actual past return figures, you'll see many in the red. As with any potential investment, make sure clients know the risks and that it fits with their overall objectives.
Only funds with at least $100 million, and three years of operating history, were considered for the ranking. As always, we also show the expense ratios of each fund. All data from Morningstar.
We've highlighted the importance of dividends before, looking both at individual stocks, as well as the total returns of funds. However, those rankings were based on past performance data.
Now we're looking ahead at expected, future dividend ratios. Based on projections, of course, these mutual funds and ETFs have the highest expected dividends per share over the next five years, compared to their share price today.
Bear in mind, dividends can pile up over five years for an eye-popping projection (some are in the teens.) Moreover, when you look at the actual past return figures, you'll see many in the red. As with any potential investment, make sure clients know the risks and that it fits with their overall objectives.
Only funds with at least $100 million, and three years of operating history, were considered for the ranking. As always, we also show the expense ratios of each fund. All data from Morningstar.
15. PowerShares Intl Div Achiev ETF
Ticker: PID
3-Yr. Return: -1.82%
5-Yr. Dividend Yield: 7.65%
Expense Ratio: 0.58%
Fund Assets (millions): $672
3-Yr. Return: -1.82%
5-Yr. Dividend Yield: 7.65%
Expense Ratio: 0.58%
Fund Assets (millions): $672
14. Cornerstone Advisors Real Assets Instl
Ticker: CAREX
3-Yr. Return: -4.66%
5-Yr. Dividend Yield: 7.79%
Expense Ratio: 0.73%
Fund Assets (millions): $182
3-Yr. Return: -4.66%
5-Yr. Dividend Yield: 7.79%
Expense Ratio: 0.73%
Fund Assets (millions): $182
13. WisdomTree Emerging Markets High Div ETF
Ticker: DEM
3-Yr. Return: -4.33%
5-Yr. Dividend Yield: 7.83%
Expense Ratio: 0.63%
Fund Assets (millions): $1,502
3-Yr. Return: -4.33%
5-Yr. Dividend Yield: 7.83%
Expense Ratio: 0.63%
Fund Assets (millions): $1,502
12. Transamerica Dynamic Income
Ticker: IGTAX
3-Yr. Return: 4.63%
5-Yr. Dividend Yield: 7.95%
Expense Ratio: 0.89%
Fund Assets (millions): $455
3-Yr. Return: 4.63%
5-Yr. Dividend Yield: 7.95%
Expense Ratio: 0.89%
Fund Assets (millions): $455
11. SPDR S&P Emerging Markets Dividend ETF
Ticker: EDIV
3-Yr. Return: -5.53%
5-Yr. Dividend Yield: 8.32%
Expense Ratio: 0.53%
Fund Assets (millions): $292
3-Yr. Return: -5.53%
5-Yr. Dividend Yield: 8.32%
Expense Ratio: 0.53%
Fund Assets (millions): $292
10. Global X SuperDividend ETF
Ticker: SDIV
3-Yr. Return: 5.32%
5-Yr. Dividend Yield: 8.62%
Expense Ratio: 0.58%
Fund Assets (millions): $835
3-Yr. Return: 5.32%
5-Yr. Dividend Yield: 8.62%
Expense Ratio: 0.58%
Fund Assets (millions): $835
9. Multi-Asset Diversified Income ETF
Ticker: MDIV
3-Yr. Return: 3.93%
5-Yr. Dividend Yield: 8.71%
Expense Ratio: 0.50%
Fund Assets (millions): $871
3-Yr. Return: 3.93%
5-Yr. Dividend Yield: 8.71%
Expense Ratio: 0.50%
Fund Assets (millions): $871
8. iShares Emerging Markets Dividend
Ticker: DVYE
3-Yr. Return: -4.63%
5-Yr. Dividend Yield: 8.78%
Expense Ratio: 0.49%
Fund Assets (millions): $236
3-Yr. Return: -4.63%
5-Yr. Dividend Yield: 8.78%
Expense Ratio: 0.49%
Fund Assets (millions): $236
7. Direxion Daily Russia Bull 3X ETF
Ticker: RUSL
3-Yr. Return: -49.24%
5-Yr. Dividend Yield: 9.17%
Expense Ratio: 0.95%
Fund Assets (millions): $176
3-Yr. Return: -49.24%
5-Yr. Dividend Yield: 9.17%
Expense Ratio: 0.95%
Fund Assets (millions): $176
6. VanEck Vectors Russia ETF
Ticker: RSX
3-Yr. Return: -7.57%
5-Yr. Dividend Yield: 9.21%
Expense Ratio: 0.62%
Fund Assets (millions): $1,728
3-Yr. Return: -7.57%
5-Yr. Dividend Yield: 9.21%
Expense Ratio: 0.62%
Fund Assets (millions): $1,728
5. Longleaf Partners International
Ticker: LLINX
3-Yr. Return: -1.38%
5-Yr. Dividend Yield: 9.61%
Expense Ratio: 1.28%
Fund Assets (millions): $1,035
3-Yr. Return: -1.38%
5-Yr. Dividend Yield: 9.61%
Expense Ratio: 1.28%
Fund Assets (millions): $1,035
4. API Multi-Asset Income
Ticker: APIUX
3-Yr. Return: 2.36%
5-Yr. Dividend Yield: 9.62%
Expense Ratio: 1.12%
Fund Assets (millions): $690
3-Yr. Return: 2.36%
5-Yr. Dividend Yield: 9.62%
Expense Ratio: 1.12%
Fund Assets (millions): $690
3. Cornerstone Advisors Income Opps Instl
Ticker: CAIOX
3-Yr. Return: 0.84%
5-Yr. Dividend Yield: 10.60%
Expense Ratio: 0.54%
Fund Assets (millions): $191
3-Yr. Return: 0.84%
5-Yr. Dividend Yield: 10.60%
Expense Ratio: 0.54%
Fund Assets (millions): $191
2. PowerShares KBW High Div Yld Fincl ETF
Ticker: KBWD
3-Yr. Return: 4.08%
5-Yr. Dividend Yield: 13.04%
Expense Ratio: 0.35%
Fund Assets (millions): $213
3-Yr. Return: 4.08%
5-Yr. Dividend Yield: 13.04%
Expense Ratio: 0.35%
Fund Assets (millions): $213
1. Arrow Dow Jones Global Yield ETF
Ticker: GYLD
3-Yr. Return: -2.19%
5-Yr. Dividend Yield: 15.93%
Expense Ratio: 0.75%
Fund Assets (millions): $103
3-Yr. Return: -2.19%
5-Yr. Dividend Yield: 15.93%
Expense Ratio: 0.75%
Fund Assets (millions): $103
