At a glance
LVHI charges 0.4% a year, above the 0.18% average of the 3 funds most like it (the most expensive of 4). It has $5.00B in assets, the 2nd largest of that group; it paid 4.55% of its price in distributions over the past 12 months, quarterly. Over the past year it returned +27.0% with distributions reinvested (S&P 500: +11.5%), the best of those 4 funds; over three years it returned +24.7% a year. At its worst it fell 32.3% in the 2020 crash (S&P 500: 33.7%) and 11.3% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 15 months and 2 months after the lows. Its ten largest positions make up 21.2% of the fund, out of 193 in all.
The short version
Franklin International Low Volatility High Dividend Index ETF (LVHI) tracks a Franklin index of dividend-paying stocks from developed markets outside the US. It favors steadier, profitable companies such as Shell, BHP and Bank of Nova Scotia. It also hedges currency moves against the US dollar. Its trailing 12-month yield was 4.55% as of October 27, 2026, but its 0.40% expense ratio is well above the 0.18% average of similar funds.
Price history
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LVHI +27.0% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| LVHI official prospectus, to Dec 31, 2025 | — | +27.77% | — | +16.30% | — | +10.53% |
| MSCI World Ex USIMI Local Index NR index, same period | — | +22.20% | — | +11.62% | — | +9.60% |
| LVHI price data to Oct 27, 2026 | +20.4% | +27.0% | +24.7% | +17.2% | +11.8% | +11.6% |
- Over the year to Oct 27, 2026, LVHI returned +27.0%, 1st of 4 among similar funds.
- Its 5-year annualized return was +17.2% and its 10-year +11.8%.
- In the 2020 COVID crash it fell 32.3% and regained its old high 14.8 months after the low.
- Its worst full calendar year was 2020 (-8.8%); its best was 2025 (+27.1%).
- The deepest fall in its price history was 32.3% (Feb 20, 2020 to Mar 16, 2020), recovered by Jun 8, 2021.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +20.4% | — |
| 2025 | +27.1% | +27.77% |
| 2024 | +15.9% | +15.55% |
| 2023 | +17.5% | +17.22% |
| 2022 | +3.5% | +3.80% |
| 2021 | +18.2% | +18.42% |
| 2020 | -8.8% | -8.79% |
| 2019 | +18.3% | +18.81% |
| 2018 | -5.2% | -5.44% |
| 2017 | +12.3% | +11.66% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 31.6% over that stretch · deepest drop along the way 32.3%, back to its old high 14.8 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 6.8% over that stretch · deepest drop along the way 11.3%, back to its old high 1.6 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.1500 | |
| 2025 | $1.8100 | +19.9% |
| 2024 | $1.5100 | -32.9% |
| 2023 | $2.2500 | +19.7% |
| 2022 | $1.8800 | +72.5% |
| 2021 | $1.0900 | +19.8% |
| 2020 | $0.9100 | -48.9% |
| 2019 | $1.7800 | -31.3% |
| 2018 | $2.5900 | +169.8% |
| 2017 | $0.9600 |
What's inside
As of Jun 30, 2026, the fund held 193 securities; the ten largest made up 21.19% of assets.
| Holding | Weight | |
|---|---|---|
| SHELL PLC | 2.30% | |
| BHP GROUP LTD | 2.21% | |
| INTESA SANPAOLO SPA | 2.19% | |
| BANK OF NOVA SCOTIA (THE) | 2.19% | |
| RIO TINTO PLC | 2.14% | |
| UNILEVER PLC | 2.13% | |
| NOVARTIS AG | 2.13% | |
| CANADIAN IMPERIAL BANK OF COMMERCE | 2.00% | |
| CANADIAN NATURAL RESOURCES LTD | 1.99% | |
| SUNCOR ENERGY INC | 1.90% | |
| NESTLE' SA/AG | 1.75% | |
| GSK PLC | 1.75% | |
| ALLIANZ SE | 1.70% | |
| BANCA MONTE DEI PASCHI DI SIENA SPA | 1.66% | |
| ROCHE HOLDING AG Preferred stock | 1.61% |
By country
Canada 14.51%United Kingdom 14.45%Japan 13.31%France 9.8%Switzerland 7.7%By asset type
Stocks 94.49%Preferred stock 2.07%What changed recently
- Over the three months to Jun 30, 2026, investors added a net $353.8M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +1.90%, +0.59%, +0.26%.
How it works
LVHI tracks the Franklin International Low Volatility High Dividend Hedged Index. Franklin Advisers, the fund's subadviser, built the index. It starts with stocks of all sizes in the MSCI World ex-US IMI Local Index. A stock must have made a profit over its last four quarters as a whole and must pay, or be expected to pay, a dividend. Each stock then gets a "stable yield" score. Its yield is marked down if its price or earnings swing a lot, or if its home country has high interest rates. Steadier stocks from lower-rate countries are marked up. The index also allows for foreign withholding taxes on dividends.
Weights are set to maximize that score, within limits at each reconstitution. No stock may exceed 2.5%, no sector 25%, no country 15% and no region 50%. Real estate investment trusts (REITs) are capped at 15% in total. The index expects to hold 50 to 200 stocks. It is rebuilt once a year and rebalanced every quarter. As of June 30, 2026, the fund held 193 issuers, and its top 10 made up 21% of assets.
The fund uses currency forward contracts, which are agreements to swap currencies at a set rate on a future date, to offset its exposure to foreign currencies. These hedges are generally reset monthly. The hedge helps when foreign currencies fall against the dollar and hurts when they rise.
What it really costs
- LVHI charges 0.4% a year, versus an average of 0.18% for the similar funds below (4th of 4, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $41 in the first year and $506 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| LVHI | $41 | $129 | $225 | $506 |
In a retirement portfolio
LVHI is built to deliver steadier dividend income from non-US stocks, with a trailing yield of 4.55% paid quarterly as of October 27, 2026.
LVHI adds non-US dividend income. Its trailing 12-month yield was 4.55% as of October 27, 2026, or $1.96 per share, paid quarterly. Its record in sell-offs is mixed. In the 2020 COVID crash it fell 32.3% between February 20 and March 16, 2020. It did not regain that peak until June 8, 2021, about 15 months later. Anyone selling shares in that stretch would have locked in losses. It did better in 2022: its deepest drop was 11.3%, it recovered in under two months, and it gained 3.8% for the calendar year. Its worst calendar year was 2020, at -8.79%. The fund launched in 2016, so it has no 2008 record. It costs 0.40% a year, or $41 in the first year on $10,000 under the SEC's standard example. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Income-focused investors who want quarterly dividends from non-US companies, with a trailing yield of 4.55% as of October 27, 2026.
- Investors who want foreign stocks without the currency swings, since forward contracts hedge foreign currencies back to the US dollar.
- Investors comfortable with heavy weights in Canada, the UK and Japan, and in banks, energy and mining names like Shell and BHP.
Look elsewhere if
- Cost-conscious investors: the 0.40% expense ratio is the highest of its peer group, where similar funds average 0.18%.
- Investors who want to gain when foreign currencies rise against the dollar, because the hedge removes that potential boost.
- Anyone expecting low volatility to mean small losses: the fund fell 32.3% in early 2020 and took about 15 months to recover.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
Net assets from each fund's latest N-PORT or annual report where available. Returns through Oct 27, 2026.Questions investors ask
Does LVHI pay monthly dividends?
No. LVHI pays dividends quarterly. Over the 12 months to October 27, 2026, it paid $1.96 per share, a trailing yield of 4.55%. Its index is built to favor stocks with high but steady yields, and it allows for foreign withholding taxes so they take less out of the payout. Still, the dividends can change. The prospectus warns that companies may cut or stop their payouts.
What's the difference between LVHI and VYMI?
Both own high-dividend stocks outside the US, and about 33% of their holdings overlap. Vanguard International High Dividend Yield ETF (VYMI) costs much less, at 0.17% a year against LVHI's 0.40%. It is also far larger, with about $21.9 billion in net assets as of July 31, 2026. LVHI also screens for low price and earnings volatility and hedges currencies. LVHI returned 27% over one year to October 27, 2026. VYMI returned 23.4% over one year to October 29, 2026.
Is LVHI currency hedged?
Yes. LVHI uses foreign currency forward contracts to offset its exposure to the currencies its stocks trade in, and it generally resets them monthly. When those currencies weaken against the US dollar, the fund should beat an unhedged version. When they strengthen, it should lag. The prospectus notes that hedging cannot remove currency effects entirely. Currency derivatives made up about 1.9% of the portfolio as of June 30, 2026.
How much does LVHI cost per year?
LVHI's expense ratio is 0.40%, according to its July 2026 prospectus. That is all management fee, with no fee waiver. Under the SEC's standard example, $10,000 invested with a 5% annual return would cost about $41 in the first year, $225 over five years and $506 over ten years. The average for similar funds is 0.18%. VYMI, QLVD and IDLV all cost less, at 0.17%, 0.12% and 0.25%.
Is LVHI less volatile than the stock market?
Usually, but not always. Over the year to October 27, 2026, its beta was 0.32, meaning it moved about a third as much as the market. Its volatility was 9.4%. That held in the 2022 bear market, when its deepest drop was 11.3% and it still gained 3.8% for the year. In the 2020 COVID crash, though, it fell 32.3%. Its worst quarter was a 22.18% loss in early 2020.