■ Analysis · August 27, 2026
IDVO International Dividend ETF Yields 5.93%, Beats MSCI ACWI ex USA Since Inception
Amplify CWP International Enhanced Dividend Income ETF (IDVO) offers a 5.93% distribution rate, nearly double SCHD's yield, and has outperformed its benchmark since inception.
IDVO's Approach to International Dividends
The Amplify CWP International Enhanced Dividend Income ETF (IDVO) is an actively managed fund that targets high-quality international large- and mid-cap companies. It holds stocks directly or through American Depositary Receipts (ADRs), which provide access to liquid U.S. options markets. The fund's managers start with the MSCI ACWI ex USA Index and then apply criteria such as earnings growth, free cash flow generation, dividend growth, return on equity, market capitalization, and management quality. They have the flexibility to adjust country, sector, and individual stock weightings based on their outlook.
Covered Call Strategy and Yield
IDVO employs a tactical covered call strategy, selectively writing calls on individual holdings rather than mechanically overwriting an entire index. Managers adjust strike prices, expiration dates, and overwrite levels in response to market conditions. This approach aims to generate option income while preserving upside participation. As of the July monthly distribution, IDVO offers a 5.93% distribution rate, which is nearly double the 3.23% 30-day SEC yield of the Schwab U.S. Dividend Equity ETF (SCHD).
Performance and Costs
Since inception through June 30, IDVO's net asset value has delivered a cumulative total return of 111.16%, outperforming its benchmark, the MSCI ACWI ex USA Index, which returned 95.01% over the same period. This outperformance is notable for a covered call fund, as many such strategies lag their benchmarks. However, IDVO's active management comes with a higher expense ratio of 0.65%, compared to SCHD's 0.06%. The fund's success depends on manager skill, and there is no guarantee of future outperformance.
What it means for income investors
IDVO offers a higher yield than many U.S. dividend funds and has a track record of beating its international benchmark. For income-focused investors seeking international diversification, IDVO presents a potentially attractive option, though its higher fees and active management risk should be weighed carefully.
Reporting based on: 24/7 Wall St.. Figures verified against market data where available.