Luciano Siracusano, director of research at WisdomTree Investments, acknowledges the importance of expense ratios and yields, but advises investors to keep their eyes on the big picture.
"Cost is always important," he says. "But then, you need to look at yields as well as total returns. Total returns among funds can vary widely."
WisdomTree Total Dividend Fund
was launched in June, 2006 and has a yield of 3.25%. It tracks the WisdomTree Dividend Index with financials accounting for approximately a third of the fund's total weight.
(XOM - Get Report)
Johnson & Johnson
are among the Total Dividend Fund's top holdings. The fund presently trades about 10% below its year-ago levels.
In addition to high-yield U.S. ETFs, investors might find it to be worth their while to consider ETFs that have an international focus.
Krause finds the
WisdomTree Emerging Markets High-Yielding Equity Fund
to be particularly attractive right now.
"Emerging markets have gotten quite expensive in recent months," he says. "This fund is an excellent way to get defensive and still maintain international exposure."
The Emerging Markets High-Yielding Fund was launched in July, and has
Taiwan Semiconductor Manufacturing Company
among its top names. The fund tracks an index that has a dividend yield of 5.8%, and currently trades about 9% above its price from around the time of its inception last summer.
Although it does not focus specifically on emerging markets like the WisdomTree fund, the
PowerShares International Dividend Achievers Fund
has a good deal of exposure to Western Europe and Canada. The fund yields 3.0% and has top holdings such as