Description

The BMO International Dividend Hedged to CAD ETF (ZDH.TO) offers investors a yield-weighted exposure to dividend-paying equities found in developed international markets, specifically those located outside of North America. The ETF's investment selection follows a systematic, rules-based approach, evaluating companies based on their three-year dividend growth rate, current yield, and payout ratio. Additionally, all chosen securities must satisfy a liquidity screening process. To mitigate currency fluctuations, the fund's foreign currency exposure is actively hedged back to the Canadian dollar. The underlying portfolio is rebalanced each May and undergoes a full reconstitution in November. A key feature of ZDH, as a fund of funds, is that its management fees are offset by any fees already incurred within its constituent funds.