The Bottom Line
Despite its higher expense ratio, OUSA appears to be constructed of a very solid mix of dividend paying stocks through a dependable index provider. Currently this ETF does offer enough differentiating factors to make it worthy of your consideration when comparing equity income funds.
It will be interesting to follow how much initial attention is generated in OUSA based on fund flow data, as well as how the portfolio adapts over time. The market for dividend ETFs is certainly filled with many beloved products and attracting attention may prove to be a difficult battle.
According to prospectus filings, O’Shares is set to debut four additional international-focused dividend ETFs in the near future as well. That will help round out the fund family and offer strategies designed to excel under differentiating circumstances.
This article is brought to you courtesy of David Fabian from FMD Capital Management.