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How Quality Dividend ETF XUDV Can Boost Portfolios Amid Risk

Between rising inflation, ongoing geopolitical conflict, and heavy concentration risk, advisors face plenty of challenges when trying to protect and grow client portfolios. As the market broadens and costs climb, the ETF ecosystem offers plenty of solutions for portfolio resilience. The Franklin U.S. Dividend Booster Index ETF (XUDV ) stands out as a compelling choice for that steadying role to close out 2026.Key Takeaways: XUDV has produced a strong return of 28.6% over the last 12 months, beating its category average. The fund has also produced strong yields, such as 4.2% for its 30-day SEC yield as of August 31st. With its low fee, the quality dividend ETF stands out as an attractive satellite addition for turbulence ahead. XUDV charges just nine basis points to track the VettaFi New Frontier US Dividend Select Index. The index includes large-cap U.S. firms to provide a high level of dividend yield. To maximize yield, the underlying index applies an optimization process that caps stock weights at 5% and sectors at 30% during its quarterly rebalancing. While the fund’s primary focus is generating those yields, it has also provided some notable returns. According to ETF Database data, XUDV has returned 28.6% over the last 12 months, outperforming its ETF Database All Cap Equities category average of 15.85%. XUDV has also done well YTD, returning 26.6% through September 11, outperforming the category average of 12.6%. That market outperformance provides a nice boost to the ETF’s main objective of delivering yields. According to Franklin Templeton data, XUDV produced a 4.2% 30-day SEC yield as of August 31 and a 3.26% distribution rate at NAV as of September 10. Overall, the strategy may make for a nice satellite addition to portfolios. Offering both upside and income alongside a low fee structure, XUDV is one to watch as global headwinds continue to stir. For more news, information, and analysis, visit the Thematic Investing Content Hub. VettaFi LLC (“VettaFi”) is the index provider for XUDV for which it receives an index licensing fee. However, XUDV is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of XUDV.

Performance data shown is past performance and is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. Yield and return will vary, therefore you have a gain or loss when you sell your shares. For standard quarterly performance, go to the fund's Snapshot page by clicking on the ETF/ETP's symbol.

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