Franklin Templeton has opened its US dividend Tilt Ucits ETF to European investors with listings on the LSE, Xetra, Borsa Italia and Euronext Paris.
The ETF focuses on US large and mid-cap stocks, following the Morningstar US Dividend Enhanced Select Index-NR with 282 US securities. It charges investors 0.12%.
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The company now has a total of 26 index-tracked ETFs, with a global ETF platform encompassing $33bn assets under management.
Caroline Baron, head of ETF distribution for EMEA at Franklin Templeton, said: “As US equities are an important allocation for our clients, we are delighted to offer this differentiated US equity income solution, which provides both a tilted exposure towards dividend-paying stocks and a high US equity market participation.
“The ETF is particularly suited for investors looking to generate income and capitalise on the potential growth of US equities, which are known for offering lower yields, but higher capital appreciation compared to other developed markets.”
Dina Ting, head of global index portfolio management, and Lorenzo Crosato, ETF portfolio manager, will oversee the strategy.
“Enhanced yield can help investors weather potential volatility given uncertainties over major policy changes, such as tariffs and their impact on inflation and balance of trades,” Ting said.
“Our rules-based strategy, featuring a relatively low active risk compared to the broad market, can be an ideal core or satellite allocation for investors seeking diversified US market exposure.”