IDVO Up 38%: I’m Adding More Global

In June 2025, I reviewed my first global ETF because I wanted diversification beyond the U.S. That fund was IDVO, and a few months later I bought it. I added more in February 2026.

Since that first review, the S&P 500 has delivered a remarkable 31% total return. So how has the global fund done? Surprisingly well. IDVO has returned about 38%. That is not what many investors expect from an international fund, especially one yielding only 5.6%. Normally, I want a higher yield than that, but in IDVO’s case, I made an exception.

Distribution History

One reason I have stayed interested in IDVO is the improving income stream. When I first reviewed it in June 2025, the distribution was 16.88 cents. The most recent payout is just over 21 cents, which is roughly a 25% increase in about a year. That makes the modest yield a lot easier to accept.

IDVO’s monthly distributions have steadily trended higher, helping offset its lower headline yield.

I also hold NIHI from NEOS, which yields 9.9%. The tradeoff is that NIHI is designed more for income, while IDVO offers a better mix of income and growth.

On an annual basis, IDVO’s income trend is even clearer, with payouts moving steadily up and to the right.

Total Return and Competition

Returns have been strong across international funds lately. Since my first IDVO review, it has spent much of the period ahead of the S&P 500 on a total return basis. NIHI has not kept up with IDVO since launch, but it has kept pace with the S&P 500, which is still respectable.

Why hold both? Diversification. IDVO actively manages about 50 to 60 stocks, while NIHI is based on an index of more than 2,600 international stocks. The overlap in their top holdings is limited, so they complement each other well.

IDVO has held up impressively against the S&P 500, showing that international exposure has recently paid off.

When looking for a third international fund, I screened for three things: at least a 5% yield, a 100% non-U.S. portfolio, and strong 5-year total return. That process narrowed the field to OVF and IDV. On that basis, IDV came out ahead.

Among the international income funds reviewed, IDV stood out on 5-year total return.

What Is IDV?

IDV is BlackRock’s iShares International Select Dividend ETF. It has been around since 2007 and manages more than $8 billion, so it is well established. Unlike IDVO and NIHI, it does not use options. Its income comes from dividends, which is why the yield is only a little above my 5% minimum. The distributions are lumpier quarter to quarter, but when blended with IDVO and NIHI, that lumpiness gets smoothed out.

My Take

This is not about predicting the dollar, or betting that international stocks must outperform U.S. stocks. For me, it is about diversification.

U.S. assets have an excellent long-term record, but I do not want all my eggs in that basket. That is why I maintain exposure to global income funds alongside gold, silver, and Bitcoin. IDVO has earned its place in my portfolio, NIHI adds higher income, and IDV looks like a strong third option with a long history and competitive total return.

To learn more, click here for the full Review.

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