Several ASX exchange-traded funds (ETFs) are set to pay monster distributions (dividends) this season.
Here are six ASX ETFs that will pay dividends worth 10% or more of their current unit prices.
Yep, that's a 10%-plus dividend yield in a single payment –not annually!
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Monster dividend payers this season
VanEck Gold Miners ETF (ASX: GDX)
This ASX ETF will pay a distribution of $17.99 per unit this season.
ASX GDX is $111.44 per unit today, which means the next dividend represents a 16% yield.
Read more about why the GDX ETF dividend is so big here.
VanEck MSCI International Value ETF (ASX: VLUE)
This ASX ETF will pay $6.65 per unit.
ASX VLUE is $43.75 per unit on Tuesday, which means the next dividend represents a 15% yield.
VanEck Video Gaming and Esports ETF (ASX: ESPO)
This ASX ETF will pay $1.93 per unit.
ASX ESPO is $15.76 per unit today, so that's a 12% dividend yield.
VanEck MSCI Multifactor Emerging Markets Equity ETF (ASX: EMKT)
This ASX ETF will pay $4.64 per unit.
ASX EMKT is $41.36 per unit today, which means the next dividend represents an 11% yield.
VanEck Morningstar International Wide Moat ETF (ASX: MOAT)
This ASX ETF will pay $2.68 per unit.
GOAT ETF is $27.72 per unit at the time of writing.
That means the next distribution represents a 10% yield.
The ex-dividend date for VanEck ETFs is tomorrow, 1 July.
Global X Battery Tech & Lithium ETF (ASX: ACDC)
This ASX ETF will pay $16.27 per unit.
ASX ACDC is $158.50 per unit today, which means the next dividend represents a 10% yield.
The ex-dividend date for Global X ETFs is Friday, 3 July.
What's turbocharging ETF dividends this season?
ASX ETFs holding international shares are paying out sensational distributions mainly due to the US markets hitting new record highs this year.
Some of the biggest payers are also actively managed ETFs.
Active managers can buy and sell stocks whenever they like, whereas index-tracking ETFs only trade when the indexes change (usually every quarter).
So, active managers have more agency to realise strong capital gains at a time of their choosing.
Another significant factor is currency hedging.
The US dollar has weakened while the AUD has strengthened over the past 18 months. This has turbocharged distributions for some currency-hedged ETFs.
The AUD/USD reached a 4-year high above 74 cents in May. You can read more about the impact of currency hedging here.
A fourth factor is supercharged miners' earnings due to surging commodity prices, particularly gold and lithium.
Own other ETFs?
If you own Vanguard ETFs, see this season's distributions here.
Interested in other VanEck ETFs? View dividends here.
If you own Betashares ETFs, see distributions here.
If you're invested in iShares ETFs, see dividends here.
Invested in other Global X ETFs? Find out your next distribution here.
