(HDEF) Xtrackers MSCI EAFE High - Ratings and Ratios

The Xtrackers MSCI EAFE High Dividend Yield Equity ETF (HDEF) is designed to track the performance of high-dividend-yielding equities in developed markets outside the US and Canada, with a focus on sustainability and persistence of dividend income. By investing at least 80% of its assets in component securities of the underlying index, the fund provides exposure to a basket of high-quality, dividend-paying stocks.

The underlying index is a subset of the MSCI EAFE Index, comprising equities with higher dividend yields and quality characteristics than the parent index. This suggests that the fund is positioned to benefit from the relatively higher income generation and potentially lower volatility associated with high-dividend-yielding stocks. As a non-diversified fund, HDEF may be more susceptible to stock-specific risks, emphasizing the importance of careful stock selection.

From a technical analysis perspective, the current price of $29.39 is above its 20-day, 50-day, and 200-day moving averages, indicating a positive trend. The Average True Range (ATR) of 0.24 (0.82%) suggests relatively moderate volatility. Given the current price is at its 52-week high, we can anticipate potential resistance at this level. A breakout above $29.39 could lead to further upside, while a pullback could find support around $28.81 (SMA20).

Combining technical and fundamental insights, we forecast that HDEF will continue to perform well in a low-interest-rate environment, as investors seek higher yields. The funds AUM of $2017.17M USD indicates a reasonable level of liquidity. As the underlying index is designed to prioritize dividend sustainability and quality, we expect HDEF to maintain its dividend income stream, potentially attracting income-seeking investors. Our forecast suggests a potential price target of $31.50 in the next 6-12 months, assuming the current trend continues and dividend yields remain attractive relative to other asset classes.