Investor Attention Turns To U.S. Divs For RV Play

Some investors have turned their attention to U.S. dividends given that the strategy can offer a compelling risk-reward in times where stock market valuations are high. While many investors have previously looked at European dividends due to its positive roll-up carry trade, the U.S. has often been overlooked due to is upward sloping term structure. However, now the U.S. dividend futures market seems to be gaining traction as yield-starved investors are starting to explore opportunities beyond curve trades, such as trading dividends versus the underlying index.