IDVO: The Right Pick For Income Investors To Capitalize On Dollar Decline

An international ETF with FX exposure, dividends, and covered calls can help investors profit from a weakening U.S. dollar.

Jan. 27, 2026 at 3:47pm

The U.S. dollar has been under pressure for some time due to factors like deep fiscal deficits and geopolitical tensions. Financial analyst Roberts Berzins argues that IDVO, a value-focused international ETF, is an attractive option for income investors looking to capitalize on the dollar's decline. IDVO offers FX exposure, a 3-4% dividend yield, and the use of covered calls to potentially generate 5-8% in total income.

Why it matters

As the U.S. dollar weakens, income investors are seeking ways to protect their portfolios and even profit from the currency's decline. IDVO provides exposure to international equities that can benefit from a falling dollar, while also generating consistent income through dividends and covered call options.

The details

IDVO is an international equity ETF that focuses on value-oriented stocks. By investing in non-U.S. companies, the fund provides exposure to foreign currencies that can appreciate relative to the U.S. dollar. In addition to this FX upside, IDVO also generates a 3-4% dividend yield. The fund further enhances its income stream by implementing a covered call strategy, which can potentially boost total returns by 5-8%.

  • The U.S. dollar has been under pressure for quite some time.

The players

Roberts Berzins

A financial analyst with over a decade of experience helping corporations shape their financial strategies. He is a CFA Charterholder, holds an ESG investing certificate, and has been involved in efforts to develop capital markets in the Baltic region.

IDVO

A value-focused international equity ETF that provides exposure to foreign currencies, dividends, and covered call options to generate income for investors.

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What they’re saying

“Capitalize on U.S. dollar erosion with IDVO: a value-focused international ETF with FX exposure, 3–4% dividends, plus covered calls for 5–8% income”

— Roberts Berzins, Financial Analyst (Seeking Alpha)

The takeaway

As the U.S. dollar faces ongoing pressure, income-oriented investors can consider IDVO as a way to generate consistent returns by capitalizing on foreign currency exposure, dividend income, and covered call options.