.It looks extra clients are eyeing reward supplies in front of the Federal Reservoir's rate of interest decision in September.Paul Baiocchi of SS&C ALPS Advisors thinks it is a sound approach because he finds the Fed reducing fees." Real estate investors are actually moving back towards rewards out of money markets, away from predetermined earnings, yet likewise importantly toward leveraged companies that might be rewarded by a decreasing interest rate environment," the chief ETF planner told CNBC's "ETF Advantage" this week.ALPS is actually the provider of many dividend exchange-traded funds including the mountain range O'Shares USA Premium Returns ETF (OUSA) as well as its own counterpart, the ALPS O'Shares USA Small-Cap Quality Reward ETF (OUSM). Relative to the S&P 500, both reward ETFs are actually over weight medical, financials and also industrials, depending on to Baiocchi. The ETFs omit electricity, realty as well as products. He describes the groups as three of the most unsteady fields available." Not only do you have cost volatility, but you have essential volatility in those markets," Baiocchi said.He explains this dryness would threaten the objective of the OUSA as well as OUSM, which is to supply drawdown evasion." You are actually seeking returns as component of the methodology, but you are actually examining dividends that are sturdy, returns that have actually been actually expanding, that are actually well supported through fundamentals," Baiocchi said.Mike Akins, ETF Action's founding partner, views OUSA and OUSM as protective strategies since the stocks typically have tidy equilibrium sheets.He likewise notesu00c2 the dividend category in ETFs has actually been rising in popularity." I don't have the crystal ball that details why rewards are thus in vogue," Akins mentioned. "I believe people take a look at it as if you're paying for a dividend, and you eat years, there is actually a feeling to viability to that provider's annual report.".