Equity: Developed Markets Ex-U.S. - Total Market
With 40 ETFs and over $172.14B in combined AUM, the Equity: Developed Markets Ex-U.S. - Total Market segment provides exposure to the Developed Markets Ex-U.S. space with a focus on Total Market securities.
Year-to-date, the best-performing ETF in the segment is the Invesco DWA Developed Markets Momentum ETF (PIZ), with a total return of 23.53%. Meanwhile, the most popular ETF is the Vanguard FTSE Developed Markets ETF (VEA) with $107.25BB in assets under management.
Investors should take a look at the Schwab International Equity ETF (SCHF). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. SCHF tracks the FTSE Developed ex-US Index, a market-cap-weighted index that consists of large- and midcap stocks in developed markets. SCHF has an expense ratio of 0.06% and tracks the FTSE Developed ex-US Index.
ETF.com Efficiency Insight
The average efficiency score in the Equity: Developed Markets Ex-U.S. - Total Market segment is 75 out of 100, with the Vanguard FTSE Developed Markets ETF(VEA) obtaining the highest rating of 98 out of 100.
Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.38% per year, with the SPDR Portfolio Developed World ex-US ETF (SPDW) having the lowest expense ratio, charging investors 0.04% yearly.
Investors should look for funds with tight tracking, such as the Vanguard FTSE Developed Markets ETF (VEA), with a 12-month median tracking difference of 0.01%.
ETF.com Tradability Insight
The average tradability score in the Equity: Developed Markets Ex-U.S. - Total Market segment is 59 out of 100, with the SPDR Portfolio Developed World ex-US ETF(SPDW) obtaining the highest rating of 90 out of 100.
The Vanguard FTSE Developed Markets ETF (VEA) is the undisputed segment leader when it comes to liquidity. The fund trades 344.61M in daily average volume. Investors should also find ample liquidity in the Schwab International Equity ETF (SCHF), with $87.45M in daily dollar volume.
Use limit orders to trade funds such as the Columbia Sustainable International Equity Income ETF(ESGN), due to their double-digit market spreads.
ETF.com Fit Insight
The MSCI World ex USA IMI has been selected as the index that most accurately represents the market in question. The benchmark has been selected by the ETF Analytics team at FactSet, according to a series of guidelines to ensure this index accurately captures its market.
Investors trying to match a broad market exposure should pay attention to VEA. This fund obtains a high Fit score and investors should capture market-like returns.
Other funds diverge from the market, by nature of their investment mandates; for example, IDHD follows a Multi-factor strategy and obtains a low Fit score compared with our neutral benchmark.