Altruist Financial Advisors LLC
Fee-Only Investment Management

Foreign Dev Mkts Lrg Cap Value Funds

 

Home
About Altruist
Our Code of Ethics
How We Save You $
Our Services & Fees
Fee Comparison
Investing Strategies
Investments
DFA vs. Vanguard
Nationwide Service
Our Guarantee
Reading Room
Contact Information
Search
Site Map

There is at least one good reason why most investors should consider investing a portion of their portfolios in foreign stocks:

bulletForeign stocks have imperfect correlations with domestic stocks, so including them in a portfolio should improve the portfolio's risk/return characteristics.

Additionally, there is good reason to believe that large value stocks will, in the long run and on average, tend to have higher risk-adjusted returns than large growth stocks.

For more information on investing overseas, see here.

There are several similar-seeming investment options available.  Which is best?

The funds are listed in rough order of our overall preference.

Preferences are listed separately for use in retirement accounts and for taxable accounts.

For a listing of our preferences in other asset classes, see here.

Retirement Accounts (i.e., tax-deferred or tax-exempt accounts)

bulletDFA International Value Portfolio (DFIVX).  E/R: 0.28%.  This fund invests in stocks of foreign companies whose market capitalization is at least $800M and whose book-to-market ratio is in the upper 30% of the investment universe for each country.  Country weighting conforms to that of the MSCI EAFE index.
 
bulletDFA International Value ETF (DFIV).  E/R: 0.27%.  This ETF invests in stocks of foreign companies whose market capitalization is at least $800M and whose book-to-market ratio is in the upper 30% of the investment universe for each country.  Country weighting conforms to that of the MSCI EAFE index.
bulletAvantis International Large Cap Value ETF (AVIV).  E/R: 0.25%.  This ETF invests in stocks of large cap foreign developed mkt companies believed to be trading at low valuations with higher profitability ratios.
bulletiShares Edge MSCI Intl Value Factor ETF (IVLU).  E/R: 0.30%.  This ETF tracks the MSCI World ex USA Enhanced Value Index of valuey large cap stocks from developed market countries excluding the US.
 
bulletiShares MSCI EAFE Value Index Fund (EFV).  E/R: 0.34%.  This ETF tracks the MSCI EAFE Value Index of valuey large cap stocks from non-North American developed market countries.
 
bulletAlpha Architect International Quant Value ETF (IVAL).  E/R: 0.39%.  This ETF tracks the Alpha Architect International Quantitative Value Index.  This index is valuey and strong in exposure to profitability.
 
bulletVanguard International Value Fund (VTRIX).  E/R: 0.38.  This is an actively managed fund.

Taxable Accounts

bulletDFA International Value ETF (DFIV).  E/R: 0.27%.  This ETF invests in stocks of foreign companies whose market capitalization is at least $800M and whose book-to-market ratio is in the upper 30% of the investment universe for each country.  Country weighting conforms to that of the MSCI EAFE index.

bulletAvantis International Large Cap Value ETF (AVIV).  E/R: 0.25%.  This ETF invests in stocks of large cap foreign developed mkt companies believed to be trading at low valuations with higher profitability ratios.
bulletiShares Edge MSCI Intl Value Factor ETF (IVLU).  E/R: 0.30%.  This ETF tracks the MSCI World ex USA Enhanced Value Index of valuey large cap stocks from developed market countries excluding the US.
 
bulletiShares MSCI EAFE Value Index Fund (EFV).  E/R: 0.34%.  This ETF tracks the MSCI EAFE Value Index of valuey large cap stocks from non-North American developed market countries.
 
bulletAlpha Architect International Quant Value ETF (IVAL).  E/R: 0.39%.  This ETF tracks the Alpha Architect International Quantitative Value Index.  This index is valuey and strong in exposure to profitability.

horizontal rule

This web page contains the current opinions of Eric E. Haas at the time it is writtenand such opinions are subject to change without notice.  This web page is intended to serve two purposes:

bulletTo educate the public; and
bulletTo provide disclosure of Mr. Haas' opinions to prospective clients.  We believe that prospective clients are well-served by being made aware of what they are buyingand what they are buying is advice that is based on these opinions.

We believe the information provided here to be useful and accurate at the time it is written.  Information contained herein has been obtained from sources believed to be reliable, but is not guaranteed. 

No investor should invest solely on the basis of information listed here.  Before investing, it is important to consult each prospective investment's prospectus and consider both its risk/return characteristics and its effect on your overall portfolio.

This information is not intended to be a substitute for specific individualized tax, legal, or investment planning advice.  Where specific advice is necessary or appropriate, Altruist recommends consultation with a qualified tax adviser, CPA, financial planner, or investment adviser.  If you would like to discuss the rationale or support for any particular idea expressed on this web page, feel free to contact us.

 

Home ] About Altruist ] Our Code of Ethics ] How We Save You $ ] Our Services & Fees ] Fee Comparison ] Investing Strategies ] Investments ] DFA vs. Vanguard ] Nationwide Service ] Our Guarantee ] Reading Room ] Contact Information ] Search ] Site Map ]

Send mail to altruistfa@gmail.com with questions or comments about this web site.
Copyright 2002 - present Altruist Financial Advisors LLC.
Click here to view our current Customer Relationship Summary document.
Click here to examine our Privacy Policy.
In compliance with securities regulations, Altruist Financial Advisors LLC will not transact business in any state unless first registered there or qualified for an exemption or exclusion from registration there. Further, the advisor will not communicate any follow-up, individualized responses which render investment advisory services for compensation, unless first registered or qualified for an exemption or exclusion in the given state.