The article compares two international ETFs, the iShares Core MSCI Total International Stock ETF (IXUS) and the iShares Core MSCI EAFE ETF (IEFA), highlighting that IXUS has outperformed the S&P 500 over the past year and offers greater diversification with over 4,000 stocks. While both ETFs have low fees and strong dividend yields, IXUS is considered a better long-term investment due to its broader market exposure, despite IEFA providing a higher dividend yield.
For a professional investor seeking international diversification, the iShares Core MSCI Total International Stock ETF (IXUS) offers a compelling option due to its exposure to over 4,000 global stocks, including emerging markets like South Korea and Taiwan. This ETF has outperformed the S&P 500 over the past year and delivered strong returns over the past decade. Given its broader diversification and significant tech sector weighting, IXUS could be a strategic choice for those looking to hedge against potential downturns in U.S. markets while tapping into global growth opportunities.