ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Future ETFs
    • Global Diversification
    • Gold/Silver/Critical Minerals
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Megatrends
    • Modern Alpha
    • Multi-Asset
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Core Strategies Channel
  2. International Equities Require a Screener, or This ETF
Core Strategies Channel
Share

International Equities Require a Screener, or This ETF

Ben HernandezFeb 16, 2023
2023-02-16

Venturing outside the boundaries of U.S. equities requires a discerning screener even if the advisor is recommending developed markets only. Every country has its own unique set of nuances that a global macroeconomic view can simply account for even if inflation is still a major catalyst.

What international equities can provide as a whole is portfolio diversification because different countries can be in various economic cycles. In times of upside, this can give international equities a leg up on U.S. equities, offering outperformance that investors may not be able to get domestically.

That is, of course, if the right equities are chosen. That in and of itself presents a unique challenge that warrants an aforementioned discerning screener.

“In our view, international equities can continue to outperform US cap-weighted indices, but regional and fund selection is crucial,” BofA’s global research team stated in a note to its clients, per a Seeking Alpha article.

Opt for Quality

One place to start, especially in economic times when a number of unknowns still remain, is quality. After a tumultuous 2022 where global inflation upended markets worldwide, the prevailing expectation is that a comeback awaits.

However, nobody knows what central banks will do, and interest rates could remain high for quite some time. That said, quality can give investors safety when markets reverse from the current rally with their ability to mute the downside.

One exchange traded fund (ETF) that gives investors the duality of international equities as well as the quality factor is the American Century Quality Diversified International ETF (QINT B+). Per its fund description, QINT seeks to capture the performance of large- and mid-capitalization companies outside the U.S. that possess attractive quality, growth, and valuation fundamentals.

The index universe includes the stocks of companies based in developed economies outside the U.S. and companies based in the rising economies of Taiwan, South Korea, Hong Kong, and China. In essence, the fund includes a mix of developed markets as well as emerging markets that offer growth exposure.

Diving deeper into its holdings, there are 379 equity issues as of December 31, 2022, so overconcentration is avoided. That diversification also lends itself to the number of sectors the fund invests in with sector weights heaviest in industrials (15%), financials (15%), and consumer discretionary (13%).

For more news, information, and analysis, visit the Core Strategies Channel.


Content continues below advertisement

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X