Advisors and investors with a large overweight to U.S. equities felt the pain of significant drawdowns mid-April, as U.S. tariffs sent markets into a tailspin. Diversifying internationally could prove advantageous in 2025, given the muddied outlook for U.S. markets. The American Century Quality Diversified International ETF (QINT ) offers the benefits of quality, growth, and value factors all within a single strategy while curtailing risk.
During periods of turbulence and market stress, diversified portfolios offer a number of potential benefits. Diversifying across as well as within asset classes may lead to differentiated return and volatility profiles. Diversification also allows investors to adjust portfolio risk, depending on their risk appetite.
Given the challenges that U.S. equities contend with this year, looking abroad for opportunities may prove beneficial. For those investors seeking lower risk profiles while investing internationally, a focus on quality and developed markets is worth consideration.
Invest Internationally With QINT
QINT seeks to track the American Century Quality Diversified International Equity Index. The strategy focuses on large- and midcap companies primarily in developed markets. The companies included demonstrate quality, growth, and value and offers diversified performance compared to U.S. equity benchmarks. The strategy currently generates notable performance in a challenging market environment.
Stocks in the index are measured for fundamentals that include elevated profitability, returns, and gross margins. The strategy also takes into account earnings, debts, and the company’s momentum. Each stock is assigned a growth and a value score that measures metrics such as sales and cash flows on the growth side as well as dividend and earnings yields on the value side.
QINT offers notable diversification for those looking to broaden internationally but minimize potential risks. Stocks are weighted by their growth and value score and bucketed by country. Top countries by portfolio weight included Japan (21%), the United Kingdom (12%), and France (10%) as of March 31, 2025. Due to its focus on developed markets, the fund has significant exposure to Europe (63%), followed by the Asia Pacific (26%), North America (9%), and the Middle East (1%) over the same period.
The strategy remains nimble, with monthly rebalances of both the index and the ETF. It carries an expense ratio of 0.39%.
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VettaFi LLC (“VettaFi”) is the index provider for QINT, for which it receives an index licensing fee. However, QINT is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of QINT.
