Better Foreign Markets ETF: Vanguard's VT vs. State Street's SPDW
SPDW charges half VT's expense ratio and delivers double the dividend yield, but VT's broader 9,773-stock portfolio has outperformed over five years.
Overview
The primary distinction between the Vanguard Total World Stock ETF (NYSEMKT:VT) and State Street SPDR Portfolio Developed World ex-US ETF (NYSEMKT:SPDW) is their geographic scope and inclusion of domestic equities.
These funds serve different roles in a portfolio. While one aims to capture the entire global stock market in a single fund, the other acts as a specialized tool for investors who already have U.S. exposure and want to add developed foreign markets efficiently.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-year return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.