SCHF vs. SPGM: Which Global ETF Is the Better Buy for Investors?
SCHF offers lower costs and a higher dividend, while SPGM provides global exposure that includes both U.S. and emerging markets in a single fund.
Overview
Investors often choose between regional and global funds based on whether they already have U.S. stocks covered elsewhere in their portfolio. The Schwab International Equity ETF (NYSEMKT:SCHF) isolates developed international markets, making it a natural complement to a separate U.S.-focused portfolio. The State Street SPDR Portfolio MSCI Global Stock Market ETF (NYSEMKT:SPGM), on the other hand, functions as a "whole world" core holding that bundles U.S., developed, and emerging markets together.
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.
Details
With a 0.09% expense ratio, SPGM is an affordable way to own the entire global stock market, though its fee is slightly higher than SCHF's 0.03%. SCHF has the higher dividend yield as well, beating SPGM by 1.26 percentage points.
Source
Originally published at www.fool.com.