This Vanguard ETF Tops Schwab in Returns and Cost for Global Investors
Compare risk and returns for the Vanguard FTSE Developed Markets ETF and the Schwab Emerging Markets Equity ETF.
Overview
The Vanguard FTSE Developed Markets ETF (NYSEMKT:VEA) provides cost-efficient exposure to established international economies, while the Schwab Emerging Markets Equity ETF (NYSEMKT:SCHE) focuses on the higher growth potential in developing nations.
International diversification allows investors to look beyond U.S. markets, but the choice between developed and emerging markets involves different risk profiles. This analysis compares the ultra-low-cost developed-market approach of VEA with the emerging-market strategy of SCHE to determine which fits a portfolio.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr 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.