SPDR Portfolio Developed World ex-US ETF and Vanguard FTSE Developed Markets ETF both earn buy ratings for global diversification and value. SPDW offers marginally superior risk-adjusted performance and lower volatility due to its optimized sampling, excluding micro-caps and focusing on core developed nations. Both ETFs provide lower P/E ratios than US markets, strong exposure to Japan's corporate reforms, and sectoral positioning in industrials and tech hardware.
I maintain a buy rating on SPDW, citing its low valuation, strong momentum, and technical breakout above long-term resistance. SPDW is outperforming the S&P 500 YTD, with attractive Sharpe ratios and a 2.88% yield, boosted by a weak dollar tailwind. The ETF offers broad exposure to developed markets, low expenses, high liquidity, and a favorable risk profile compared to US equities.
The SPDR Portfolio Developed World ex-US ETF invests in non-US stocks, primarily in Japan, the United Kingdom, and Canada. SPDW's portfolio is more attractively valued relative to the S&P 500, partially driven by an overweight position in Financial stocks. The unraveling of the carry trade strategy highlights the appeal of non-US stocks for US investors.
| XBER Exchange | US Country |
The company specializes in investment funds that focus on providing investors with exposure to a broad range of publicly traded companies located in developed countries outside of the United States. By investing at least 80% of its total assets in securities included in its defined index, along with depositary receipts based on those securities, the fund aims to match the performance of a float-adjusted market capitalization weighted index. This strategy targets the investable universe of international companies, excluding the U.S., thereby offering investors an opportunity to diversify their investment portfolios by tapping into markets abroad.
This product encapsulates the company's primary service offering, wherein the fund invests substantially all its assets into securities and depositary receipts that compose the target index. The index, being float-adjusted and market capitalization weighted, is meticulously designed to encapsulate a vast spectrum of companies domiciled in developed nations, excluding the United States. This investment vehicle is engineered for investors seeking diversified international exposure, targeting developed markets to harness growth outside of the U.S. economy.