Schwab International Opportunities Fund (SWMIX)

Overview

The fund is designed for investors looking to diversify their investment portfolio internationally, focusing on equity securities of companies located outside the United States. It operates with the flexibility to invest across all market capitalization ranges, emphasizing developed markets while also considering opportunities within emerging markets. The fund's strategy involves using derivatives such as futures contracts to potentially enhance returns on uninvested cash or to directly mirror the performance of underlying assets. This approach allows the investment managers to adapt to various market conditions while aiming to increase returns for the fund's investors.

Products and Services

• Equity Securities Investment

  The fund invests a significant portion of its assets in equity securities of non-U.S. companies, exploring opportunities across various sectors and industries. This investment approach aims to provide fund investors with exposure to international markets, potentially leading to diversified investment portfolios and possibly higher returns compared to domestic-only investment strategies.

• Market Capitalization Range Flexibility

  Investments are not limited by the size of companies, as the fund targets companies across all market capitalization ranges. This broad strategy enables the fund to invest in large, well-established companies as well as smaller, growth-oriented firms, depending on where the most promising opportunities are identified.

• Focus on Developed and Emerging Markets

  While the primary focus remains on developed markets, known for their stability and lower risk compared to emerging markets, the fund also seeks investment opportunities in emerging markets. This balanced approach aims to combine the safety of developed market investments with the high-growth potential of emerging market investments.

• Derivative Use

  Derivatives, primarily futures contracts, are employed by the fund to seek additional returns on its otherwise uninvested cash assets. Derivatives may also serve as substitutes for direct investments in underlying assets. This strategy provides the fund with flexibility to navigate various market conditions and opportunities, potentially enhancing overall returns.