VEA: Lower Correlations And Cheaper Valuations Make The Case

Declining correlations between developed markets and U.S. equities improve diversification and, combined with valuation spreads that favor international stocks, suggest more attractive forward returns versus the U.S. A low-cost, highly liquid ETF (VEA) is highlighted as a practical vehicle to gain diversified international exposure with minimal concentration risk.

Analysis

Declining correlations between developed markets and U.S. equities improve diversification and, combined with valuation spreads that favor international stocks, suggest more attractive forward returns versus the U.S. A low-cost, highly liquid ETF (VEA) is highlighted as a practical vehicle to gain diversified international exposure with minimal concentration risk.