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Vanguard FTSE Developed All Cap ex North America Index ETF (VIU)
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Vanguard FTSE Developed Markets ETF (VEA)
Q: I've got North America covered for my investments through stock purchases. How would you manage the rest or the world if one wanted diversification with a dividend bent. Would you purchase one ETV such as VEA or buy a few ETFs. Also what's a good starting point for a percentage of portfolio outside of North America.
Thanks
Thanks
5i Research Answer:
VEA is a fine ETF, in our view. It does have 9% exposure to Canada, but we think it would be fine for international exposure. Indicated yield is 2.75%. We also like VIU which is entirely ex-North America. If these are owned, there is not a lot of added utility in adding specific regional ETFs as most countries are already represented. As a generaly rule, we think 10% is a good starting point for international allocation, for the average investor.