-
iShares MSCI World Index ETF (XWD)
-
Vanguard All-Equity ETF Portfolio (VEQT)
-
iShares Core Equity ETF Portfolio (XEQT)
-
Horizons All-Equity Asset Allocation ETF (HEQT)
Q: Good morning,
In one response to a question on the choice of a International exposure ETF, the 5i preference was VEQT, XEQT and XWD in that order.
Q1. Has you opinion of the order of these Global ETFs changed in any way and given XWD's 5 and 10 year performance?
Q2. Would you kindly explain your rational for ranking XWD ahead of VEQT and XEQT and even HEQT.
Thank you in advance and I look forward to hearing your response.
In one response to a question on the choice of a International exposure ETF, the 5i preference was VEQT, XEQT and XWD in that order.
Q1. Has you opinion of the order of these Global ETFs changed in any way and given XWD's 5 and 10 year performance?
Q2. Would you kindly explain your rational for ranking XWD ahead of VEQT and XEQT and even HEQT.
Thank you in advance and I look forward to hearing your response.
5i Research Answer:
XWD is 70% invested in the US, VEQT 45% and XEQT 47%. We continue to see the US as likely to outperform, so XWD still looks relatively better. That being said, if one wants only international (non US or non North America) then VIU could be suggested, or VXUS (non US but some Canada exposure ~7%). HEQT is 34% US. It is relatively smaller and does not have as long as history as the others. Essentially, it comes down to how much US exposure one wants in their 'international' asset allocation component.