Vanguard FTSE All-Wld Price, Forecast, Insider, Ratings, Fundamentals & Signals

U.S. small-cap stocks have underperformed in recent years, but investing in small-caps outside the U.S. may offer diversification and catch-up momentum potential. Vanguard FTSE All-World ex-US Small-Cap Index Fund ETF Shares allows investors to diversify their portfolios with a low expense ratio and a highly diversified portfolio. The VSS ETF has outperformed similar international small-cap ETFs and offers broad diversification, low expense ratio, and attractive PE ratios, but comes with geopolitical and currency risks.

Vanguard FTSE All-World ex-US Small-Cap Index Fund ETF Shares is invested in over 4000 small and mid-cap stocks from developed and emerging markets. The VSS ETF is well-diversified across countries, sectors and holdings, and shows a better-than-average valuation in its investing universe. With a low expense ratio and an attractive performance in its category, VSS is a good option for investors seeking global diversification with a focus on smaller companies.

Small cap ex-US keeps correlations low with overperforming US large cap indices. Having lagged in performance compared to US large caps, ETFs like the Vanguard FTSE All-World ex-US Small-Cap ETF could be an attractive factor to cycle into. PEs are low, there are usually idiosyncratic growth opportunities in small cap, and the expense ratio on VSS is low, making this a useful factor asset.

Vanguard FTSE All-World ex-US Small-Cap ETF has a large asset base and its portfolio is well-diversified among all the major developed markets and the largest growing emerging markets. VSS is currently trading at par with its NAV and its low expense ratio enabling investors to gain from such diversified holdings while bearing a very low risk.

VettaFi's vice chairman Tom Lydon discussed the Vanguard FTSE All World ex-US Small-Cap ETF (VSS) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.” This marks the second Vanguard fund in a row featured on “ETF of the Week.

Vanguard FTSE All-World ex-US Small-Cap ETF invests in growth and value stocks of small-cap companies in equity markets outside the US, and generates low but decent yield. VSS generates a decent overall return over the longer term, and the fund's returns are also in sync with other small-cap equity funds.

VSS has cyclical exposures, but the very low P/E seems to take this into account. There isn't much of an undeveloped market risk at least, and some key sectoral exposures are solid, but overall there are questions about forward earnings.

Companies like Airbnb have stepped up by offering shelter for 100,000 Ukrainians who needed refuge. The Russian invasion has affected markets around the globe, leading to market volatility.

VSS is a fund with a large portfolio of international small caps. Main exposures are in sensitive and cyclical sectors.

The 3 ETFs to invest globally in Q2 2021 are VSS, ACWI, and VEU