5 International ETFs to Buy for 2026

Core Insights - Diversification remains a successful investment strategy, with international stocks significantly outperforming U.S. equities in 2025, as evidenced by the S&P 500's 15% increase compared to Spain's 40% and South Korea's 65% gains [1] Group 1: International Stock Performance - South Korea's KOSPI Composite Index has risen over 65% YTD, driven by favorable domestic policies and a tech sector buoyed by AI advancements [3] - Spain's IBEX 35 index has increased more than 40% YTD, supported by a booming banking sector and a GDP growth of 3%, nearly tripling the overall EU GDP growth [5][7] - The Canadian stock market has seen gains exceeding 30% in 2025, with the iShares MSCI Canada Index Fund up nearly 35%, benefiting from reduced tariffs and strong performance in megacap banks [12][15] Group 2: ETFs for International Exposure - The Franklin FTSE South Korea ETF (NYSE:FLKR) offers exposure to South Korean equities with a low expense ratio of 0.09%, heavily weighted towards Samsung Electronics and SK Hynix [4] - The iShares MSCI Spain ETF (NYSE:EWP) has a 0.50% expense ratio and $1.6 billion in AUM, with over 40% of its holdings in the finance sector, including major banks like Santander and BBVA [7] - The Franklin FTSE Latin America ETF (NYSE:FLLA) provides broad exposure to Latin American markets with a 0.19% expense ratio, focusing on Brazilian and Mexican stocks [10] - The Vanguard FTSE Europe ETF (NYSE:VGK) has gained nearly 35% YTD, with a low expense ratio of 0.06% and a diverse portfolio of over 1,200 stocks [11] - The iShares MSCI Canada Index Fund (NYSE:EWC) has a 0.50% expense ratio and focuses on major banks, with top 10 holdings accounting for over 43% of its assets [15]