Core Viewpoint - The article highlights the expertise of James Foord, an economist with a decade of experience in analyzing global markets, and his leadership of The Pragmatic Investor, which focuses on building diversified investment portfolios to preserve and increase wealth [1] Group 1: Company Overview - The Pragmatic Investor is an investing group that covers various sectors including global macro, international equities, commodities, technology, and cryptocurrencies [1] - The group aims to guide investors of all levels through features such as a dedicated portfolio, weekly market updates, actionable trades, technical analysis, and a chat room for discussions [1]

ETF Prime: International Stocks Lead Flows | ETF TrendsRoxanna Islam, head of sector and industry research at VettaFi, joined Nate Geraci on this week's ETF Prime to discuss record international equity flows. The category saw net inflows of over $220 billion in 2025 with momentum continuing into 2026 at roughly $75 billion year-to-date.The [iShares Core MSCI Emerging Markets ETF (IEMG)] ranks second on the ETF inflow leaderboard with about $10 billion year-to-date, according to Islam. The [Vanguard Total In ...

Core Insights - A weakening U.S. dollar is prompting a shift towards international equities as investors seek better opportunities abroad [1] - Valuations in domestic markets are perceived as stretched, further encouraging this transition to international investments [1] Group 1 - The VictoryShares International Free Cash Flow Growth ETF (GRIN) is highlighted as a potential beneficiary of this trend towards international equities [1]

Core Insights - The article emphasizes the importance of international equity exposure for investors, highlighting that significant market value exists outside the U.S. [2] - The Schwab International Equity ETF (SCHF) offers a low-cost solution to address home bias in investing, providing access to developed market equities [2][3] Group 1: Fund Overview - SCHF manages approximately $55.4 billion in assets and provides access to around 1,300 established companies across Europe, Japan, Canada, and Australia [3] - The fund's expense ratio is notably low at 0.03% annually, allowing investors to retain more of their returns while benefiting from a 2.35% dividend yield [3] Group 2: Performance Comparison - Over the past decade, SCHF returned 167%, while the SPY delivered 264%, resulting in a 97 percentage point performance gap primarily due to U.S. tech dominance and dollar strength [4][8] - Recent performance indicates a positive trend, with SCHF gaining 35% over the past year, significantly higher than its five-year annualized return of 11% [6] Group 3: Competitive Advantage - SCHF's cost structure is a key differentiator, with its 0.03% expense ratio significantly lower than competitors like EFA at 0.32% and comparable to VEA at 0.05% [7] - The fee difference compounds over time, favoring cost-conscious investors and enhancing long-term returns [7]

Core Viewpoint - DoubleLine Capital CEO Jeffrey Gundlach anticipates that the Federal Reserve will maintain its current interest rates for the remainder of Jerome Powell's term, reflecting a more balanced economic outlook [1][2]. Group 1: Federal Reserve's Current Stance - The Federal Reserve has kept its overnight lending rate steady at a range of 3.5% to 3.75%, indicating that economic activity is expanding at a solid pace [3]. - Powell noted that the unemployment rate is stabilizing and that the current policy is not significantly restrictive [3]. Group 2: Future Expectations - Gundlach predicts that there will not be another rate cut under Powell, emphasizing that inflation is elevated but not as concerning as previously feared [2]. - Fed funds futures trading indicates expectations of two quarter percentage point cuts by the end of 2026, according to the CME FedWatch Tool [4]. Group 3: Investment Strategy - Gundlach recommends that investors consider allocating 30% to 40% of their portfolios to unhedged international equities, which could benefit from local currency gains against the U.S. dollar [4].

Core Insights - The article highlights the expertise of James Foord, an economist with a decade of experience in analyzing global markets, and his leadership role in The Pragmatic Investor, which focuses on building diversified investment portfolios [1] Group 1: Company Overview - The Pragmatic Investor aims to preserve and increase wealth through robust portfolio construction [1] - The investment group covers various sectors including global macro, international equities, commodities, technology, and cryptocurrencies [1] Group 2: Services Offered - The Pragmatic Investor provides features such as a dedicated portfolio, weekly market updates, actionable trades, technical analysis, and a chat room for investor engagement [1]

Core Insights - International equities experienced a strong performance in 2025, primarily driven by a focus on valuations [1] - The opportunity for international equities is expanding and is now supported by fundamental factors, increasing the appetite for investment in this sector [1] Summary by Categories Performance - The strong performance of international equities in 2025 indicates a positive trend in the market [1] Investment Sentiment - There is a growing appetite for exposure to international equities as the market conditions improve and fundamental support becomes evident [1]

Group 1 - International equities have shown significant performance improvement over the past year, outperforming U.S.-based funds [1] - Many international funds that were previously trading at discounts compared to U.S. equities have quietly gained traction [1]

Core Insights - International equities performed strongly last year, driven by foreign firms across various regions, but replicating this success may be challenging for investors [1] - Small-cap international equities, such as those offered by the Avantis International Small Cap Equity ETF (AVDS), present opportunities for greater upside and growth potential [1][4] Performance Comparison - AVDS significantly outperformed the S&P 500, returning 47.4% compared to the S&P 500's 21.2% over the past year [2] - AVDS also surpassed other international equities strategies, including the WisdomTree True Developed International Fund (DOL), which returned 42.5% [2] Investment Strategy - The Avantis International Small Cap Value ETF (AVDV) focuses on value-oriented small-cap firms and has attracted over $5 billion in investments while delivering a return of 58.8% [3] - Smaller firms are believed to offer greater growth potential, especially when selected through fundamental analysis, which may enhance their resilience during uncertain times [4]

Core Viewpoint - The actively managed Fidelity Fundamental Developed International ETF (FFDI) is a strong option for investors seeking exposure to international equities amid a weakening dollar and ongoing market uncertainties [1][2]. Group 1: Market Trends - The migration to international equities has been a consistent trend this year, despite macroeconomic uncertainties such as tariffs, geopolitical tensions, and changing interest rate policies in the U.S. [2] - Potential further rate cuts by the U.S. Federal Reserve in 2026 may encourage more investors to shift towards international equities as the dollar weakens [3]. Group 2: Fund Characteristics - FFDI focuses on equities in developed markets, which helps mitigate risks associated with emerging markets that are more volatile due to less stable economies [4]. - The fund employs active management, allowing portfolio managers to adjust holdings based on current market conditions, which is crucial for navigating the complexities of international markets [5]. - FFDI utilizes fundamental research and a quantitative approach for portfolio construction, primarily allocating to large-cap companies for stability and growth potential [6].