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]

Group 1 - Investors in the U.S. are exhibiting a significant home bias, with too much capital allocated domestically, suggesting a potential opportunity for increased overseas exposure [1][2] - The recent performance of major U.S. indices, including the Dow, S&P 500, and Nasdaq, which gained approximately 1% this week, contrasts with the nearly 3% increase in the iShares MSCI Emerging Markets ETF, which reached a 52-week high [2] - There is a growing conversation among investors and advisors about diversifying into international markets, with a particular focus on the long-term potential of China [3] Group 2 - The Emerging Markets Internet ETF has seen a 35% increase this year, while the India Internet ETF has decreased by 3%, indicating varied performance in emerging market sectors [4] - Despite India's NSE Nifty 50 underperforming U.S. markets with a 5% increase this year, it has experienced a substantial 118% growth over the past five years, highlighting its long-term potential [4] - India is projected to have a GDP growth rate of 6.2% in 2025, positioning it as one of the fastest-growing major economies, and it has recently surpassed Japan to become the world's fourth-largest economy [5]