ETF Research and Analysis

by Alex Bryan
Suitability
BlackRock launched iShares Core MSCI EAFE ETF IEFA as a lower-cost alternative to iShares MSCI EAFE EFA. This move also allows it to compete more effectively against rivals, including Vanguard, without reducing fees on   Read more 

Bull Case

International stocks can offer good diversification benefits to U.S. investors.
On average, the fund's holdings are trading at lower valuations than U.S. stocks.
Many of the fund's largest holdings are quality multinational firms. Read more 

Bear Case

The fund's exclusion of emerging-markets stocks reduces its diversification benefits relative to broader international funds.
Weakness in Europe may create a headwind for many of the fund's holdings and increase their volatility in the near term.
A strengthening U.S. dollar could put a dent in the fund's returns, even if its holdings appreciate. Read more 

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Lost in Translation: Emerging-Markets Dividend ETFs 
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