4-Star ETFs Poised to Pop: iShares MSCI EAFE Index Fund
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the iShares MSCI EAFE Index Fund (ASE: EFA) has earned a respected four-star ranking.
With that in mind, let's take a closer look at iShares MSCI EAFE Index and see what CAPS investors are saying about the ETF right now.
iShares MSCI EAFE Index facts
|Total Assets||$35 billion|
|Investment Approach||Seeks to provide investment results that correspond to publicly traded securities in the European, Australasian, and Far Eastern markets, as measured by the MSCI EAFE Index.|
|1-Year / 3-Year / 5-Year Annual Returns||(12.6%) / 7.3% / (5.1%)|
|Top Holdings with High CAPS Rating (4 or 5 Stars) and Portfolio Weight||Vodafone Group (NAS: VOD) (1.4%)|
BP (NYS: BP) (1.4%)
BHP Billiton (NYS: BHP) (1.2%)
|Alternatives||Vanguard MSCI EAFE (NYS: VEA) |
Vanguard FTSE All-World ex-U.S. (NYS: VEU)
Sources: Morningstar and Motley Fool CAPS.
Having gotten on board a couple of years ago, A6EIntruder succinctly summed up the bull case: "Looking longer term, I like low cost ... exposure to the EAFE and diversity of this ETF."
iShares MSCI EAFE Index even sports a juicy dividend yield of 3.3%. That's higher than that of other foreign blend ETFs like Vanguard MSCI EAFE (2.8%) and Vanguard FTSE All-World ex-U.S. (2.4%).
CAPS member FlorisHJ expands on the opportunity:
Nice fund giving exposure to "the world" -- everything but the US. If you think the US economy will outgrow the world, then this is not the fund for you. The rest of us stand to gain with some diversification here -- with a built-in currency play protecting against weak dollar.
What do you think about iShares MSCI EAFE Index, or any other ETF for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional ETFs is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.
At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Vodafone. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.