International Value Is Still Winning — Here Are 2 ETFs to Bet On It
In March 2025, I suggested looking at some international value stocks to diversify away from U.S. exposure. At the time, U.S. stocks were trading at richer valuations and starting to decline.
While the market correction triggered by trade tariffs affected stocks across the board, international ETFs held up better. In fact, most of them posted gains, while the S&P 500 ETF remains in the red since the original post on 14 March 2025:
Avantis International Small Cap Val ETF (AVDV) +3.4%
Dimensional International Small Cap Value ETF (DISV) +2.8%
Vanguard FTSE Developed Markets ETF (VEA) +2.1%
S&P 500 ETF (SPY) -0.2%
Franklin International Low Volatility High Dividend ETF (LVHI) -0.8%
This is a rare occurrence. U.S. stocks have dominated international ones for years. But even as markets rebound, it appears international and value-oriented stocks still have momentum on their side.
To build on that, I’ve identified two more ETFs worth considering. These focus on international large-cap value stocks—a segment that might feel more familiar and comfortable to most investors compared to small caps like AVDV or DISV.