4 Best Foreign Small / Mid Cap ETFs to Own Long-Term 1.5.2

  • Asset Class: International ex-U.S. Small Cap Market

  • Long-Term Performance: 6.77% CAGR

  • Correlation to U.S. Markets: 0.74

  • U.S. Large Cap Blend Performance: 10.33% CAGR

  • Back test timeframe: January 1995 – April 2022

  • Oldest ETF back tested: WisdomTree International SmallCap Dividend Fund (DLS)

  • Long-Term Performance: 4.73% CAGR

  • Correlation to U.S. Markets: 0.86

  • S&P 500 Performance: 9.83% CAGR

  • Back test timeframe: July 2006 – April 2022

  • Number of ETFs available in this asset class: 21

  • Number of ETFs in this asset class that are 10-years old or older: 8

International ex-US Small Cap vs U.S. Large Cap Blend (aka S&P 500): January 1995 – April 2022

DLS vs SPY: July 2006 – April 2022

DLS vs SPY: June 16, 2006 – May 6, 2022

The Deep Value ETF Accumulator rankings for the 8 oldest Foreign Small / Mid Cap ETFs:

The 4 top ranked Foreign Small / Mid Cap ETFs head-to-head comparisons:

PDN vs SCZ vs GWS vs DLS: January 2008 – April 2022

PDN vs SCZ vs GWS vs DLS: December 12, 2007 – May 6, 2022

Stated objectives of 4 top ranked Foreign Small / Mid Cap ETFs:

PDN – The Invesco FTSE RAFI Developed Markets ex-U.S. Small-Mid ETF (Fund) is based on the FTSE RAFI Developed ex U.S. Mid-Small 1500 Index (Index). The Fund will generally invest at least 90% of its total assets in securities that comprise the Index as well as American depositary receipts (ADRs) and global depositary receipts (GDRs) that represent securities in the Index. The Index is designed to track the performance of small and mid-capitalization equities of companies in developed international markets (excluding the US), selected based on the following four fundamental measures of firm size: book value, cash flow, sales and dividends. The equities are based on their fundamental strength and are weighted according to their fundamental scores. The Index is computed using the net return, which withholds applicable taxes for non-resident investors. The Fund and the Index are reconstituted annually.

SCZ – The iShares MSCI EAFE Small-Cap ETF seeks to track the investment results of an index composed of small-capitalization developed market equities, excluding the U.S. and Canada. Exposure to small public companies in Europe, Australia, Asia and the Far East. Access to a specific segment of the developed international stock market. Use to diversify an international stock allocation and express a view on small-cap stocks.

GWY – The SPDR® S&P® International Small Cap ETF seeks to provide investment results that, before fees and expenses, correspond generally to the total return performance of the S&P® Developed Ex-U.S. Under USD2 Billion Index (the “Index”). Seeks to provide transparent access to developed small cap global markets outside the United States. To be included in the Index, a publicly listed company must have a total market capitalization between $100 million and $2 billion, and be located in a country that meets the BMI Developed World Series criteria.

DLS – WisdomTree International SmallCap Dividend Fund seeks to track the investment results of dividend-paying small-cap companies in the developed world ex the U.S. and Canada. Gain exposure to developed international world, ex-U.S. and Canada small cap equity from dividend paying companies. Use to complement or replace international developed small cap broad based active and passive strategies. Use to satisfy demand for income and growth potential.

Thank you for taking time to read this article. If you found it useful, please share it with a friend.

Respectfully yours, Micah McDonald, aka the Deep Value ETF Accumulator

Previous Deep Value ETF Accumulator articles on Foreign Small / Mid Cap ETFs:

4 Best Foreign Small / Mid Cap Value ETFs to Own Long-Term 1.5

4 Best Long-Term Performance Foreign Small/Mid Blend ETFs 1.5

Disclosure: We currently own shares of PDN and we intend to buy more shares in the future. I am not a professional investment advisor. Please perform your own due diligence or seek the advice of a Registered Investment Advisor before investing in any security mentioned in this article. This website contains affiliate links to M1 Finance and Google AdSense.