Best ETFs/Best International ETFs for 2026

Best International ETFs for 2026

International ETFs provide exposure to equity markets outside the United States, offering geographic diversification that can smooth portfolio returns and capture growth opportunities in regions with different economic cycles. With US stocks having outperformed international markets for over a decade, many investors are underweight foreign equities, but history shows that leadership rotates and international diversification remains a core principle of sound portfolio construction.

VXUS from Vanguard offers the broadest international exposure, holding over 8,000 stocks from both developed and emerging markets worldwide. VEA, also from Vanguard, focuses specifically on developed international markets like Europe, Japan, and Australia, excluding emerging markets for a more conservative international tilt. IEFA from iShares provides similar developed-market exposure with slightly different index methodology and strong liquidity that appeals to institutional investors.

When investing internationally, currency movements can significantly impact returns. A strengthening US dollar hurts international ETF returns for US-based investors, while a weakening dollar provides a tailwind. Some investors choose currency-hedged versions of international ETFs to eliminate this variable, though hedging adds cost. Additionally, international markets often trade at lower valuations than US stocks, which can represent either value opportunities or fundamental differences in corporate quality and growth prospects.

How We Rank

ETFs are ranked by assets under management (AUM). Only ETFs with $50M+ in assets are included. Data is updated daily.

#SymbolFund NameAUM
1VXUSVanguard Total International Stock ETF$606.20B
2VEAVanguard FTSE Developed Markets ETF$287.00B
3IEFAiShares Core MSCI EAFE ETF$172.91B
4VWOVanguard FTSE Emerging Markets ETF$151.80B
5IEMGiShares Core MSCI Emerging Markets ETF$136.63B
6BNDXVanguard Total International Bond ETF$115.40B
7VEUVanguard FTSE All-World ex-US ETF$84.10B
8VTVanguard Total World Stock ETF$80.60B
9EFAiShares MSCI EAFE ETF$73.18B
10QQQMInvesco NASDAQ 100 ETF$71.15B
11BSVVanguard Short-Term Bond ETF$69.20B
12SCHFSchwab International Equity ETF$58.37B
13IXUSiShares Core MSCI Total International Stock ETF$53.84B
14BIVVanguard Intermediate-Term Bond ETF$51.20B
15VTEBVanguard Tax-Exempt Bond ETF$46.20B
16SPDWState Street SPDR Portfolio Developed World ex-US ETF$37.56B
17EFViShares MSCI EAFE Value ETF$29.49B
18EEMiShares MSCI Emerging Markets ETF$28.51B
19ACWIiShares MSCI ACWI ETF$28.27B
20IDEViShares Core MSCI International Developed Markets ETF$28.14B
21FNDFSchwab Fundamental International Large Company Index ETF$21.80B
22AVEMAvantis Emerging Markets Equity ETF$20.19B
23DFIVDimensional - International Value ETF$18.01B
24VYMIVanguard International High Dividend Yield ETF$17.80B
25EMBiShares J.P. Morgan USD Emerging Markets Bond ETF$17.35B

What to Look For

Decide whether you want developed markets only, emerging markets only, or a blend of both. Developed market ETFs like VEA are less volatile, while emerging market inclusion adds growth potential and risk. Expense ratios range from 0.05% to 0.15% for major international ETFs, which is remarkably low for global diversification.

Check the country and sector weightings, as some international ETFs are heavily concentrated in Japan, the UK, or specific sectors like financials. Consider whether you want currency-hedged exposure, and evaluate the dividend yield, which tends to be higher for international equities than US stocks.

Which International ETFs Is Best for You?

VXUS is the most comprehensive international ETF, covering both developed and emerging markets in a single fund. With over 8,000 holdings across more than 40 countries, it provides maximum diversification at a low 0.07% expense ratio. For investors who want simple, complete international coverage, VXUS is the one-stop solution.

VEA is the best choice for investors who prefer to separate their developed and emerging market allocations. By focusing on developed markets like Europe, Japan, Canada, and Australia, VEA provides more stable international exposure. Many investors pair VEA with a dedicated emerging market ETF to control the allocation mix precisely.

IEFA covers developed international markets similarly to VEA but tracks a different index and has slightly different country weightings. Its excellent liquidity makes it popular with institutional investors and active allocators. IEFA and VEA are largely interchangeable for most purposes, with the choice often depending on brokerage preferences.

Frequently Asked Questions

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