ASX investors looking to diversify their portfolio might turn to exchange-traded funds (EFTs) such as those offered by Vanguard.
And for Australians interested in benefitting from global markets but not sure where to start, the Vanguard MSCI Index International Shares ETF (ASX: VGS) could be seen to be a great option.
As with all EFTs, Vanguard’s International Shares ETF is a collection of securities that can be traded like a share. However, this one is focused on international markets, housing a whopping 1505 stocks.
Right now, an investor can get their hands on a piece of the EFT for $101.69. Also worth noting is the fund’s 1.58% dividend.
So, what companies are holders of Vanguard’s International Shares ETF backing? Let’s take a look.
What stocks make up the Vanguard International Shares EFT?
There are 5 stocks that each make up more than 1% of the Vanguard International Shares EFT. Interestingly but not surprisingly, they’re all housed on the NASDAQ exchange and need no introduction.
They are Apple Inc (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Amazon.com, Inc. (NASDAQ: AMZN), Facebook, Inc. Common Stock (NASDAQ: FB), Alphabet Inc Class C (NASDAQ: GOOG), and Alphabet Inc Class A (NASDAQ: GOOGL).
They make up around 4.6%, 3.5%, 2.4%, 1.4%, 1.4%, and 1.3% of the EFT respectively.
Tesla Inc (NYSE: TSLA) comes in just short, making up 0.9% of the EFT’s holdings.
Other recognisable stocks held by the Vanguard International Shares EFT are Johnson & Johnson (NYSE: JNJ), Visa Inc (NYSE: V), PayPal Holdings Inc (NASDAQ: PYPL), and the currently renown Pfizer Inc. (NYSE: PFE).
Further down the EFT’s holdings rank are companies from the United Kingdom, Canada, Japan, the Netherlands, France and Switzerland, among others.
Those interested can find the list of the EFT’s 1505 holdings here.
Now, perhaps the most important question…
How has the EFT performed lately?
The Vanguard MSCI Index International Shares EFT has been doing well on the ASX lately.
It is currently trading for 21% higher than it was at the start of 2021 and 28% more than it was this time last year.