Indexing
on the Global Stage
By
Aviya Kushner, Contributing
Writer
Looking
for a way to get international exposure without too much risk
of
getting burned? Though there's no absolutely foolproof investment
strategy,
some of the biggest names in investing are turning to international
index
funds. In 1999, according to Pensions and Investments, 23% of
institutional
investment cash was indexed. And if the past is any indication,
small
investors eventually follow the big guns' lead.
Indexing has several
advantages. By spreading assets throughout an entire
country, region, or continent, one bum deal can't hurt as much.
In the
international arena, where less information, privatization efforts,
and
mergers make stock-picking tougher, the numerous-bets approach
of indexing
can be comforting. What's more, indexing offers lower fees and
a smaller tax
hit.
There's also the guarantee
of something essential - a "toe in the
water," as Steven Schoenfeld, Head of Emerging Markets Strategy
at Barclays
Global Investors, says. An index investor runs a smaller risk
of missing out
on the next winning company, he points out. Making sure to be
included in these
potential profit opportunities is an essential factor for Schoenfeld.
That lure is part
of what domestic funds offer, and in the international
arena, Schoenfeld says, the "not-missing-out" piece
is more crucial. Add the
automatic diversification from any international investment and
it's no
wonder insitutional managers are taking a good look at international
indexing.
Meanwhile, in the
retail arena, the runaway success of domestic index
funds has prompted fund companies to expand their product lines.
As fund
companies rush to introduce new index funds, they're naturally
thinking
globally. Everything from a "fund of funds" international
index to a
Germany-only index is now available, and more are coming soon.
But is foreign indexing the way to go? IndexFunds.com talked to
three
high-profile managers to get their views. To check out all the
international
index funds out there, and to hear what the brains at Barclays
Global
Investors, Schwab, and Vanguard have to say, click
here.
|
Fund Name
|
Ticker
|
Expense
Ratio
|
Tot Ret
YTD
|
Tot Ret
12 Mo
|
Tot Ret
Annlzd 3 Yr
|
Tot Ret
Annlzd 5 Yr
|
Tot Ret
Annlzd 10 Yr
|
Net
Asset Value ($ millions as of 7/31/2000) |
|
Am Century Global Nat Rs
Inv
|
BGRIX
|
0.68
|
1.3
|
-4.28
|
-1.01
|
-
|
-
|
52.5
|
|
AXP International Equity
Index D
|
-
|
0.64
|
-
|
-
|
-
|
-
|
-
|
23.7*
|
|
AXP International Equity
Index E
|
-
|
0.64
|
-
|
-
|
-
|
-
|
-
|
23.7*
|
|
AMIDEX35
|
AMDEX
|
-
|
29.46
|
78.92
|
-
|
-
|
-
|
12.4
|
|
AMIDEX35 A
|
AMDAX
|
2.2
|
24.78
|
-
|
-
|
-
|
-
|
1.3
|
|
Calvert World Values International
Equity Fund (Class A Shares)
|
CWVGX |
-
|
15.17
|
9.53
|
12.08
|
-
|
-
|
268
|
|
Capstone SERV Intern C
|
CSINX
|
0.39
|
-6.27
|
7.86
|
-
|
-
|
-
|
45
|
|
Deutsche EAFE Equity Idx
Prm
|
BTAEX
|
0.4
|
-4.46
|
17.38
|
-
|
-
|
-
|
240
|
|
DFA Emerging Markets Value
|
DFEVX
|
1.75
|
-
|
-0.39
|
-
|
-
|
-
|
53
|
|
DFA International Value
II
|
DIVTX
|
0.55
|
0.14
|
-
|
-
|
-
|
-
|
45
|
|
DFA International Value
III
|
DFVIX
|
0.34
|
-7.92
|
10.22
|
6.27
|
8.97
|
-
|
242
|
|
DFA International Value
IV
|
DFVFX
|
0.44
|
-9.59
|
10.65
|
-
|
-
|
-
|
127
|
|
DFA Tax-Managed International
Value
|
DTMIX
|
n/a
|
-
|
8.43
|
-
|
-
|
-
|
89
|
|
Dreyfus Intl Stock Index
|
DIISX
|
0.6
|
-5.02
|
16.43
|
9.31
|
-
|
-
|
51.3
|
|
E*TRADE International Index
|
ETINX
|
0.5
|
-9.1
|
-
|
-
|
-
|
-
|
8.8
|
|
Fidelity Spartan Intl Index
|
FSIIX
|
0.36
|
-4.71
|
17
|
-
|
-
|
-
|
344.7
|
|
First American Intl Index
A
|
FIIAX
|
1
|
-4.4
|
15.82
|
9.18
|
9.93
|
-
|
3.2
|
|
First American Intl Index
B
|
FIXBX
|
1.75
|
-4.75
|
14.83
|
-
|
-
|
-
|
0.9
|
|
First American Intl Index
Y
|
FIICX
|
0.75
|
-4.26
|
15.98
|
9.7
|
10.41
|
-
|
111.3
|
|
MainStay Inst EAFE Instl
|
NIEAX
|
0.94
|
-4.59
|
14.92
|
9.08
|
10.44
|
-
|
77.4
|
|
MainStay Inst EAFE Instl
Svc
|
MAESX
|
1.19
|
-4.7
|
14.63
|
8.81
|
10.15
|
-
|
0.6
|
|
Maxim Index European
|
-
|
-
|
-5.58
|
-
|
-
|
-
|
-
|
132.4
|
|
Maxim Index Pacific
|
-
|
-
|
-14.17
|
-
|
-
|
-
|
-
|
145.2
|
|
Merrill Lynch International
Index D
|
MDIIX
|
0.89
|
-9.89
|
9.17
|
10.66
|
-
|
-
|
41.7
|
|
Merrill Lynch Intl Index
A
|
MAIIX
|
0.64
|
-4.68
|
16.85
|
14.05
|
-
|
-
|
77.1
|
|
MSDW Instl Active Intl Alc
A
|
MSACX
|
0.8
|
-6.74
|
14.41
|
11.03
|
13.94
|
-
|
501.8
|
|
MSDW Instl Active Intl Alc
B
|
-
|
1.05
|
-6.87
|
14.07
|
10.78
|
-
|
-
|
18.5
|
|
Northern
Instl Intl Eq Idx A
|
BIEIX
|
0.53
|
-3.92
|
16.42
|
9.58
|
-
|
-
|
94
|
|
One Group International
Equity Index A
|
OEIAX
|
1.1
|
-9.15
|
9.23
|
10.08
|
10.38
|
-
|
63.3
|
|
One Group International
Equity Index B
|
OGEBX
|
1.83
|
-9.41
|
8.58
|
9.24
|
9.45
|
-
|
27.7
|
|
One Group International
Equity Index C
|
OIICX
|
1.86
|
-9.38
|
8.64
|
-
|
-
|
-
|
11
|
|
One Group Intl Eqty Idx
I
|
OIEAX
|
0.85
|
-4.42
|
18.09
|
12.91
|
12.91
|
-
|
761.7
|
|
Prudential Europe Index
Z
|
PEUZX
|
0.6
|
-3.06
|
14.9
|
-
|
-
|
-
|
23.6
|
|
Prudential Pacific Index
Z
|
PPIZX
|
0.6
|
-6.84
|
20.78
|
-
|
-
|
-
|
32.7
|
|
Schwab International Idx
Inv
|
SWINX
|
0.58
|
-5.73
|
20.36
|
11.49
|
13.08
|
-
|
630.8
|
|
Schwab International Idx
Sel
|
SWISX
|
0.47
|
-5.73
|
20.45
|
11.6
|
-
|
-
|
678.7
|
|
STI Classic International
Equity Index
|
SIIFX
|
2.11
|
-9.89
|
6.79
|
12.07
|
11.05
|
-
|
6
|
|
STI Classic International
Equity Index Investor
|
SIIIX
|
1.46
|
-9.6
|
7.42
|
12.79
|
11.77
|
-
|
4.3
|
|
STI Classic Intl Eqty Idx
Tr
|
SIEIX
|
1.06
|
-9.37
|
7.91
|
13.25
|
12.22
|
-
|
330
|
|
Vanguard Emerging Market
Stock Index
|
VEIEX
|
0.58
|
-9.21
|
10.83
|
-3.76
|
3.07
|
-
|
1102.4
|
|
Vanguard European Stock
Idx
|
VEURX
|
0.29
|
-2.61
|
15.76
|
16.53
|
18.8
|
13.22
|
5943.8
|
|
Vanguard Pacific Stk Idx
|
VPACX
|
0.37
|
-5.81
|
22.21
|
1.52
|
2.5
|
2.48
|
2420.3
|
|
Vanguard Tax-Managed Intern
|
VTMGX
|
0.35
|
-4.18
|
-
|
-
|
-
|
-
|
186.5
|
|
Vanguard Total International
Stock Index
|
VGTSX
|
NA
|
4.85
|
5.95
|
5.33
|
6.43
|
7.65
|
2870.4
|
|
Vantagepoint Overseas Equity
Index
|
VPOIX
|
0.7
|
5.18
|
15.77
|
-
|
-
|
-
|
48.8
|
|
Walden/BBT Intl Social Idx
|
WISIX
|
-
|
-5.75
|
-
|
-
|
-
|
-
|
61.6
|
Compiled
from Wiesenberger InvestmentView, Morningstar Principia, and The
Wall Street Journal
*Number reflects net assets combined for Index D and E
|
Fund Name
|
Ticker
|
Expense Ratio
|
Tot Ret YTD
|
Tot Ret 12
Mo
|
Tot Ret Annlzd
3 Yr
|
Tot Ret Annlzd
5 Yr
|
Tot Ret Annlzd
10 Yr
|
Net Asset Value
($ millions as of 7/21/00) |
|
iShares MSCI EMU
|
EZU
|
0.99
|
-0.25
|
-
|
-
|
-
|
-
|
19.05
|
|
iShares S&P Europe 350 Index
Fund
|
IEV
|
0.60
|
-5.06
|
-
|
-
|
-
|
-
|
-
|
|
iShares MSCI Austria (formerly
WEBS)
|
EWO
|
1.33
|
-8.19
|
-12.13
|
-8.75
|
-
|
-
|
64.73
|
|
iShares MSCI Belgium (formerly
WEBS)
|
EWK
|
1.04
|
-14.21
|
-9.96
|
3.29
|
-
|
-
|
10.96
|
|
iShares MSCI Brazil
|
EWZ
|
0.99
|
3.75
|
-
|
-
|
-
|
-
|
13.67
|
|
iShares MSCI Canada (formerly
WEBS)
|
EWC
|
1.14
|
22.97
|
51.93
|
17.06
|
-
|
-
|
35.25
|
|
iShares S&P/TSE 60 (Canada
blue chip) Index Fund
|
IKC
|
0.50
|
22.51
|
-
|
-
|
-
|
-
|
9.70
|
|
iShares MSCI France (formerly
WEBS)
|
EWQ
|
1.18
|
3.84
|
28.14
|
23.2
|
-
|
-
|
95.87
|
|
iShares MSCI Germany (formerly
WEBS)
|
EWG
|
1.08
|
-7.49
|
19.99
|
12.46
|
-
|
-
|
186.40
|
|
iShares MSCI Hong Kong (formerly
WEBS)
|
EWH
|
1.09
|
-6.53
|
11.39
|
-5.07
|
-
|
-
|
82.81
|
|
iShares MSCI Italy (formerly
WEBS)
|
EWI
|
1.02
|
-0.52
|
17.34
|
20.56
|
-
|
-
|
74.87
|
|
iShares MSCI Japan (formerly
WEBS)
|
EWJ
|
1.04
|
-16.84
|
0.73
|
-0.51
|
-
|
-
|
808.14
|
|
iShares MSCI Malaysia (Free)
(formerly WEBS)
|
EWM
|
1.09
|
0.17
|
7.77
|
-16.81
|
-
|
-
|
105.87
|
|
iShares MSCI Mexico (Free)
(formerly WEBS)
|
EWW
|
1.34
|
-8.5
|
18.83
|
2.12
|
-
|
-
|
37.58
|
|
iShares MSCI Netherlands
(formerly WEBS)
|
EWN
|
1.12
|
-4.91
|
3.4
|
6.09
|
-
|
-
|
26.73
|
|
iShares MSCI Singapore (Free)
(formerly WEBS)
|
EWS
|
1.08
|
-19.12
|
-6.64
|
-10.1
|
-
|
-
|
96.06
|
|
iShares MSCI South Korea
|
EWY
|
0.99
|
-2.9
|
-
|
-
|
-
|
-
|
43.28
|
|
iShares MSCI Spain (formerly
WEBS)
|
EWP
|
1.11
|
-9.18
|
2
|
11.71
|
-
|
-
|
20.73
|
|
iShares MSCI Sweden (formerly
WEBS)
|
EWD
|
1.17
|
2.63
|
39.85
|
20.6
|
-
|
-
|
25.94
|
|
iShares MSCI Switzerland
(formerly WEBS)
|
EWL
|
1.15
|
-0.06
|
4.43
|
5.82
|
-
|
-
|
41.99
|
|
iShares MSCI Taiwan
|
EWT
|
0.99
|
-2.74
|
-
|
-
|
-
|
-
|
32.17
|
|
iShares MSCI United Kingdom
(formerly WEBS)
|
EWU
|
1.03
|
-10.93
|
-4.26
|
7.91
|
-
|
-
|
145.33
|
Source:
Barclays Global Investors
09/07/2000
