From Yahoo Finance: 2025-04-30 19:42:00

The US hosts the largest equity market and companies globally, attracting investors seeking exposure to various sectors. However, escalating tariff and trade wars have shifted sentiments in US equity markets, leading to significant pullbacks in major indices. In contrast, European equities, like the EURO STOXX 50 index, have surged, indicating a shift away from US equities.

Investors are increasingly focusing on international investing, with developed markets outperforming the US. This trend is fueled by policy issues, valuations, and the growing isolationist stance of the Trump administration. International equities offer diversification and lower volatility compared to the US market, leading investors to reevaluate their investment strategies.

The best international index funds provide broad market exposure to top companies at low costs, offering a way out of turmoil in the US equity markets. SPDR EURO STOXX 50 ETF (FEZ) stands out as one of the top international index funds, tracking the performance of the EURO STOXX 50 stocks. With an expense ratio of 0.290% and a 16.31% 5-year total return, FEZ ranks 6th on the list of best international index funds.

While FEZ shows promise as an investment, the potential for higher returns in a shorter timeframe lies in AI stocks. An AI stock has shown growth in 2025 while popular AI stocks have declined. For investors seeking a promising AI stock trading at less than 5 times its earnings, exploring the cheapest AI stock could offer greater returns.

Overall, the shift towards international investing reflects a reevaluation of the stability of the US market, leading investors to consider alternative opportunities for growth and diversification.



Read more at Yahoo Finance: Is SPDR EURO STOXX 50 ETF (FEZ) the Best International Index Fund to Invest In?