Bridging the Global Gap: IXUS - A Worldwide Investment Voyager 🌍

Hi ETF UNO fellows, it's been a while! I hope you had a great weekend. As usual, it's Tuesday, the ETF UNO day. Today, we'll look at iShares Core MSCI Total International Stock ETF (IXUS), a global ETF that gives investors access to international equities.

Imagine an ETF that offers you a passport to international equities, allowing you to journey across the continents and tap into the vast potential of stocks outside the U.S. That's exactly what IXUS does.

What is IXUS?

IXUS is an ETF offered by BlackRock's iShares, tracking the MSCI All Country World ex U.S. Investable Market Index. This index is a comprehensive reflection of over 9,000 stocks in over 87 countries, representing over 99% of the developed and emerging market international equity opportunity set. This means that with a single investment, you can gain exposure to a broad range of international stocks, including companies from Japan to China to Brazil.

Given this backdrop, IXUS emerges as a trusted avenue for those seeking exposure to a wide spectrum of international equities without getting ensnared in the complexities of individual stock selection.

Why an International ETF?

🔍 Diversification Beyond Borders: Investing in IXUS means stepping outside U.S. boundaries, granting portfolios a truly global flair.

📈 Untapped Potential: Numerous economies outside the U.S. show remarkable growth potential, and IXUS offers a ticket to this expansive show.

🛡 Risk Mitigation: Geographic diversification can act as a cushion against region-specific downturns or economic events.

Top Holdings of IXUS

As in September 2023, top 8 weighted companies on IXUS ETF are:

1. Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest semiconductor foundry, is the company that makes the chips that power our devices.

2. Novo Nordisk: stands at the forefront of diabetes care, pioneering innovative treatments and addressing chronic health challenges worldwide.

3. Nestlé: the world's largest food and beverage company, nourishing people and the planet.

4. Tencent, is a Chinese multinational conglomerate, leading the way in digital domains including social networking, gaming, e-commerce, and artificial intelligence.

5. ASML: The world's leading manufacturer of photolithography machines, essential for making the chips that power our devices.

6. Samsung: A global leader in electronics, from smartphones to TVs to appliances.

7. Shell: one of the world's leading producers of oil and gas, and it is also a major player in the renewable energy sector.

8. AstraZeneca, is a British-Swedish multinational pharmaceutical and biopharmaceutical company, dedicated to discovering, developing, and delivering innovative medicines to patients globally.

IXUS at a glance

Asset Class: Equity

Underlying Index: MSCI All Country World ex U.S. Investable Market Index

Geographical Focus: Global (Excluding U.S.)

Sector Focus: Diverse across all major sectors

Expense Ratio: 0.07% (as of last data point)

Dividend Yield: 2.48% (as of last data point)

Rebalancing Frequency: Semi-Annual

Historical Performance

With its broad diversification and global footprint, IXUS has provided a roller-coaster ride over the past decade, reflecting the ebb and flow of global markets. Despite the volatility, IXUS has shown resilience and adaptability, often mirroring the collective growth story of the world beyond the U.S. shores.

ETF Radar View

The radar chart below shows the general characteristics of the ETF:

Top 3 Reasons to Invest in IXUS

1. Global Exposure: IXUS offers a one-stop solution to harness the growth potential of the world outside the U.S.

2. Cost-Effective: With its competitive expense ratio, IXUS provides a cost-efficient way to diversify internationally.

3. Backed by BlackRock: As a product of the globally recognized iShares suite, investors can trust in the expertise and reliability of BlackRock.

Top 3 Reasons Not to Invest in IXUS

1. Currency Risks: International investments bring in currency fluctuations, which can impact returns.

2. Political & Economic Variances: Diverse countries mean diverse policies, potentially leading to increased volatility.

3. Complexity: Tracking multiple countries and economies can be intricate and may not suit every investor's palate.

IXUS, Your Gateway to Global Investment Opportunities 🌍

Within the intricate web of investment possibilities, IXUS offers a distinct lens to view opportunities beyond the U.S. horizon. Yet, every investment landscape has its peaks and valleys. Treading with insight and prudence is key. Join us as we chart more terrains in the ETF world, spotlighting the finest avenues for your portfolio. Venture wisely, dear investor!

For those eager to explore the intricate world of ETFs, stay tuned for deeper insights and revelations. We look forward to journeying to new horizons and discovering together! ✨

DISCLAIMER: None of this is financial advice. This newsletter is 100% educational and is not investment advice to trade ETFs or any other assets or make financial decisions. Please be careful and do your research.