iShares Core MSCI EAFE ETF

IEFA

Market cap $182B

It's smart to diversify your portfolio beyond just U.S. stocks. These ETFs will quickly and easily have you invested in hundreds, if not thousands, of international stocks.

Megacaps and tech have driven stock market returns over the past few years. That's changed in 2026.

NEOS Investments' high-income ETFs deliver monthly distributions with tax efficiency, leveraging section 1256 options for enhanced yields and lower tax burdens. QQQI, SPYI, and other NEOS equity funds offer yields up to 14.6%, with most distributions classified as return of capital, supporting both income and portfolio diversification. Recent NEOS launches in alternatives—BTCI, NEHI, IAUI, MLPI—expand high-yield, tax-advantaged opportunities, though volatility and distribution variability warrant careful allocation.

EEM's expense ratio is 10 times higher than IEFA, but it has outpaced IEFA over the past year EEM focuses on emerging markets and is heavily tilted toward technology and Asia, while IEFA covers developed markets with a financials and industrials tilt IEFA's yield is higher and its maximum drawdown is smaller, signaling lower risk and more income focus

International developed markets have quietly staged a comeback. Over the trailing 12 months through early March 2026, the iShares Core MSCI EAFE ETF (IEFA) returned +22.88%, outpacing the S&P 500's +17.69% over the same stretch.

IEFA boasts a higher dividend yield and more assets under management than SPGM. SPGM delivers stronger five-year growth, but IEFA has outpaced it over the past year.

According to YCharts the Franklin International Dividend Booster Index ETF (XIDV) has returned 8.95% year-to-date, narrowly outperforming the iShares Core MSCI EAFE ETF (IEFA), which is up 8.75% over the same period. At first glance, the difference may appear modest.

IEFA carries a higher yield and even larger asset base than SCHE. Both funds charge the same low expense ratio but differ in geographic and sector exposure.

IEFA offers higher recent returns and a significantly higher dividend yield than SPGM. SPGM provides broader global exposure including U.S. and emerging markets, while IEFA focuses on developed markets outside North America.

IEFA has a slightly lower expense ratio and offers a higher dividend yield than IEMG. IEMG has outperformed IEFA over the past year, but IEFA has shown much higher price gains over a five-year period.