A growing list of countries around the world are delivering impressive returns for investors in 2025. With many of these markets breaking out after more than a decade of stagnation, and with valuations still attractive. there has never been a stronger case for increasing exposure to international equities during this secular bull market.
A great example is what I consider the single-best ETF mankind has ever created: the Vanguard Total World Stock ETF $VT. With over 9,000 holdings, it provides exposure to the entire investable global stock market.
It’s the purest expression of passive investing, diversified across market caps and regions. And with a management fee of just 7 basis points, it’s essentially free to own.
Most importantly, the longer-term trend is turning. For the first time in more than eight years, VT is on track to meaningfully outperform the S&P 500.
That’s a powerful reminder that the world is much bigger than just U.S. equities, and those who recognize it early are setting themselves up to benefit the most.
