Additionally, VSS includes a larger-than-average 12% emerging market position, whereas other small- and mid-cap blend funds typically show a 2% allocation toward developing economies. VSS also holds a greater tilt toward Canada at 12%, Taiwan 7% and Japan 15% than the category average.
The FTSE Indexing methodology slightly differs from the MSCI methodology in that VSS tracks companies that fall in 91% and 98% by market cap, whereas the MSCI ACWI ex US Small-Cap Index tracks companies that fall between 86% and 99% by market cap. Moreover, FTSE overweights Canada and Taiwan while MSCI overweights Japan.
Vanguard FTSE All World ex-US Small-Cap ETF
For more information on global markets, visit our global ETFs category.
Max Chen contributed to this article.