Investors with a slightly greater risk tolerance can take a look at the Vanguard Mid-Cap Value ETF (NYSEArca: VOE). Due to its mid-cap focus, VOE may have a greater risk and reward profile. The ETF tries to reflect the performance of the CRSP U.S. Mid-Cap Value Index, which shifts out growth picks and selects value stocks based on book-to-price, forward and trailing earnings-to-price, dividend yield and sales-to-price. The fund shows a 15.6 P/E, 1.8 P/B and a 1.1 P/S.
Additionally, for a more global footprint, the actively managed Cambria Global Value ETF (NYSEArca: GVAL) tracks companies with strong value characteristics over 45 different countries from both developed and emerging economies, targeting the cheapest, most liquid picks in countries where political or economic crisis have depressed valuations. GVAL’s portfolio shows a 11.2 P/E, 1.1 P/B and a 0.6 P/S.[Global Bargains With This ETF]
It is, however, important to note that just because a market is inexpensive relative to fundamentals that trait does not always portend immediate gains. Likewise, expensive markets do not always immediately fall.
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Max Chen contributed to this article.