(FNDF) Schwab Fundamental - Ratings and Ratios

The Schwab Fundamental International Large Company Index ETF (FNDF) is designed for investors seeking exposure to large-cap companies outside the U.S., with a focus on fundamental analysis rather than market capitalization. This ETF invests at least 90% of its net assets in stocks from the RAFI Global Equity Investable Universe, excluding U.S. companies. By using a fundamentals-based approach, FNDF evaluates companies on metrics like revenue, dividends, and buybacks, offering a different perspective compared to traditional market-cap weighted indices.

The index tracked by FNDF employs the Research Affiliates Fundamental (RAFI) methodology, which weights companies based on economic size rather than market value. This approach aims to reduce concentration in overly valued sectors, potentially offering a more balanced portfolio. The fund is domiciled in the U.S., making it subject to U.S. regulations and tax laws, which may impact international investors.

With an AUM of approximately $13.9 billion, FNDF is a substantial fund, though its expense ratio and trading volume should be considered. Its categorized under Foreign Large Value ETFs, appealing to investors looking for value in international markets. The absence of certain price multiples like P/E or p/b suggests a focus on fundamental metrics over traditional valuation measures.

In summary, FNDF provides a unique approach to international large-cap investing, leveraging fundamental analysis to potentially offer more diversified exposure. Investors should evaluate their own investment goals and risk tolerance before considering FNDF, as with any investment, understanding the strategy and structure is crucial for informed decision-making.