Average Daily Volume
1.51M
Fund Overview
The Schwab Fundamental International Large Company Index ETF (FNDF) is designed to track the performance of the Russell RAFI Developed ex U.S. Large Company Index. This ETF focuses on large-cap companies outside the United States, selecting and weighting stocks based on fundamental factors such as adjusted sales, retained operating cash flow, and dividends plus buybacks, rather than traditional market capitalization. FNDF provides exposure to developed international markets, including countries like Japan, the UK, and Germany, offering investors a systematic, rules-based approach to international equity investing. The fund is passively managed and seeks to deliver long-term capital appreciation by investing in companies with strong fundamentals.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
Yes
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 3.08 %
- Currency Hedged
-
No
- Portfolio Turnover
-
11 %
- Dividend Date
-
Why Invest in the FNDF ETF?
Potential Benefits
- Provides exposure to international large-cap stocks with strong fundamentals, potentially offering better risk-adjusted returns than traditional market-cap-weighted indices.
- Lower expense ratio compared to many actively managed international equity funds, making it cost-effective for long-term investors.
- Diversifies a portfolio geographically, reducing reliance on U.S. markets and capturing growth in developed economies.
- Systematic, rules-based approach reduces behavioral biases inherent in active management.
- Liquidity and transparency typical of ETFs, allowing for easy trading and portfolio adjustments.
Potential Risks
- Exposure to foreign markets introduces currency risk, as fluctuations in exchange rates can impact returns.
- Concentration in developed markets may miss growth opportunities in emerging economies.
- Fundamental weighting may underperform during periods when growth stocks outperform value stocks.
- Political and economic instability in foreign countries can negatively affect performance.
- Higher volatility compared to U.S.-focused funds due to geopolitical and macroeconomic factors.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+7.4%
|
+8.6%
|
-7.3%
|
+6.0%
|
+4.9%
|
-2.4%
|
+2.4%
|
+2.9%
|
-3.3%
|
+0.2%
|
-
|
-
|
| 2025 |
+3.8%
|
+3.1%
|
+1.7%
|
+3.0%
|
+4.8%
|
+3.1%
|
0.0%
|
+5.0%
|
+2.2%
|
+2.5%
|
+2.0%
|
+3.6%
|
| 2024 |
-1.3%
|
+2.6%
|
+4.3%
|
-2.4%
|
+4.3%
|
-2.5%
|
+3.3%
|
+2.2%
|
+1.1%
|
-5.0%
|
-0.2%
|
-3.4%
|
| 2023 |
+9.0%
|
-2.5%
|
+1.2%
|
+2.9%
|
-4.0%
|
+5.7%
|
+3.8%
|
-3.4%
|
-2.2%
|
-3.2%
|
+7.5%
|
+4.7%
|
| 2022 |
+1.0%
|
-2.2%
|
+0.3%
|
-5.5%
|
+3.8%
|
-9.6%
|
+3.1%
|
-4.5%
|
-9.8%
|
+6.8%
|
+12.4%
|
-1.7%
|
| 2021 |
+0.4%
|
+5.3%
|
+3.6%
|
+1.9%
|
+4.6%
|
-2.0%
|
-0.9%
|
+0.6%
|
-1.0%
|
+2.4%
|
-5.8%
|
+5.3%
|
| 2020 |
-4.4%
|
-8.6%
|
-16.8%
|
+5.2%
|
+4.7%
|
+3.4%
|
+0.8%
|
+5.6%
|
-2.8%
|
-2.8%
|
+17.8%
|
+5.7%
|
| 2019 |
+7.2%
|
+1.8%
|
+0.1%
|
+2.8%
|
-6.4%
|
+5.9%
|
-2.5%
|
-2.8%
|
+4.4%
|
+3.2%
|
+0.9%
|
+3.2%
|
| 2018 |
+4.8%
|
-5.3%
|
-0.7%
|
+2.4%
|
-2.3%
|
-1.4%
|
+2.9%
|
-3.0%
|
+1.6%
|
-7.8%
|
0.0%
|
-5.7%
|
| 2017 |
+3.3%
|
+0.3%
|
+3.0%
|
+1.2%
|
+3.1%
|
+0.3%
|
+3.4%
|
+0.1%
|
+3.1%
|
+1.4%
|
+0.9%
|
+1.8%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
BNS
|
BANK OF NOVA SCOTIA |
0.3 % |
|
CNQ
|
CANADIAN NATURAL RESOURCES LTD |
0.3 % |
|
NTR
|
NUTRIEN LTD |
0.3 % |
|
MT
|
ARCELORMITTAL SA DEPOSITORY RECEIPT |
0.3 % |
|
BMO
|
BANK OF MONTREAL |
0.3 % |
|
BAM
|
n/a |
0.3 % |
|
CM
|
CANADIAN IMPERIAL BANK OF COMMERCE |
0.2 % |
|
MFC
|
MANULIFE FINANCIAL CORP |
0.2 % |
|
TRP
|
TC ENERGY CORP |
0.2 % |
|
FERG
|
FERGUSON ENTERPRISES INC |
0.1 % |
Top 10 holdings shown, out of 932 total holdings.
Related ETFs: FNDF vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
FNDF tracks the Russell RAFI Developed ex U.S. Large Company Index, which selects and weights stocks based on fundamental factors—adjusted sales, retained operating cash flow, and dividends plus buybacks—rather than market capitalization. This methodology aims to reduce overexposure to overvalued stocks and provide a more balanced portfolio. The fund holds common stocks of large-cap companies in developed markets outside the U.S. and is rebalanced annually to maintain alignment with the index's fundamental criteria. The passive management approach ensures low turnover and cost efficiency.
Frequently Asked Questions
What index does FNDF track?
FNDF tracks the Russell RAFI Developed ex U.S. Large Company Index, which selects and weights stocks based on fundamental factors like sales, cash flow, and dividends rather than market capitalization.
Does FNDF pay dividends?
Yes, FNDF pays dividends quarterly, as it holds dividend-paying stocks from developed international markets.
How does FNDF differ from a typical international ETF?
Unlike market-cap-weighted ETFs, FNDF uses fundamental factors to select and weight stocks, potentially avoiding overvalued companies and offering a value-oriented approach.
What countries are included in FNDF?
FNDF invests in developed markets outside the U.S., including Japan, the UK, Germany, France, Canada, and other developed economies.
Is FNDF a good long-term investment?
FNDF can be a solid long-term holding for investors seeking diversified international exposure with a systematic, low-cost approach, though performance depends on global market conditions.
Industry Overview
The Schwab Fundamental International Large Company Index ETF (FNDF) provides exposure to developed international markets, a key segment for investors seeking global diversification. International large-cap stocks offer stability and growth potential, particularly in established economies like Japan, the UK, and Germany. FNDF's fundamental weighting approach differentiates it from traditional market-cap-weighted ETFs, potentially offering a value tilt and reduced concentration risk. Investing in international equities can hedge against U.S.-specific risks and provide access to sectors underrepresented in domestic markets. However, investors should be mindful of currency fluctuations, geopolitical risks, and varying economic cycles across regions.
Alternative Comparison
Compared to traditional international ETFs like EFA or VEA, which use market-cap weighting, FNDF's fundamental approach may offer a value tilt and lower concentration in the largest companies. While SCHF and IEFA also provide low-cost developed market exposure, FNDF's unique weighting strategy differentiates it, potentially enhancing long-term returns. However, its expense ratio is slightly higher than some peers like SCHF, though still competitive. Unlike actively managed international funds, FNDF offers transparency and consistency through its rules-based methodology.
Issuer Overview
Charles Schwab Investment Management, the issuer of FNDF, is a leading provider of low-cost ETFs and mutual funds. Known for its investor-friendly approach, Schwab emphasizes transparency, competitive pricing, and broad market access. The firm's ETFs are designed to deliver efficient, rules-based exposure to various asset classes, making them popular among cost-conscious investors and financial advisors.
Conclusion
FNDF is a compelling option for investors seeking diversified exposure to international large-cap stocks through a fundamental weighting lens. Its systematic approach, combined with Schwab's low-cost structure, makes it suitable for long-term portfolios aiming to reduce behavioral biases and capture the strength of financially sound companies. While international investing carries inherent risks, FNDF's methodology may provide resilience in varying market conditions.
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