Published on 28 Mar 2024 on TipRanks via Yahoo Finance
European stocks don’t always get the same love as their U.S. peers, but there is a lot to like about the Vanguard FTSE Europe ETF (NYSEARCA:VGK), which has gained momentum with a 17.7% gain over the past six months. It gives investors exposure to 1,295 European stocks, which are still cheap compared to U.S. stocks and offer higher dividend yields.
I’m bullish on VGK based on its inexpensive valuation, attractive dividend yield, diversified exposure to a surprisingly exciting group of European stocks, and low expense ratio.
This isn’t to say that European stocks are necessarily better than U.S. stocks, but for investors who have been overlooking the Old Continent, the present looks like a good time to diversify one’s portfolio and add some exposure to European stocks as a complement to their U.S. holdings.