AVDV

Reddit_guard

To load up on VTI or AVDV today, that is the question

Emotional-Power-7242

VT, AVUV, AVDV Total market with a bit if a small cap value tilt.

Emotional-Power-7242

I'm beating the market this year but only because AVDV has been ripping all year.

shellbackpacific

I went from almost entirely US Total Market (VTI) to 60% US total market, 5% Emerging Small cap value (AVDV), 10% gold (GLDM) and silver (SLV), 17.5% US small cap value (AVUV) and the remaining a few international picks (IEUR, VXUS, EWG, EWU)

Math_Mastery_Amitesh

The most important principle in investing (in my opinion) is diversification. You want to buy a globally diversified portfolio of stocks, and the ETF that achieves this is VT (Vanguard Total World Stock Market Index Fund). If you invest $100 into VT, your money effectively goes to all the publicly traded companies in the world according to their market capitalization. Nvidia Corporation is 4.26% of the world's stock market capitalization, so $4.26 of your money would be invested in Nvidia Corporation. Similarly, Rolls-Royce Holdings is 0.13% of the world's stock market capitalization so $0.13 would be invested in Rolls-Royce Holdings. You get the idea. The point is that you are not betting on any individual country, sector etc. by investing in VT. The safe option to start off with is to buy VT, and keep investing whenever you can. Now, there are ways of "beating the market". Financial science suggests that there is no publicly known way to do so without taking on more risk (if there was a less risky way to do so that was publicly known, wouldn't everyone do it and then it wouldn't work anymore?). For example, factor exposure (which was introduced by Eugene Fama and Kenneth French in their Nobel Prize winning paper) suggests that, for example, small cap value stocks are expected to outperform the market over long time horizons because they are inherently riskier. The historical data suggests this is the case. You could tilt toward small cap value with ETFs such as AVUV (Avantis US Small Cap Value) and AVDV (Avantis International Small Cap Value). Emerging Markets is another sector of the market that is inherently riskier and has historically delivered higher long-term returns than the US Stock Market, for example. You could tilt a bit to Emerging Markets with AVEM (Avantis Emerging Markets), and especially AVES (Avantis Emerging Markets Value) and AVEE (Avantis Emerging Markets Small Cap). Avantis' methodology is based on the Fama-French model and their research and this has also historically outperformed the market over long time horizons. My suggestion is to buy VT, and if you want some tilts you could buy some AVUV, AVDV, AVEM, AVES, AVEE (of the latter three, AVEM is the best if you want to go with one). I would keep at least 75% of your investment in VT (maybe more) and tilt according to your preference after you have done some research and asked lots of questions. The other method to outperform the market is buying individual shares. Unfortunately, this is really risky and mostly does not pay off unless you are willing to do a lot of research and buy and hold for long periods of time. I couldn't tell you what individual shares will take off in the next 10 years with any sort of guarantee. On the other hand, there is a third method to beat the market, by buying leveraged ETFs. It turns out that leveraged ETFs, provided the leverage isn't too high, do outperform the market over long time horizons, but I wouldn't recommend getting into them until you have accumulated more knowledge and started with the core base of VT. I wish you the best in your investment journey! You absolutely can't go wrong, over long time horizons, with VT. Remember that investments in stocks (including VT) is for the long haul, these do not function as savings accounts, because they can be volatile in the short term and have drawdowns lasting several years. You should look at the historical performance over decades, however, to see that if you stick with them, and provided capitalism continues to thrive on Earth (which in my mind is a safe bet, unless something really disastrous happens), then VT will give you strong growth over a long time horizon. I would estimate it will beat inflation by around 5% on average per year based on historical performance, and that compounding effect can really snowball over several decades. A cool stat is that $5 a day invested for 45 years at 10% annual return, would be around 1.4 million dollars, where 80k of that is your own money, and nearly 1.4 million of that is interest earned from investments. If you contribute more early, then of course, you can see faster results. I wish you all the best in your investment journey! 😊

MitchCurry

My fun money earnings play on MGM paid off. Made 3.3% in the week I held while SPY was -2.2% and QQQ was -3.5%. I also cut my losses (finally) on UPST. Took a -43.5% loss while SPY returned 40.1% and QQQ returned 52.1%. I put the UPST funds into AVDV (increasing my share count by 18%), PRCT (share increase of 13%), and QXO (share increase of 18%).

GeneralStudy8636

Hey man, I saw you a lot around here and your advice is pretty easy for a beginner like me to understand. Mind if I ask you a question? Right now, I’m in a similar position. I only hold SPYM but want to add more international diversification. If I plan to hold long term, what do you think of IDMO + AVDV. I feel like this cover both ends of developing markets. But I’m also willing to switch out IDMO for AVDE, IDEV or FENI. I also plan to add some forms of EM like AVEM, AVES or FRDM. Personally, what do you think about these funds? I plan to do 20% for DM and 10% for EM.

strog91

Yes, but I would suggest a modified basket of funds: - QQQ - SPY - AVUV - AVIV - AVDV

CanYouPleaseChill

The choice isn’t expensive US large cap stocks vs. cash. The alternative is buying almost anything other than the market-cap weighted S&P 500. Some great options include: international stocks (VXUS), small-cap value (AVUV, AVDV), sector ETFs where reasonably valued (e.g. health care RSPH), an S&P 400 mid cap ETF, an equal-weighted S&P 500 ETF like RSP.

NetZeroSun

Just for reference, how much of your portfolio is international now? Also what picks did you go with? I have about 10% international (about half half of that is VXUS and AVDV).

CapeMOGuy

FYI, she can't have an IRA or 401k until she has earned income. Since it can't be put in a tax sheltered account, it is wise to focus on investments with low fees and low turnover (to minimize capital gains). That means stock index funds. If it were me I would go with an aggressive, long term focus. 70% VT (total world stock index) 15% AVUV (US small cap value) 15% AVDV (international small cap value)

yeahlexander

AVDV - International small-cap value

QuietRat56

I hold broad market indexes for the most part, though I have some actively managed value funds like AVUV and AVDV

PashasMom

A lot of LCV is going to be heavy in FAANGS, NVIDIA, and so on. For example, I just looked at FDRR and the top 3 holdings are NVIDIA, Microsoft, and Apple. But others will be less so -- VTV has no tech stocks in its top 10 holdings. You should be able to see holdings on Morningstar. Ways to avoid: sector funds (industrials and energy seem to be doing well, check on FIDU and FUTY). International value is having a bang up year and has very little technology and certainly no FAANGS etc. You could look at FIVA, JIVE, DFIV, VYMI, or even small/mid cap international value such as AVDV or DISV,

Ok_Conflict6743

Thought's on the following overall breakout? Want to stay generally broad but thinking of doing a bit of a tilt towards US as well as large cap momentum & small cap value. Timeline is 30+ Years - In my low 20s and will be maxing out Roth & 401k (plus some funds going into brokerage) for the foreseeable future) US (80% of total): 64% US total market (VIIX + VIEIX in my 401k mimics VTI weight) 12% SPMO 4% AVUV Ex-US (20% of total): 10% International total market (VTSNX in my 401k) 5% IDMO 5% AVDV

tonufan

I hold AVDV for international, but even just holding large US companies will provide lots of international exposure.

ucbcawt

I have a small amount in AVUV-is it worth switching to AVDV?

456M

As of last Friday, AVDV total return YTD is 41%.

Plightz

AVDV has been a standout as well. 35% or so ytd is kinda insane I'm ngl.

Plightz

AVDV is 35% ish ytd right now. Shitting on even the beloved VGT. It's really funny the excuses happening for US undefperformance. US dollar is weakening (they didn't mention this was the US dollar was strengthening), and other bogus excuses.

Plightz

VXUS, VEA, VWO, AVDV, DGS, etc are all shutting on VOO with varying 10%+ to 20%+ ytd performance. Not sure why this is even controversial, it's just factual.

MitchCurry

Running that for my portfolio was brutal. So many tickers lol. My benchmark paper portfolios were easy since it's just SPY or QQQ "transactions". Anyway, data goes back to January 2009 when broke me opened my first taxable brokerage with $50 and purchased 10 shares of WBS for $4.715/sh and paid a $9.95 commission(!). Retirement joins the data in March 2014 when I began actively managing my own 401k (and opened my first IRA) instead of leaving the money in mutual funds. * SPY benchmark paper portfolio has returned 12.17% annually for a total return of 579.9% * QQQ benchmark paper portfolio has returned 14.56% annually for a total return of 866.8% * My portfolios have returned 14.85% annually for a total return of 927.6%. Worth noting for the past 2.5ish years, my portfolios have trailed QQQ by a wide margin and has barely kept up with SPY. I think I'm a few bps behind it now. Hence I've been consolidating my portfolio into 15-30 core positions I have the highest conviction on and the remaining funds are being put into QQQ/VOO/AVUV/AVDV. With my daughter growing up and more stuff to do, I just don't have the same time to enjoy researching companies and maintaining a 100% active portfolio.

tonufan

I prefer AVDV.

apeawake

If you insist on equities, diversify into a fund that is less correlated to S&P/Nasdaq. I.e. less concentrated, lower multiples, small caps, potentially international.  Pick one of the following: VFLO, DSTL, OAKMX, AVUV, AVDV.  These will each likely hold up relatively better if the major indexes draw down. Remember, value stocks and many cyclicals had very positive returns during the crash that followed the dot com bubble. 

petearete

You can mitigate USD decline by investing in international equities, ytd they are trouncing their us equities counterparts eg AVDV (up 35%) vs AVUV (4%), IDMO (32%) vs SPMO (25%), FDD (44%) vs VTV (9%) etc. Or simply buy GDX or SIL to profit from the consequent stagflation from USD depreciation. Yesterday I just watched on youtube a daytrader show the 17yr trendline in DXY is on the verge of being broken which could lead to a further 25% decline & he's worried this heralds the end of American exceptionalism including the stock markets. Needs a truly exceptional president to do that.

DSCN__034

Actually I AM overweight foreign markets (FNDF, FNDC, DEM, AVDV) and gold and silver. And recently I added Palladium on its pullback. But nice try, amigo.

BrobaFett_1

AVDV has been moving!

MitchCurry

Currently 42. Peaked around over 100 in 2022 (100% stocks, 0% in ETFs) I had my daughter a few years ago when I had a lot more time to enjoy this hobby. I've trailed the market a bit the past 2.5 years (started investing 16 years ago, still beating the market overall since then), a cause of which I put towards less time to stay up-to-date with companies so I've been slowly working my way down to my goal of 25-35 individual companies and 75% of my cost basis in AVDV, AVUV, VOO, and QQQ. Goal to reach that by is 2030. Current cost basis in ETFs is 37%.

Delicious_Soup_Salad

AVDV has been killing it lately, but these factors don't necessarily move with the market. They could be negative for decades. So you buy into all this stuff, decide is sucks when it is negative a decade from now, and then sell it low to buy high in something else. It is a mental trap. I guess this is fine if you actually believe in it and think this is the best course.

Abipolarbears

I added AVUV and AVDV in addition to my normal holdings as a test run replacing my previous value play, schd. Time will tell but I figured it would be a fun experiment and should provide similar returns. 

BrobaFett_1

I just now learned about HBM when looking at AVDV's holdings (context: https://www.reddit.com/r/stocks/s/nWNTXVlay4). Will probably keep looking in there to see what other interesting ideas are in that portfolio. Been looking for more mining names, so will check out ERO more. Thanks! Also might enter a position in B2Gold.

BrobaFett_1

Wow look at MMSMY! I should just hold AVDV and leave it to the pros. Lots of gold and mineral companies as the larger holdings (due to appreciation). Whitecap and Hudbay minerals are two interesting names I haven't heard of before.

BrobaFett_1

I wish I got some AVDV along with my AVUV. That was a mistake. I have been seeking out more international exposure over these last few months though. I didn't think of checking AVDV's top holdings. I'll do that now!

AP9384629344432

Find it remarkable how robust the international markets have been this year despite tariffs. I have 10% of my portfolio in AVDV (+37.5% YTD) and 20% in diff. versions of VXUS (+25% YTD). Is international diversification *finally* working? Meanwhile my US SCV is up a measly 4%. The SCV factor may be dying in the US but it's thriving internationally. [All total returns here]

gamers542

There are some individual stocks I invest in like UL and SHEL but for the most part just for simplicity I use an ETF. IXUS and AVDV is what I use.

456M

International is going gangbusters this year after 15 years of underperformance. VXUS up 24% and AVDV up 35% YTD.

Charming_Mushroom_70

Our household income iS mainly in the 15% tax bracket. Some years it goes into 22%. Our Roth IRAs hold mainly SPMO/IDMO and AVUV/AVDV. Taxable is mainly VTI, SCHG, SPLG. We’re holding 10% of the household portfolio in AVDE in our taxable, but realize we’re not catching all international markets. Do you have any recommendations for this strategy? Or just leave as-is?

Prudent-Corgi3793

Depends on your tax bracket. The bracket that benefits most from optimization is the 35% ordinary/15% qualified or the 37% ordinary/20% qualified bracket. For this group, I recommend splitting tax-efficient developed from the tax-inefficient emerging: - DFIV in taxable for large cap value, this is actually better than US equities since it is nearly 100% qualified plus gives you foreign tax credits - DISV or AVDV in taxable for small cap value. DISV is more tax efficient but AVDV has performed very slightly better - AVDE is reasonable too, but less tax efficient - Your choice of emerging market fund. AVEM, DFAE, DFEM are pretty good with better liquidity than heavier tilted options, but you probably want them in tax advantaged if you have some room there. The DFA funds are more tax efficient but haven’t performed as well. If you’re in a lower tax bracket (for instance 20-22% ordinary/15% qualified), then it’s actually better to get them all in taxable. This is because the advantages of the foreign tax credit outweigh the disadvantages of lower QDI.

AICHEngineer

This victory shares etf looks bad. AVDV is way stronger on the value tilt exposure end and IDMO is way better performing on the momentum end

Dr_VanTasstik

I have a little group of funds I use for moderate to moderately aggressive growth while trying to balance market exposure and include some defensive components: VTI (30%) VXUS (15%) LRGF (15%) QQQM (15%) AVDV (10%) MUB (7.5% QUAL (7.5%) These are in a taxable account, which I’m assuming you will be using. I use a different strategy in my tax advantaged accounts.

abundantpecking

I guess the foreign tax credit rate advantage would presumably apply in the DISV vs AVDV case for international small-cap value tilts. Overall, you would say the ER matters most to you though?

MitchCurry

Sold my COST shares and put all the funds into AVDV, AVUV, QQQ, and VOO. Costco immediately goes on my Buy? watchlist. If it dips below 40 p/e, I'm opening a starter position. If it gets close to 30, I'm backing up the truck. I sold because I just don't see how it's a market-beating stock over the next decade at current valuations. I got 26% returns per year for 5.25 years of holding, easily thumped the market. Happy to take those gains not to cash but to broad-market ETFs. Also closed my short-term HSY play in my fun money allocation. I tried to bottom feed and ultimately made some money (4.7%) but trailed QQQ (13.4%) and SPY (14.8%). My fun money allocation has grown too large so I re-allocated those HSY funds to my retirement money and put it all into the same 4 broad-market ETFs.

MitchCurry

Planning to sell my HSY position and re-allocate the funds equally to VOO, QQQ, AVUV, and AVDV this morning. Also [still contemplating](https://www.reddit.com/r/stocks/comments/1n77xig/comment/nca7baw/?context=3&utm_source=share&utm_medium=web3x&utm_name=web3xcss&utm_term=1&utm_content=share_button) taking a starter position in Warby Parker (WRB).

False_Comedian_6070

I meant for the us portion. If you had 80% US then 50/25/25 of that. However, I think you need at least 25-40% international to make it worth it… unless your international is AVDV and/or AVEM but that’s if international isn’t about broad diversification but seeking value and potential growth exposure, since emerging markets has more growth potential than developed and small cap value is more undervalued than us small cap.

False_Comedian_6070

Yeah, Howard Marks says to stay away from the S&P 500 for the next decade. Tom Lee says we’re going to have a bill market for the next ten years. I’m more on Tom Lee’s side on this one, despite the overvaluations. He says the forward p/e on international growth stocks is far worse than US growth stocks even at current valuations. Personally, if I believed in Howard Marks my portfolio would be 25% SPMO 25% IDMO 25% AVUV 25% AVDV. Basically the Paul Merriman portfolio but with momentum for large cap.

False_Comedian_6070

Bonds are just as risky as stocks with low return potential. The ten year return of BND is around 1.5% per year, not even keeping up with inflation. They are okay for diversification and peace of mind but I think 70% bonds is reckless. If you are scared of another lost decade I highly recommend investing 70% into funds negatively correlated with big tech. AVUV, AVDV, AVMV, AVIV, AVES, 0r just AVGV to get all of them. I’d recommend 30% AVUQ, 70% AVGV. But it sounds like you need a financial adviser who can teach you emotional management. Behavioral risk is the biggest risk of investing.

False_Comedian_6070

I do a multi-factor portfolio with a mix of momentum, quality, tech and size/value. SPHQ, SPMO, XMMO, IDMO, IGV, SMH, AVMV, AVUV, AVDV, LVHI, even split between funds. 20% quality, 30% size/value, 20% tech, 30% momentum. 70% US 30% international. 60% large cap, 20% mid cap, 20% small cap.

derande_yo

International Small Cap Value funds like AVDV are killing this year. Up 31% YTD.

Thin_Cat8817

I don't see the need for the bond allocation at your age tbh. If you have some money that you may reasonably need in a short/medium term, TIPS would be fine. But for an account that you're holding longterm it's unnecessary. I would keep any emergency or cash funds in a money market fund and for longterm account just allocate that 15% in bonds into your stocks. I would personally allocate to something like AVUV for some small cap value, but that's just my opinion. You could also do a bit more international if you want, 25% is fairly low. Maybe something like 10% in AVUV (US Small Cap Value) and 5% AVDV (International Small Cap)

evoboltzmann

You should look into funds like AVUV and AVDV. These are vehicles that typically attract 'factor investors' as they tilt very heavily toward profitable small cap value stocks. Well guess what that weeds out? Definitely the huge AI companies. They've had a worse than average decade, but in the past have delivered great premiums. The reason they've lagged this last decade is large cap growth stocks (the very AI companies you're worried about) have dominated. If you think those are a mirage, a nice play would be tilting toward these types of ETFs.

Ok_Platypus_1845

Its always a good time to buy cheap profitable companies across the globe! Just make sure your time horizon is at least 7+ years and youre good. I personally have 40% of my assets in AVDV and will continue to for decades.

moiax

AVDV has been crushing it for me this year. Keeps my IRA showing little green numbers on my homepage more often than not.

Ok_Platypus_1845

AVDV is a great international small cap fund

timemon

I’ve been a holder of AVUV and (this year) AVDV. AVDV is up nicely for me so far. but I’m with the sentiment that for small cap, you might want an actively managed fund like Avantis over passive ones. I also hold AVIV but that’s not small cap. International is doing quite well in 2025 so far.

Im_Still_Here12

VGT instead of QQQ. VOO is also good for core portfolio. But be aware, you are 100% USA like this. You probably still want some international (VXUS or AVDV).

Tsunami1252

Taxable or not? Time horizon? What would be the goal of this portfolio? Just to invest? If that's the case, I would remove SCHD, GLD, SLV. VXUS @ 10% seems pointless to me. Therefore, I would probably do something like 50% VOO, 20% QQQ, 30% AVDV (i prefer this over VXUS). This is assuming a longer time horizon. I also assumed that you solely wanted large cap which is why i didn't comment on the lack of diversification

Im_Still_Here12

OP, I love VGT. I allocate 10% of it to my holdings. Then I hold 70% VTI and 30% AVDV.

456M

I'm not American so all my funds are Irish-domiciled equivalents. Instead of AVUV+AVDV, I'm invested in AVGS, which is Avantis Global Small Cap Value ETF.

AP9384629344432

I'm like 50/50 but that's mostly because AVDV has done so well very recently

Prudent-Corgi3793

My AVDV position is bigger than AVUV (I'm 55% international).

456M

Ya'll need to add AVDV with your AVUV holding. I think around 70% AVUV / 30% AVDV is the current market cap ratio.

Spirited_Macaroon_77

Not sure if this is right place to put this. I'm finally starting out investing and using retirement accounts. I've done a bunch of research. I've got about a 32 year time horizon. I've never really asked for advice about this stuff. Here is my allocation: Roth IRA (represents 40% of my total portfolio): 35% FNILX (broad large cap) 30% XMMO (mid cap momentum, overweighted here because I can't get this in my other accounts) 15% AVUV (small cap value) 15% FZILX (broad international, developed and emerging) 5% AVDV (international small cap value) Roth 403b (represents 20% of my total portfolio): 65% VIIIX (S&P index) 15% DFFVX (small cap value) 20% VTSNX (broad international, developed and emerging) Roth 401k (represents 40% of my total portfolio): 65% SWPPX (S&P index) 15% DFFVX (small cap value) 10% SWISX (broad international, developed) 10% DCEFX (broad international, emerging)

Ok_Platypus_1845

AVUV AVDV and AVES bc I'm young and willing to take on more risk. 

MitchCurry

I commented [the below](https://www.reddit.com/r/stocks/comments/1je10ha/comment/mii6v8k/?utm_source=share&utm_medium=web3x&utm_name=web3xcss&utm_term=1&utm_content=share_button) on Inspire Medical (INSP) in the March 18th daily thread: >Inspire Medical, a company with a pretty revolutionary sleep apnea treatment but is considered at risk from the GLP-1 weight loss drugs, has had inside ownership between 4.1% and 5.0% from 2020 through 2023, roughly 1.3MM shares held on average. >By the end of 2024, inside ownership had fallen by nearly 50% from the previous 4 year average. Insiders owned 696,065 shares (2.3%) when 2024 ended. Some of the share decrease is due to board members retiring (one had owned nearly 93,000 shares but isn't an insider anymore) but included in those big share decreases is the CEO (who sold 45% of his shares, nearly 300,000 of them) and the EVP of Patient Access and Therapy Development (who sold 47% of his shares, nearly 47,000 shares). >I had remained cautiously bullish on INSP as I believed the tech would continue to see strong demand and adoption even in the face of potentially decreasing cases of sleep apnea as obesity dropped from GLP-1s but this insider selling has given me second thoughts. Looks liked insiders knew what was coming. A recent 4.4% cut to FY guidance has driven the stock down 40% today. I stick think the tech is impressive and truly makes a difference but DermTech also had incredible tech that improved patient lives... and they went bankrupt because management couldn't execute. Inspire may rebound a bit. They may get bought out at a slight premium. This may be the bottom. That's fine. I'm out. Sold for a 68% loss (SPY was +44% and QQQ was +58% over the time I held) and put my remaining money into VOO, QQQ, AVUV, and AVDV. [One position closer to my target of 15-25 core positions](https://www.reddit.com/r/stocks/comments/1merxze/comment/n6cyo8k/?context=3&utm_source=share&utm_medium=web3x&utm_name=web3xcss&utm_term=1&utm_content=share_button) and the rest of my money in those 4 ETFs.

CanYouPleaseChill

There is plenty of value to be found. Selling has been relentless in stocks without momentum. Some examples: LULU, DEO, NVO, TMO. Then there are small-cap value ETFs like AVUV and AVDV, sector ETFs like RSPH (equal-weight health care), and broad international ETFs like VXUS. I think all of these will easily outperform the S&P 500 over the next decade.

Prudent-Corgi3793

AVUV: upside of a 30-year treasury, downside of a cryptoscam, collapses like a Jenga tower on any news whatsoever AVDV: what a fucking beast, up +0.35% on a blood red day, up 23.18% YTD while paying a 3.87% dividend

Wan_Haole_Faka

Hi everyone, I am curious today as to why AVDV is performing well when pretty much all other equities are performing poorly. I'm pretty diversified across global equities as well as value, growth, quality, etc. Regarding ex-US, developed & emerging markets are both down, as is EM value, but developed SCV seems to be the only equity class that's up today. I'm curious as to why this is and would appreciate any insights about it. Thanks!

micha_allemagne

Yeah, SCHF is basically baked into VXUS already, and AVDV overlaps too. You're double dipping on developed ex-US. Here’s a breakdown of your allocation: https://www.insightfol.io/en/portfolios/report/898b264f13/

JustStandThereJosh

For a diversified, low cost broad market cap weighted fund, VXUS is the best. If you want to target higher potential returns with factor exposure, you could look into small cap value with AVDV. Just remember small caps can underperform for 10-20 years at a time before the small cap value premium rewards you.

cannythecat

Try AVDV.

AP9384629344432

I have about the same position size in both AVDV and AVUV (in part due to AVDV outperformance). My claim was always that if you're bullish on SCV, you have to do it internationally diversified, because chances are the SCV factor is more robust internationally than domestically. (I had some old threads discussing that) I was caught by surprise that it would so immediately have such a big rally. Ex-US has been a big carry for my portfolio this year, along with microcap outperformance. We'll see how that ends up, but I'm happy to be diversified and not worry about single country risk. Coal has been blegh and will be until cycle turns again.

AP9384629344432

Look at AVDV ytd, up nearly 29% with dividends! US scv is meh. And no i sold amr, had already made big profits, sold most, and then sold the remaining at a loss. Still have hcc and btu. And a big position in a microcap (larger than all of my coal combined).

micha_allemagne

20% in AVUV/AVDV looks good to me, overall nicely diversified approach. Here’s a breakdown of your mix: https://www.insightfol.io/en/portfolios/report/5b2bcff6d2/

First-Finger4664

Some great options: VXUS - basically the whole market outside the US VEA - the whole developed markets (Europe and Japan/Australia mostly) VWO - the whole emerging markets VYMI and VIGI - international high-dividend and dividend growth ETFs: these are large-cap funds tilted slightly towards value, profitability, and lower volatility VT - the ultimate “I just want average returns” stock, it holds essentially all investable stocks on earth weighted by market cap (size), so you could just sell whatever you have, buy this, and call it a day. Some higher expense ratio options you might want for specific purposes: AVDV and AVES - these are well regarded small-cap value funds for developed and emerging markets FEZ and AIA - these are ETFs of the largest 50 companies in Europe and Asia. If your investing thesis is “I like companies that have already cornered the market because they probably have competitive advantages”, this might be for you

Ok_Assignment4100

Any major difference between VBR and AVUV?Would you recommend AVDV (international small cap value)

davecrist

Except for the reality is that is no certainty. And I’m absolutely going with a fund. Two funds. AVUV and AVDV. And if they perform they will absolutely outperform over time.

bigdave316

Same here but threw in AVES for some emerging markets exposure as well 35 VOO 35 AVUV 15 VXUS 7.5 AVDV 7.5 AVES This is for taxable brokerage. 70/30 us / international with heavy SCV tilt. My 401ks are standard target date funds so wanted more risk exposure with this one

sankha93

VOO + AVUV + VXUS + AVDV I would go with VOO + VXUS if you are a index investor. I like to bet on factor investing, so tilted my portfolio to small cap value.

Spirited_Macaroon_77

I'm late to investing. 40, USA. I finally paid off my high interest debt and have some income stability and I'm planning on retiring at 72. I was thinking of allocating my Roth IRA thusly: 65% FNILX (US large cap blend) 15% AVUV (US small cap value) 15% FZILX (International large cap blend) 5% AVDV (International mid/small cap value)

Prudent-Corgi3793

Here are the performances of VOO (S&P 500), VTI (total US stock market), VXUS (total international stock market), and a DFIV/AVDV/AVES portfolio (international value tilted portfolio, as the value factor has performed much better in international equities). I chose two time frames, since [Inauguration Day](https://testfol.io/?s=aUi41pgL4Sa) and since the [April 8 bottom](https://testfol.io/?s=c6zwkit3ZtK) (which would assume you had perfect insider info): |Returns as of 6/26/25|VOO|VTI|VXUS|Intl Value| |:-|:-|:-|:-|:-| |Since 1/20/25|2.10%|1.29%|14.57%|18.12%| |Since 4/8/25|23.52%|23.87%|24.47%|26.88%| Even if you had insider info telling you to buy on 4/8/25 right before the stock market recovered, you would have still done better to rotate to international.

davecrist

U.S. companies that do global business are still primarily exposed to the U.S. economy, laws, interest rates, and currency. Their stock prices tend to move with the U.S. market, limiting diversification. Invest where and how you want but if you want true international diversification adding VXUS — or my personal fav AVDV — gives exposure to foreign economies, currencies, and market dynamics, which often behave differently from the U.S., reducing overall portfolio risk.

Prudent-Corgi3793

International stocks have trounced US stocks and actually recovered even more quickly. From a comment I made on r/ValueInvesting , so this includes a value-tilted portfolio. Here are the performances of VOO (S&P 500), VTI (total US stock market), VXUS (total international stock market), and a DFIV/AVDV/AVES portfolio (international value tilted portfolio, as the value factor has performed much better in international equities). I chose two time frames, since [Inauguration Day](https://testfol.io/?s=aUi41pgL4Sa) and since the [April 8 bottom](https://testfol.io/?s=c6zwkit3ZtK) (which would assume you had perfect insider info): |Returns as of 6/25/25|VOO|VTI|VXUS|Intl Value| |:-|:-|:-|:-|:-| |Since 1/20/25|1.30%|0.43%|13.45%|16.75%| |Since 4/8/25|22.55%|22.81%|23.25%|25.40%| That's right, even if you had insider info telling you to buy on 4/8/25 right before the stock market recovered, you would have still done better to be in international.

Strategerish

Yes, the US market is foaming at the mouth. However, there are other opportunities to invest in while you wait for the US market to cook down. You can go ex-US developed markets (VEA) or US small-cap value (AVUV). And if you're feeling really adventurous, you can go ex-US small-cap value (AVDV)

BirdyHowdy

Interesting but AVUV/AVDV just pay you \~1.5–2% in return, right?

ConsistentRegion6184

The honest intention is to "own the market". There are a lot of manipulative business practices up and down. PLTR is super cringy and creepy the more I read about it. I don't care much for META or TSLA but I buy the S&P 500 because I buy the market. I take a bit of pride that I love AVUV/AVDV and I'm very overweight in them. Those are thousands of companies but I just like the enthusiasm for small caps, and not large banks and AI and all that always being over half my portfolio.

GodMyShield777

 get VOO , SCHG , AVUV , AVDV , some SCHD depending on age . I got some IBIT , GLDM also

Charming_Mushroom_70

Yeah, the tilts are intentional. SPLG and VEA/VWO give broad global exposure. QQQM is a growth tilt I believe in long-term. AVUV, AVDV, and AVES add small/value exposure in the U.S., international, and emerging markets. Areas with strong evidence for long-term outperformance. Might look complex, but the goal is to diversify globally and tilt toward factors that historically add return.

xiongchiamiov

Yep. I think it's easier to use something like VEA and VWO though if you just want the full caps, rather than needing to extend SCHF and SCHE. Most often what you hear from folks who want to target that segment is that they're trying to capture the factor investing small cap value premium, and so they're looking at ISVL, AVDV, etc. At market caps, those segments are so small that I really don't think it's a big deal. https://www.bogleheads.org/wiki/Blackrock_iShares btw has a good table of etfs from the major providers if you want to compare.

Ok-Reflection-5882

Hey I'm not sure if you've just been born, but people have already been doing this for decades. Ever heard of someone named Warren Buffet or Benjamin Graham? You want more volatility? Use the Russell 2000 instead of the S&P. You want even more? Use small cap international stocks. Funds like this already exists, like AVUV and AVDV. There are already mounds and mounds of academic studies based on your "original idea."

davecrist

The wide variety of similar DFA funds is confusing to me. I wish they had documentation that was more succinct. I’m a weekly DCAer of AVUV and AVDV currently. I like the idea of adding AVUS and AVNM to compliment buys of S&P500+Ex-US funds in my retirement account but I’m concerned about AUM and volume levels.

marikek

Thanks for the info. I am indeed aware of Avantis, but feel like I am not ready to make the jump (although I currently own AVDV and AVUV for factor exposure- still debating to switch those positions to dimensional equivalents) with them as they are still quite new compared to dimensional and don't have the same long track record. The increased TER of DFA ETFs don't bother me too much to be honest as from history it looks like it comes with expected returns that outweigh the increased costs when compared to corresponding index funds

Natural_Barracuda_68

4/10. Small caps are for trades and not good during high rate cycles. They will be good coming out a recession. Why make it so complex? 10% AVDV seems high. I’d rather buy some global ETF’s. KSA, a German one, Mexico maybe, EUAD a good European defense. Add gold or silver. I have PAAS and AEM, but SIL or SIVR for less risk maybe for you. BTC is missing. And long term treasuries I don’t see the point.

HatchChips

AVDV would work well for a falling dollar, it’s international (value).

TimeToSellNVDA

If you really want it to be all-weather-ish, I would reduce the stock allocation. You should know that utilities are no longer considered "boring" "safe" stocks - if they were ever. I would also increase your gold + commodities allocation a little bit. Replace XLU or AVDV with something that can work in a long-term inflation environment, or, in a falling dollar value environment.

Easy-Technology-8498

Is there certain % allocation to AVDV you are targeting? What about EM exposure?

AICHEngineer

I personally dont hold either. I do have the mutual fund version of VEA in my 401k cause its my only good intl option. I hold some AVDV in my IRAs and VEU to hit the large and midcaps for international. I have the most faith in AVDV personally. These handle the bulk of my ex-US allocation, then I have leverage on SPY to increase my US beta, and then long bonds and managed futures to round out the diversification.

Commercial-Speech122

AVUV/AVDV... !remindme 5 year

davecrist

My Roth is 100% small cap value ( 50:50 AVUV:AVDV ) exactly because i don’t plan to touch it for at least another decade or two and I want it to grow as much as possible.

MitchCurry

I've own AVUV and have had AVDV on my Buy? watchlist. Just haven't started it yet in the ETF corner of my portfolio. Probably not a great time to start now but time > timing so I may just doing nibbles here and there.

AP9384629344432

My ex-US small cap value ETF (AVDV) is on fire lately. YTD it is +19% (price return). It's been a much more useful diversifier than the general ex-US stocks. By contrast, my US SCV (AVUV) pick is -7% YTD. It's probably a bad comparison due to start dates but for fun, the 5 year total return for AVDV is 15.4% annualized (it pays a sizeable dividend). This compares to 15.6% total return annualized for VOO. AVUV is +19% annualized on the 5 year. But this is very misleading due to Covid crashes. So let's do 3 year total returns, perhaps a bit more fair: - AVDV: + 11% - AVUV: +5% - VOO: +12.1% - VXUS: +8% Not a bad showing for ex-US SCV if you ask me. SCV definitely is not as dead as it was proclaimed recently. I wrote about this a long time ago but ex-US SCV is known for suddenly going on massive bull runs when rest of the market is stagnant. Greatest example is in the 1980s.