Davis Select International ETF (DINT) seeks to provide long-term capital appreciation by investing in undervalued international companies outside the United States. This actively managed equity ETF focuses on high-quality businesses trading below their intrinsic value across developed and emerging markets globally.
How It Works
DINT employs an active, concentrated value investing approach managed by Davis Advisors using their proprietary research methodology. The fund typically holds 25-50 carefully selected international stocks across various sectors and countries, with position sizes based on conviction rather than market capitalization weighting. Portfolio managers conduct fundamental analysis to identify companies with strong competitive advantages, capable management, and attractive valuations. Rebalancing occurs opportunistically based on valuation changes and new investment opportunities rather than on a fixed schedule.
Key Features
- Concentrated portfolio of 25-50 high-conviction international value picks selected through rigorous fundamental analysis by experienced Davis Advisors team
- Zero expense ratio structure makes it one of the most cost-effective actively managed international equity ETFs available to investors
- Focus on quality businesses with durable competitive advantages and strong balance sheets trading at significant discounts to intrinsic value
Risks
- This ETF can lose significant value if the portfolio managers' stock selection proves incorrect, as concentrated holdings amplify individual company performance impact
- Currency fluctuations can reduce returns when foreign currencies weaken against the U.S. dollar, adding volatility beyond underlying stock performance
- International markets can decline 40-50% during global recessions, with emerging market exposure potentially creating additional volatility during geopolitical tensions
Who Should Own This
Best suited for investors with 5+ year time horizons seeking active international equity exposure as a satellite holding representing 10-25% of total equity allocation. Requires high risk tolerance due to concentrated portfolio and international market volatility. Appropriate for those comfortable with active management and value investing philosophy who want professional stock selection in foreign markets.