He also warns investors to be cautious about expense ratios. International funds typically have an expense ratio of about 1.8 percent, compared to about 1.4 percent for a managed US stock fund. Over time, that extra percentage can drain off thousands of dollars from returns. In addition, find out how an international fund's portfolio is structured. says Gregg Wolper, a senior analyst with Morningstar who specializes in international funds. The Comstock Value A fund, for example, has a small amount invested in Vietnamese stocks, but most of its assets are in cash.
Some international funds take a risky aggressive-growth approach, while others use a value strategy.
Either way, to minimize risk, make certain the funds are largely linked to developed nations, recommends Mr. Wolper. We offer them for your additional research. The Christian Science Monitor. All rights reserved.