description iShares MSCI EAFE ETF (IEFA) Overview
EFA provides exposure to developed markets outside of North America, including Europe, Australasia, and the Far East. It tracks the MSCI EAFE Index. With an expense ratio of 0.32%, EFA allows investors to diversify their portfolios internationally. Its AUM is significant, over $70 billion.
Suitable for investors seeking to reduce home-country bias and capture growth opportunities in developed economies.
info iShares MSCI EAFE ETF (IEFA) Specifications
| Cusip | 464288372 |
| Fund Type | ETF (Exchange Traded Fund) |
| Fund Issuer | iShares (BlackRock) |
| Expense Ratio | 0.32% |
| Index Tracked | MSCI EAFE Index |
| Inception Date | December 2011 |
| Trading Exchange | NASDAQ |
| Countries Covered | 21 Developed Markets |
| Dividend Frequency | Quarterly |
| Number Of Holdings | 900+ |
| Assets Under Management | $70+ Billion |
balance iShares MSCI EAFE ETF (IEFA) Pros & Cons
- Tracks the MSCI EAFE Index covering 21 developed international markets for broad diversification
- Low expense ratio of 0.32% is competitive for international passive exposure
- Over $70 billion in AUM ensures excellent liquidity and tight bid-ask spreads
- Provides exposure to 900+ stocks across Europe, Australasia, and Far East
- Quarterly dividend distributions provide income alongside growth
- Exchange-traded structure allows intraday trading flexibility
- Excludes emerging markets, potentially limiting higher-growth opportunities
- Lacks exposure to North American markets, creating concentration gaps
- Subject to currency risk as international holdings fluctuate against the USD
- May underperform US equities during periods of American market dominance
- Dividend payments are subject to foreign withholding taxes
help iShares MSCI EAFE ETF (IEFA) FAQ
What countries and regions does IEFA cover?
IEFA tracks the MSCI EAFE Index, covering 21 developed markets across Europe (UK, Germany, France, Switzerland), Australasia (Japan, Australia, Hong Kong), and the Far East. It excludes North America and emerging markets.
What is the expense ratio and how does it compare?
IEFA has an expense ratio of 0.32%, which is relatively low for international equity exposure. It's higher than US market ETFs (often 0.03-0.09%) but significantly lower than actively managed international funds (0.60-1.5%+).
Does IEFA pay dividends and how are they taxed?
Yes, IEFA pays quarterly dividends from the underlying stocks. These dividends are subject to foreign withholding taxes (typically 15-30%) before distribution, which may reduce overall yield for US investors.
How liquid is IEFA and what are typical trading costs?
With over $70 billion in AUM, IEFA is extremely liquid with tight bid-ask spreads often under 0.01%. Trading commissions depend on your broker but are generally low compared to the fund's liquidity.
When did IEFA launch and what is its total return performance?
IEFA launched in December 2011. Since inception, it has provided international diversification, though it has underperformed US-only funds during prolonged periods of American market outperformance.
What is iShares MSCI EAFE ETF (IEFA)?
How good is iShares MSCI EAFE ETF (IEFA)?
What are the best alternatives to iShares MSCI EAFE ETF (IEFA)?
What is iShares MSCI EAFE ETF (IEFA) best for?
Investors seeking broad, low-cost exposure to developed international markets outside North America as part of a diversified portfolio.
How does iShares MSCI EAFE ETF (IEFA) compare to iShares Core MSCI Emerging Markets ETF (IEMG)?
Is iShares MSCI EAFE ETF (IEFA) worth it in 2026?
What are the key specifications of iShares MSCI EAFE ETF (IEFA)?
- CUSIP: 464288372
- Fund Type: ETF (Exchange Traded Fund)
- Fund Issuer: iShares (BlackRock)
- Expense Ratio: 0.32%
- Index Tracked: MSCI EAFE Index
- Inception Date: December 2011
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