Why did VGS ETF just hit a record high?

Detailed summary

Vanguard MSCI Index International Shares ETF is outperforming many large-scale funds in 2026. The post Why did VGS ETF just hit a record high? appeared first on The Motley Fool…

Vanguard MSCI Index International Shares ETF (ASX: VGS) reached a record high of $165.88 per unit on Friday.

VGS ETF tracks the MSCI World ex-Australia (with net dividends reinvested) in Australian dollars Index.

The VGS is the second-largest exchange-traded fund (ETF) by market capitalisation, according to ASX data for October.

VGS has $18.63 billion in funds under management as of 30 October. That's up 30% over 12 months, by the way.

That strong rise demonstrates the fund's popularity with Aussie investors seeking global exposure and its capital growth.

VGS favours large, established organisations for investment, with 80% of the portfolio in large-cap stocks.

The ETF provides geographical diversification through its exposure to about 1,300 international shares listed in 23 nations.

This is followed by Europe (primarily the UK) at 15%, the Pacific (primarily Japan) at 7%, and the Middle East at 0.3%.

The VGS mix has worked very well for investors over the past few years due to its heavy allocation to US shares.

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