IShares MSCI EAFE Small-Cap ETF SCZ offers a solid well-diversified portfolio. This isn’t the cheapest index-tracking option in the foreign small/mid-blend Morningstar Category, but it is much more affordable than many of its peers. Morningstar’s new ratings framework has recognized its relatively low expense ratio as a substantial advantage, so we are upgrading its Morningstar Analyst Rating to Bronze from Neutral.
Will SCZ outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable SCZ’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the SCZ management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of SCZ’s parent organization’s priorities and whether they’re in line with investors’ interests.