- EFV's purpose is to track the investment results of the MSCI EAFE Value Index, which represents a narrower fraction of the MSCI EAFE Index since equities with poor value characteristics were removed.
- P/E, P/B, and dividend yield are not the best choice in many complex cases.
- 334 equities that are constituents of the MSCI EAFE Index failed the value test and thus were not included in the EFV portfolio.
- EFV is overweight in stocks from the financials, industrials, and materials, while EFA's third-largest sector is healthcare.
- There were periods in the past when EFV trounced both EFA, the U.S. market benchmark, and even the U.S. growth cohort.
For further details see:
EFV: Analysis And A Few Words In Defense Of Value Investing