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Is VanEck Morningstar International Moat ETF (MOTI) a Strong ETF Right Now?
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The VanEck Morningstar International Moat ETF (MOTI - Free Report) was launched on 07/13/2015, and is a smart beta exchange traded fund designed to offer broad exposure to the Foreign Large Value ETF category of the market.
What Are Smart Beta ETFs?
The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
The fund is managed by Van Eck, and has been able to amass over $200.66 million, which makes it one of the average sized ETFs in the Foreign Large Value ETF. This particular fund, before fees and expenses, seeks to match the performance of the Morningstar Global ex-US Moat Focus Index.
The Morningstar Global Markets ex-US Wide Moat Focus Index tracks the overall performance of 50 attractively priced companies outside the U.S. with sustainable competitive advantages.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
Annual operating expenses for MOTI are 0.58%, which makes it on par with most peer products in the space.
MOTI's 12-month trailing dividend yield is 3.76%.
Sector Exposure and Top Holdings
While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
When you look at individual holdings, Baidu Incaccounts for about 3.2% of the fund's total assets, followed by Taiwan Semiconductor Manufacturing Co L and Barry Callebaut Ag (BARN).
The top 10 holdings account for about 27.28% of total assets under management.
Performance and Risk
So far this year, MOTI has added roughly 27.33%, and it's up approximately 18.35% in the last one year (as of 10/23/2025). During this past 52-week period, the fund has traded between $29.35 and $38.68.
The fund has a beta of 0.74 and standard deviation of 16.92% for the trailing three-year period, which makes MOTI a medium risk choice in this particular space. With about 61 holdings, it effectively diversifies company-specific risk .
Alternatives
VanEck Morningstar International Moat ETF is not a suitable option for investors seeking to outperform the Foreign Large Value ETF segment of the market. Instead, there are other ETFs in the space which investors should consider.
Vanguard International High Dividend Yield ETF (VYMI) tracks FTSE All-World ex US High Dividend Yield Index and the Schwab Fundamental International Equity ETF (FNDF) tracks Russell RAFI Developed ex US Large Co. Index (Net). Vanguard International High Dividend Yield ETF has $12.79 billion in assets, Schwab Fundamental International Equity ETF has $18.13 billion. VYMI has an expense ratio of 0.17% and FNDF changes 0.25%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Foreign Large Value ETF
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Is VanEck Morningstar International Moat ETF (MOTI) a Strong ETF Right Now?
The VanEck Morningstar International Moat ETF (MOTI - Free Report) was launched on 07/13/2015, and is a smart beta exchange traded fund designed to offer broad exposure to the Foreign Large Value ETF category of the market.
What Are Smart Beta ETFs?
The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
The fund is managed by Van Eck, and has been able to amass over $200.66 million, which makes it one of the average sized ETFs in the Foreign Large Value ETF. This particular fund, before fees and expenses, seeks to match the performance of the Morningstar Global ex-US Moat Focus Index.
The Morningstar Global Markets ex-US Wide Moat Focus Index tracks the overall performance of 50 attractively priced companies outside the U.S. with sustainable competitive advantages.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
Annual operating expenses for MOTI are 0.58%, which makes it on par with most peer products in the space.
MOTI's 12-month trailing dividend yield is 3.76%.
Sector Exposure and Top Holdings
While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
When you look at individual holdings, Baidu Incaccounts for about 3.2% of the fund's total assets, followed by Taiwan Semiconductor Manufacturing Co L and Barry Callebaut Ag (BARN).
The top 10 holdings account for about 27.28% of total assets under management.
Performance and Risk
So far this year, MOTI has added roughly 27.33%, and it's up approximately 18.35% in the last one year (as of 10/23/2025). During this past 52-week period, the fund has traded between $29.35 and $38.68.
The fund has a beta of 0.74 and standard deviation of 16.92% for the trailing three-year period, which makes MOTI a medium risk choice in this particular space. With about 61 holdings, it effectively diversifies company-specific risk .
Alternatives
VanEck Morningstar International Moat ETF is not a suitable option for investors seeking to outperform the Foreign Large Value ETF segment of the market. Instead, there are other ETFs in the space which investors should consider.
Vanguard International High Dividend Yield ETF (VYMI) tracks FTSE All-World ex US High Dividend Yield Index and the Schwab Fundamental International Equity ETF (FNDF) tracks Russell RAFI Developed ex US Large Co. Index (Net). Vanguard International High Dividend Yield ETF has $12.79 billion in assets, Schwab Fundamental International Equity ETF has $18.13 billion. VYMI has an expense ratio of 0.17% and FNDF changes 0.25%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Foreign Large Value ETF
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.