Investing in international stocks, known as world stocks, foreign stocks, non-U.S. shares, global stocks, or even international stocks, is vital to a diversifying portfolio. Based on various aspects, including risk tolerance and the time horizon, a suitable allocation of international stocks to your portfolio can be found between 10 percent to 20 percent.

The primary reason for investing in international stock is access to markets outside the U.S., which is the most important factor in diversification. U.S. and foreign markets are not always in sync; for instance, the U.S. may outperform foreign stocks for a long time, and the reverse is true. The investment in international stocks assists in securing against fluctuations in currency. For instance, if the U.S. dollar is declining compared to other currencies, foreign stocks can benefit own as well, and the opposite could also be true.

VTMGX

Vanguard's VTMGX is a global stock exchange that has all capitalizations. It is a passive index that tracks its FTSE Developed All Cap ex U.S. Index, which includes 3,960 shares. The developed markets are those of the west of Europe. VTMGX is an Admiral Share class fund, which means that the minimum investment required for initial investments is $3000. Cost ratio of 0.07 percent.

VMMSX

This stock fund for international investors comprises 302 shares and focuses on the stocks of emerging markets like India, China, Russia, and Brazil. Although emerging markets are riskier compared to the U.S. and developed foreign markets, the possibility of better returns is also available. A fund such as VMMSX could be a great supplement to a developed market international fund as part of a diversified portfolio. Cost-to-cost ratio of VMMSX is 0.85 percent. The minimal initial investment is $3000.

VEMAX

If you're looking for a passively managed index fund for affordable, broad access to markets in the emerging world, VEMAX is a good option. VEMAX is a passive index fund that monitors the FTSE Emerging Markets All Cap China A Inclusion Index which includes more than 5,000 shares in countries such as China, Taiwan, Russia, Brazil, and India. The cost percentage to VEMAX is 0.14 percent. The minimal initial investment is $3,000.

VINEX

Vanguard's VINEX is an excellent choice for investors seeking a competitive mixture of international stocks, mostly in developed and the Pacific markets, with approximately 10% of it devoted to emerging markets. VINEX is a managed fund that can hold the stocks of 333. The minimum investment for the fund is $3000, while the cost ratio stands at 0.39 percent.

VTRIX

If you are looking for a low-cost international stock fund ought to take the time to look over VTRIX. The fund's management seeks out stocks from emerging and developed market segments that it believes the market has not considered or is undervaluing, which means they are selling at bargain-priced. The market capitalization average is large-cap, and the portfolio comprises 150 stocks. Cost-to-cost ratio of VTRIX is 0.37 percent. The minimum investment for the initial phase is $3,000.

VPACX

The international stock funds from Vanguard concentrates on the stocks of countries of the Pacific region, particularly in Japan which accounts for around 25percent of the global market. VPACX's cost-to-cost ratio VPACX is 0.23 percent. The minimum investment for the initial phase is $3,000. There's an Admiral Shares version (ticker the symbol the VPADX) with an expense ratio lower than 0.10 percent.

VGTSX

If you had to pick the most cost-effective mutual fund covering the global market for stocks, VGTSX would be a good option. With VGTSX, investors have broad exposure to both emerging and developed markets that span the whole globe outside of the U.S. Its expense rate of VGTSX is 0.17 percent, and the minimum investment required for new investment is $3000.

VFWIX

Investors seeking global coverage of the equity markets less focused than the overall international stock fund may need to look at VFWIX. The portfolio has around 2500 stocks. There is an expenses ratio of 0.20 percent and a minimum purchase.

VGXRX

The only sector fund of Vanguard that includes internationally traded stocks is VGXRX, which is focused exclusively on the property market as REITs or real estate investment trusts (REITs). These firms purchase and manage hotels, office buildings, and other real property. The cost rate of VGXRX is 0.31 percent, and the minimum purchase amount for the initial purchase is $3000. It is the Admiral Share class (ticker: the symbol VGRLX) and comes with an expense ratio of 0.12 percent.