Fund Evaluator:

Schwab International Index Overview

Schwab International Index (SWISX) is a passively managed International Equity Foreign Large Blend fund. Schwab Funds launched the fund in 1997.

The investment seeks to track the performance of the MSCI EAFE® Index that measures the total return of large, publicly traded non-U.S. companies from countries with developed equity markets outside of the United States. The fund generally invests at least 80% of its net assets (including, for this purpose, any borrowings for investment purposes) in these stocks; typically, the actual percentage is considerably higher. The fund may invest in derivatives, principally futures contracts, and lend its securities to minimize the gap in performance that naturally exists between any index fund and its corresponding index.

About Schwab International Index (SWISX)

There are 4 members of the management team with an average tenure of 5.51 years: Christopher Bliss (2017), David Rios (2017), Joselle Duncan (2024), Mariela Jobson (2025). Management tenure is more important for actively managed funds than passive index funds.

The fund has 1 primary benchmark: MSCI EAFE NR USD index with a weighting of 100%. Schwab International Index has 691 securities in its portfolio. The top 10 holdings constitute 13.7% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.

Schwab International Index is part of the Equity global asset class and is within the International Equity fund group. Schwab International Index has 97.4% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 1.2%. There is 97.4% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.4% (0.4% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Schwab International Index has 0.9% of the portfolio in cash.

Assets Under Management

The fund has $14 billion in total assets, which is above the $2 billion average for the Foreign Large Blend category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

SWISX Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Schwab International Index expense ratio is low compared to funds in the Foreign Large Blend category. Schwab International Index has an expense ratio of 0.06%, which is 94% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. Schwab International Index has a portfolio turnover rate of 10%, indicating that holds its assets around 0.1 years. By way of comparison, the average portfolio turnover is 61% for the Foreign Large Blend category.

Recently, in the month of June 2026, Schwab International Index returned 0.6%, which earned it a grade of C, as the Foreign Large Blend category had an average return of 0.5%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.

Schwab International Index has a trailing yield of 3.22%, which is above the 2.19% category average. The fund normally distributes its income annually and its capital gains annually.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

Schwab International Index Grades

Year to date, the fund has returned 10.1%, 0.8 percentage points worse than the category, which translates into a grade of C. The fund has returned 20.2% over the past year (grade of C), 16.5% over the past three years (grade of C) and 9.2% per year over the past five years (grade of B) and 9.7% per year over the past 10 years (grade of C).

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