Foreign Equities in 2026? Check out This Zero-Fee ETF

It’s no secret that foreign equities performed very well in 2025. The category benefitted from both existing trends outside the U.S. and tariff-related uncertainty, with U.S. investors flocking to ex-U.S. offerings. Many of the same trends that benefitted foreign equities this past year look to be active in 2026, once again prompting investors to consider where and how to add foreign equities exposure. 

See more: T. Rowe Price Combines Passive & Active Benefits in 2 New ETFs

While there are plenty of ETFs out there focusing on foreign equities, one recently-launched active ETF offers a particularly strong case. The T. Rowe Price Active Core International Equity ETF (TACN) launched just a few weeks ago, charging a zero basis point fee from launch through January 30, 2027, and only 0.2% (20 basis points) thereafter. 

Foreign Equities: A Fresh Approach?

Active ETFs have played an increasingly popular role for investors, offering flexibility and fundamental analysis that can help funds stand out abroad. TACN, however, sets itself apart from both active and passive foreign equities ETFs by taking the best parts of both. 

The strategy combines quantitative-research-driven investing with T. Rowe Price’s fundamental research capabilities. According to the firm’s Global Head of ETFs, Tim Coyne, the strategy also aims to maintain “disciplined risk controls.” What sets it apart, too, is how combining those attributes can help the fund serve a core role in foreign equities allocations by combining those benefits, making TACN a sturdy, long-term active solution in the space.

For example, a strategy that engages in pure stock picking by managers may prove somewhat more volatile than one with index-like exposure, backed by quantitative research and looking to offer a degree of risk control. On the other end of the spectrum, relying too heavily on index-driven investing in low-information foreign markets can limit strategies’ ability to adapt. For its zero fee, TACN looks to get the best out of both.

Ex-U.S. equities offer a lot of opportunities right now amid a declining dollar, inflation uncertainty, and tariff issues. With the new year right around the corner, investors can refresh their portfolios and take another swing at the category with TACN’s active core approach while also taking advantage of the ETF’s 2026 fee waiver.

For more news, information, and strategy, visit the Active ETF Content Hub.