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At least for the past few years, many international economic segments performed far better than their domestic counterparts. For example, WisdomTree's International Communications Fund (DGG) made minced meat out of the iShares Dow Jones Telecom Fund (NYSEARCA:IYZ).

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And for the last 18 months or more, investors seeking targeted sector exposure that excluded US companies only had WisdomTree vehicles. Until now.

Tuesday, State Street unleashed a bevy of market-cap weighted international sector ETFs. I've listed the new funds from the press release here.

SPDR® S&P® International Consumer Discretionary Sector ETF (NYSEARCA:IPD). Index includes more than 990 non-U.S. consumer discretionary companies with market capitalizations of at least $100 million.

SPDR® S&P® International Consumer Staples Sector ETF (NYSEARCA:IPS). Index includes more than 330 non-U.S. consumer staples companies with market capitalizations of at least $100 million.

SPDR® S&P® International Financial Sector ETF (NYSEARCA:IPF). Index includes more than 1,000 non-U.S. financial services companies with market capitalizations of at least $100 million.

SPDR® S&P® International Health Care Sector ETF (NYSEARCA:IRY). Index includes more than 330 non-U.S. health care companies with market capitalizations of at least $100 million.

SPDR®S&P® International Industrial Sector ETF (NYSEARCA:IPN). Index includes more than 1,200 non-U.S. industrial companies with market capitalizations of at least $100 million.

SPDR® S&P® International Materials Sector ETF (NYSEARCA:IRV). Index includes more than 640 non-U.S. materials companies with market capitalizations of at least $100 million.

SPDR® S&P® International Technology Sector ETF (NYSEARCA:IPK). Index includes more than 650 non-U.S. technology companies with market capitalizations of at least $100 million.

SPDR® S&P® International Telecommunications Sector ETF (NYSEARCA:IST). Index includes more than 70 non-U.S. telecommunications companies with market capitalizations of at least $100 million.

SPDR®S&P® International Utilities Sector ETF (NYSEARCA:IPU). Index includes more than 130 non-U.S. utilities companies with market capitalizations of at least $100 million.

SPDR® S&P® International Energy Sector ETF (NYSEARCA:IPW). Index includes more than 300 non-U.S. energy companies with market capitalizations of at least $100 million.

There are a number of fairly straightforward observations regarding the differences between what State Street now offers and the WisdomTree international sector funds. For starters, State Street is sticking with the traditional market-cap weighted methodology. The largest companies will be the more powerful forces in a State Street ETF.

In contrast, WisdomTree's appeal began years ago with a dividend-weighted index methodology. Any international sector index weights companies based on regular cash dividends paid. It follows that the dividend payout in each WisdomTree international sector vehicle will likely be much higher than that of the new State Street products.

Of course, before getting excited by tantalizing dividend yields with WisdomTree, recognize that those dividends come annually. State Street typically has quarterly payouts... and that may be more important to an exchange-traded fund investor.

Moreover, State Street is charging an annual expense of 0.5% for international sector ETFs. WisdomTree offerings are slightly higher at .58%.

In the end, of course, I wouldn't predict radical deviations between like ETFs. In other words, I would expect that the SPDR® S&P® International Technology Sector ETF would exhibit a nearly identical pattern to WisdomTree's International Technology Fund (DBT) over time.

So why would you choose one over the other? Preference... simple preferences. One person might be a stickler for fees and more regular payouts of dividends. That person should go with a State Street version. On the flip side, a long-term holder of a given international sector may prefer the higher dividend reward from the WisdomTree dividend weighting approach.

The biggest implication? Investors are increasingly looking to divest from US markets. The international scene has clearly grabbed the spotlight away from tried-and-true, Red-White-and-Blue.

Disclosure Statement: ETF Expert is a web log ("blog") that makes the world of ETFs easier to understand. Pacific Park Financial, Inc., a Registered Investment Advisor with the SEC, may hold positions in the ETFs, mutual funds and/or index funds mentioned above. Investors who are interested in money management services may visit the Pacific Park Financial, Inc. web site.

Source: International Sector ETFs: State Street Takes on WisdomTree