International ETFs are staging a comeback this year after years of U.S. market dominance fueled by Big Tech and the Magnificent Seven.Global ETF assets under management touched a record $21.91 trillion at the end of April, data from ETFGI shows. That exceeds the previous high of $21.24 trillion achieved in February.Developed markets outside the U.S. gained 9.44% in April and are up 9.63% year-to-date in 2026, roughly matching, and in some cases outperforming, the S&P 500's near-9% gain this year. Emerging markets also climbed 10.53% in April and are up 7.39% so far this year.The steady performance is reigniting interest in international and emerging-market ETFs after a decade in which U.S.-focused stocks and funds dominated investor flows.Korea And Taiwan ETFs Lead The RallyAmong developed markets, South Korea posted one of the strongest gains globally in April, with YTD gains of more than 38%, while Taiwan continued to benefit from semiconductor- and AI-related momentum. Taiwan stocks gained more than 26% YTD.Valuation Gap Is Driving DiversificationOne major catalyst behind the renewed interest in international ETFs is valuation.After years of U.S. outperformance, many international markets still trade at substantial discounts to American equities, particularly compared with high-priced AI and mega-cap technology stocks.That valuation gap is becoming increasingly attractive as investors search for diversification beyond the concentrated U.S. tech trade.The rotation also comes as: