Value investors might want to take a closer look at this fund. Looking for a globally diversified value-oriented ASX ETF that's beaten the market for the past 3 years? You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources , and more. Learn More If you're looking for a simple and effective way to invest internationally, capture undervalued companies, and outperform the market, the VanEck MSCI International Value ETF (ASX: VLUE) could be worth a serious look. Over the past three years, this ASX has delivered an impressive average return of 12.7% per annum, significantly outperforming the popular Vanguard Australian Shares Index ETF (ASX: VAS), which returned 5.3% per annum over the same period. Clearly, that the VanEck MSCI International Value ETF hasn't just kept pace with the market — it has left it behind. What is this ASX ETF? The VanEck MSCI International Value ETF gives investors exposure to a diversified portfolio of 250 international developed market companies. However, these aren't just any companies. The ETF specifically targets large and mid-cap businesses that exhibit strong value characteristics. Companies are selected based on key measures such as price-to-book value, price-to-forward earnings, and enterprise value relative to cash flow from operations. In essence, the ASX ETF aims to capture stocks that appear cheap relative to their sector peers, ensuring a strong tilt toward the value factor without taking unwanted sector risks. The portfolio is also rebalanced semi-annually to maintain this focus, with adjustments made in May and November each year. What are you buying? Among the ASX ETF's top holdings are some of very big names. It currently holds a sizeable position in Cisco Systems (NASDAQ: CSCO), the American technology conglomerate renowned for its networking solutions. Another major holding is AT&T (NYSE: T), one of the largest telecommunications companies in the world. IBM (NYSE: IBM), a global leader in enterprise technology and consulting services, also features in the fund. In the technology sector, the VanEck MSCI International Value ETF holds Qualcomm (NASDAQ: QCOM), a key player in wireless innovation, and Intel (NASDAQ: INTC), a pioneer in semiconductor manufacturing. Other holdings include automotive giant Toyota Motor Corporation, Verizon Communications (NYSE: VZ), British banking giant HSBC Holdings, and global energy company Shell. Why it could be worth considering? This ASX ETF's construction ensures that investors gain access to a wide range of global industries and economies while maintaining a disciplined focus on value. VanEck notes that each company is weighted in a way that reflects its relative valuation score and its importance within the broader global equity market, rather than simply by size alone. This design provides a high level of diversification while keeping the portfolio grounded in the value investing philosophy. Foolish takeaway In an investment landscape often dominated by discussions of high-flying growth stocks, the VanEck MSCI International Value ETF offers a compelling alternative. Its focus on companies trading at attractive valuations has been rewarded handsomely over the past few years, and with market conditions continuing to favour value strategies, there is good reason to believe that the VanEck MSCI International Value ETF could continue to deliver strong returns.