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Why we gave this rating

Gold indices are determined to be of high quality, scoring favorably in categories judged to be critical by The Index Standard. This is an admirable index ETF that uses a well-structured framework to deliver more stable and smoother returns than the benchmark index. Using an optimized approach with tools that MSCI is well known for, the index essentially overweight's stocks with the lowest volatility and low correlation to other stocks. The result is a well diversified, defensive index that gives exposure to a group of US stocks with more consistent performance. It has a lower beta to the benchmark and could be appealing to risk-adverse readers and those seeking stability. The index may have some overweight sector exposures over time and as of Q1 2024 it has a slight overexposure to the IT sector that currently has more than 20% allocation.

iShares Edge MSCI Min Vol USA ETF

Inception Date: 1 Jan 2011

Sponsor

MSCI

Total Assets

23 Billion

Fee

15 bps

  • Ticker

    USMV.US

  • Index Type

    Total Return

  • Index Bloomberg Ticker

    USMV US Equity

  • Style Information

    Low Volatility

  • Weighting Scheme

    Optimized

  • Asset Class

    Equity

  • Replication Process

    Physical

  • Underlying Region

    USA

  • Region Distributed

    United States

The information pertains exclusively to the index described. It does not address the historical performance or forecast or a product or products that use the index and it does not consider any floors, caps, participation rates or fees.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE PERFORMANCE.

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The Index Standard Inc., doing business as The Index Standard®, is not, and does not act as, a registered investment advisor or fiduciary. Nothing in the Service Content (including any reports, forecasts, ratings, or other service content) is intended, and it should not be construed, to be investment advice. All information is provided solely for informational purposes. A reference to a particular index or security, an index rating or any observation concerning an index or investment that is provided on the Services is not a recommendation to buy, sell or hold such index or investment or make any other investment decisions and does not address the suitability of any index or investment.

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Laurence Black, founder and a shareholder of The Index Standard®, is also an index advisor to Robert J. Shiller via a separate entity. Strict confidentiality is maintained between relevant entities. To avoid conflicts of interest The Index Standard® does not provide commentary or views on the Shiller Barclays indices. All ratings and forecasts provided by The Index Standard® are systematically generated, thereby ensuring objectivity.

The ratings and forecasts are implemented for The Index Standard® by COMPASS FINANCIAL TECHNOLOGIES SA. COMPASS FINANCIAL TECHNOLOGIES SA uses its best efforts to ensure that the ratings and forecasts are calculated correctly. The calculation of these ratings and forecasts by COMPASS FINANCIAL TECHNOLOGIES SA does not constitute a recommendation by COMPASS FINANCIAL TECHNOLOGIES SA to invest capital in financial products nor does it in any way represent an assurance or opinion of COMPASS FINANCIAL TECHNOLOGIES SA with regard to any investment therein. Readers are made aware, and accept, that calculations are based on large quantities of data provided by third parties and are thus susceptible to errors, interruptions and delays.