4 min readBy Beqa Bumbeishvili ETF Insider
DGRO Vs IDV: Tracking and Exposure
DGRO and IDV are distinctively tailored ETFs, each catering to specific investment preferences within the dividend investing landscape.
The John Hancock Multifactor Small Cap ETF (JHSC) is offered by John Hancock Investment Management. Launched with the objective to provide investors exposure to a diversified portfolio of small-cap U.S. stocks, JHSC follows a rules-based approach developed and maintained by Dimensional Fund Advisors LP.
The John Hancock Multifactor Small Cap ETF (JHSC) primarily focuses on replicating the performance of the Dimensional U.S. Small Cap Value Index. While dividend distribution may not be its primary objective, this ETF's dividend distribution follows the policies and performance of the underlying index. Dividends from JHSC are typically distributed on a quarterly basis, and eligibility is determined by the dividend policies of the constituent companies within the index. Investors seeking exposure to smaller U.S. companies with value characteristics may consider JHSC for both potential capital appreciation and dividend income.
Tracking the Dimensional U.S. Targeted Value Factor Index lies at the heart of the JHancock Multifactor Small Cap ETF's investment strategy. JHSC seeks to allocate at least 80% of its net assets towards securities that constitute its underlying index, which is curated and maintained by Dimensional Fund Advisors LP. This index aims to encompass a subset of U.S. equities issued by companies with market capitalizations smaller than the 750th largest U.S. company, excluding the bottom 4% by market cap. Employing a rules-based approach, securities are selected and weighted based on factors like market capitalization, relative price, profitability, and asset growth. JHSC tracks this multifactor index with the goal of delivering performance consistent with its benchmark, making it a compelling choice for investors seeking exposure to small-cap U.S. stocks with a targeted value focus.
The correlation aspect of the John Hancock Multifactor Small Cap ETF (JHSC) is vital for understanding its performance in relation to the broader U.S. small-cap equity market. JHSC seeks to replicate the performance of the Dimensional U.S. Small Cap Value Index, which is designed to include smaller market-cap U.S. companies with certain profitability and price characteristics. Given this specific focus, JHSC's correlation with the broader small-cap market and value factors is an important consideration for investors. To explore and analyze JHSC's correlations in detail, investors can utilize the ETF Insider web app, which offers comprehensive insights and visualizations to make informed investment decisions while highlighting any potential overlaps with other U.S. ETFs.
The John Hancock Multifactor Small Cap ETF (JHSC) focuses on the small-cap segment of the market, specifically targeting companies with smaller market capitalizations than the 750th largest U.S. company. This ETF employs a multifactor investing approach, using factors such as relative price, profitability, and asset growth to select and weight securities within its index. While it seeks to capture the potential for higher returns associated with small-cap stocks, investors should be aware of the inherent risk and potential volatility that come with this sector concentration.
The exposure characteristic of the John Hancock Multifactor Small Cap ETF (JHSC) is centered around its focus on the small-cap segment of the U.S. equity market. JHSC aims to track the performance of the Dimensional U.S. Small Cap Index, which comprises a subset of U.S. companies with market capitalizations smaller than the 750th largest U.S. company, excluding the smallest 4%. This ETF employs a multifactor investing strategy, selecting and weighting securities based on market capitalization, relative price, profitability, and asset growth. Investors considering JHSC can gain exposure to a diversified portfolio of small-cap stocks, potentially tapping into the growth potential inherent in this market segment.
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4 min readDGRO and IDV are distinctively tailored ETFs, each catering to specific investment preferences within the dividend investing landscape.
4 min readWe will undertake a thorough comparison between two prominent ETFs: EEM (iShares MSCI Emerging Markets ETF) and IWB (iShares Russell 1000 ETF).
7 min readThe JHSC ETF is a specialized investment fund that focuses on a specific sector. This exchange-traded fund offers investors exposure to a range of companies in this sector.
ETF Insider is a novel portfolio optimization tool that uses the power of data visualization to gain insight into portfolio compositions, concentration risks, portfolio efficiency and more. Complex financial data can be transformed into visually appealing and easily digestible graphs and charts, allowing investors to quickly identify trends and make well-informed investment decisions. Not only does this save time, but it also increases the accuracy and effectiveness of portfolio management.
