QDEF ETF ANALYSIS

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QDEF ETF FUNDAMENTALS
QDEF ETF PERFORMANCE

QDEF ISSUER

FlexShares Trust, the issuer behind the FlexShares Quality Dividend Defensive Index Fund (QDEF), aims to provide investors exposure to a high-quality income-oriented universe of U.S. equity securities. Managed by Northern Trust Investments, Inc., FlexShares focuses on long-term capital growth while maintaining a targeted overall beta that generally ranges from 0.5 to 1.0 times that of its Parent Index. Employing a transparent, rules-based approach to security selection and weighting, the issuer emphasizes management efficiency, profitability, and cash flow in its proprietary quality scoring model to construct the underlying index for QDEF.

QDEF DIVIDEND

The FlexShares Quality Dividend Defensive Index Fund (QDEF) seeks to provide exposure to a high-quality income-oriented universe of long-only U.S. equity securities, emphasizing long-term capital growth and a targeted overall beta generally between 0.5 to 1.0 times that of the Northern Trust 1250 Index. The fund employs a proprietary quality scoring model to select and weight eligible securities, aiming to maximize overall quality scores relative to the parent index. QDEF's dividend-focused strategy aims to achieve an aggregate dividend yield in excess of the parent index, making it an attractive choice for investors seeking income from quality U.S. equities.

QDEF TRACKING

The FlexShares Quality Dividend Defensive Index Fund (QDEF) offers investors a unique approach to gain exposure to a high-quality income-oriented universe of U.S. equity securities. QDEF's underlying index is designed to track companies that exhibit strong management efficiency, profitability, and cash flow generation. By aiming to maintain an overall beta generally between 0.5 to 1.0 times that of the Northern Trust 1250 Index, QDEF provides a balance between capital growth and stability, making it an attractive option for those seeking to track quality income-oriented investments.

QDEF CORRELATION

The FlexShares Quality Dividend Defensive Index Fund (QDEF) seeks to track the performance of a selection of high-quality income-oriented U.S. equity securities. QDEF's underlying index aims to provide exposure to companies with a focus on long-term capital growth and a targeted overall beta range. By employing a proprietary quality scoring model, the index aims to achieve a balance between quality, profitability, and cash flow metrics, resulting in a portfolio that can potentially deliver a correlation yield exceeding that of its parent index while maintaining a targeted beta range.

QDEF SECTOR

The FlexShares Quality Dividend Defensive Index Fund (QDEF) focuses on providing exposure to a high-quality income-oriented universe of U.S. equity securities. QDEF aims to track the performance of the Northern Trust Quality Dividend Defensive Index, which emphasizes long-term capital growth and targets a beta generally between 0.5 to 1.0 times that of the Northern Trust 1250 Index. By selecting companies with strong management efficiency, profitability, and cash flow generation, the QDEF ETF offers investors an opportunity to access a portfolio of stocks with a focus on quality within the equity market.

QDEF EXPOSURE

The FlexShares Quality Dividend Defensive Index Fund (QDEF) seeks to provide exposure to a high-quality income-oriented universe of U.S. equity securities, emphasizing long-term capital growth and maintaining a targeted overall beta generally between 0.5 to 1.0 times that of the Northern Trust 1250 Index. The underlying index, designed by Northern Trust, applies a proprietary quality scoring model to assess management efficiency, profitability, and cash flow. By selecting and weighting securities based on their quality scores, QDEF aims to deliver consistent quality and dividend-focused exposure to investors while mitigating overall active risk exposure to single factors.

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