UEVM ISSUER
The UBS ETRACS MSCI Emerging Markets Value and Momentum ETN (UEVM) is managed by UBS, a leading global financial services firm. UEVM is designed to track the performance of the MSCI Emerging Markets Value and Momentum Index, which is constructed by MSCI, Inc., a renowned index provider, following a rules-based methodology. This index aims to offer exposure to equity market performance in emerging markets while emphasizing value and momentum factors within the broader Nasdaq Emerging Market Large Mid Cap Index. UEVM incorporates a liquidity filter to screen out securities with low liquidity, and its constituents are selected based on value and momentum scores, providing investors with a unique approach to investing in emerging markets.
UEVM DIVIDEND
The USAA MSCI Emerging Markets Value Momentum Blend ETF (UEVM) offers investors the opportunity to tap into emerging market stocks with a focus on both value and momentum factors. While dividend income may not be the primary objective of this ETF, it still mirrors the dividend distribution of the underlying MSCI Emerging Markets Index. Dividends from UEVM are typically distributed on a regular basis, reflecting the dividend policies and performances of the constituent companies within the index. As emerging markets can offer a mix of growth and income opportunities, investors may consider UEVM for potential capital gains and some dividend returns.
UEVM TRACKING
UEVM, the VictoryShares Emerging Markets Value Momentum ETF, is designed to closely follow the Nasdaq Emerging Markets Large Mid Cap Value Momentum Index. To achieve its investment objective, UEVM invests at least 80% of its assets in securities within the Index, depositary receipts on Index securities, and securities underlying depositary receipts within the Index. The Nasdaq, Inc. constructs this Index using a rules-based methodology, which comprises securities issued by companies associated with emerging market countries. The Index focuses on providing exposure to equity market performance in global emerging markets while emphasizing higher exposure to value and momentum factors within the Nasdaq Emerging Market Large Mid Cap Index (the Parent Index). It aims to maintain moderate Index turnover and lower realized volatility compared to traditional capitalization-weighted indexes by applying a liquidity filter to screen out securities with low liquidity. UEVM employs a value factor that assesses a stock's attractiveness relative to its fundamentals, including metrics like price to earnings, price to book value, and price to operating cash flow. Additionally, it utilizes a momentum factor to evaluate whether a company's share price is trending up or down over specific periods. The Index Provider ranks each stock based on its value and momentum scores and selects the top 25% of ranked stocks for inclusion in the Index. The Index is comprised of equity securities, including ADRs and GDRs, representing emerging market countries such as Argentina, Brazil, China, India, Russia, South Africa, and more. UEVM aims to track the returns of this Index before fees and expenses by using a sampling process to invest in a representative sample of stocks within the Index. It may also allocate up to 20% of its assets in instruments other than Index securities, including derivatives like index futures, to enhance tracking. While UEVM does not currently concentrate its investments in any specific industry, it may do so if the Index becomes concentrated in the future. The Index is rebalanced and reconstituted quarterly to reflect changes in sector representation and the evolving landscape of emerging markets. In summary, UEVM Tracking involves closely following the Nasdaq Emerging Markets Large Mid Cap Value Momentum Index, offering investors exposure to emerging market equities with an emphasis on value and momentum factors while maintaining lower volatility and moderate turnover.
UEVM CORRELATION
The correlation aspect of the Invesco Exchange-Traded Fund Trust II - Invesco MSCI Emerging Markets Ultra Dividend Revenue ETF (UEVM) is influenced by its investment strategy, which aims to achieve returns by investing in securities that track the MSCI Emerging Markets Index with a focus on value and momentum factors. As a result, UEVM exhibits correlations with emerging market equities, particularly those found within the MSCI Emerging Markets Index. Its value and momentum-focused approach often results in correlations with sectors and assets that align with these factors. For detailed and up-to-date correlation insights related to UEVM, investors can leverage the ETF Insider web app, which offers a user-friendly visualization tool to explore correlations with other US ETFs, providing valuable insights into investment decisions.
UEVM SECTOR
The iShares MSCI Emerging Markets Value ETF (UEVM) focuses on investing in securities associated with emerging market countries. It seeks to track the MSCI Emerging Markets Enhanced Value Index, which provides exposure to global emerging markets with an emphasis on value and momentum factors. The ETF aims to offer investors an opportunity to participate in the growth potential of emerging markets while focusing on attractively priced stocks with strong momentum. UEVM utilizes a rules-based methodology and a liquidity filter to select securities for its portfolio, ensuring a balanced representation across various emerging market countries and sectors.
UEVM EXPOSURE
The exposure characteristic of the iShares MSCI Emerging Markets Value ETF (UEVM) reflects its investment strategy, which aims to replicate the performance of a unique index. UEVM focuses on providing investors with exposure to a quantitatively constructed 130/30 U.S. large-cap equity strategy. This strategy involves establishing both long and short positions in the stocks of 500 leading large-cap U.S. companies. The index utilizes a rules-based ranking and weighting methodology that considers 50 factors, grouped into ten equal-weighted factor composites, including traditional value, relative value, historical growth, expected growth, and more. The index's goal is to have total long exposure of 130% and total short exposure of 30% at each monthly reconstitution date, resulting in risk characteristics similar to the broader universe of large-cap U.S. stocks.
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