iShares International Country Rotation Active ETF (CORO)

Overview

The iShares International Country Rotation Active ETF (ICRO) is an actively managed fund that seeks to achieve capital appreciation by rotating its investments among developed and emerging market countries based on macroeconomic analysis and relative valuation. It aims to capitalize on international market trends and country-specific opportunities.

Reputation and Reliability

BlackRock is a globally recognized and highly reputable asset management firm, known for its extensive experience and wide range of investment products, including iShares ETFs.

Management Expertise

The management team at BlackRock possesses significant expertise in global macroeconomics, international investing, and active portfolio management.

Goal

The primary investment goal of ICRO is to achieve capital appreciation.

Investment Approach and Strategy

Strategy: ICRO is an actively managed ETF that does not track a specific index. It uses a proprietary model to determine country allocations based on macroeconomic factors and valuation metrics.

Composition The ETF primarily holds equity securities of companies located in various developed and emerging market countries. The specific holdings and country allocations change over time based on the active management strategy.

Market Share: ICRO's market share within the international active ETF category is relatively small, as the fund is niche and actively managed.

Total Net Assets (AUM): 79570718

Key Competitors

• First Trust Dorsey Wright Dynamic Focus 5 ETF (FVC)
• AGFiQ Dynamic Equity US ETF (US Equity)

Competitive Landscape

The competitive landscape includes various international equity ETFs, some passively managed and others actively managed using different strategies. ICRO differentiates itself with its country rotation strategy based on macroeconomic analysis. Its advantage is the potential for outperformance through active management, while a disadvantage is higher fees and the risk of underperformance compared to passively managed ETFs.

Historical Performance: Historical performance data should be obtained from reliable financial sources to assess the ETFu2019s returns over different time periods (e.g., 1-year, 3-year, 5-year, 10-year, and since inception).

Benchmark Comparison: ICRO's performance should be compared to a relevant international equity benchmark, such as the MSCI ACWI ex USA Index, to assess its effectiveness in generating alpha.

Expense Ratio: 0.49

Average Trading Volume

ICRO's average trading volume is moderate, which can affect the ease of buying and selling shares, especially for larger trades.

Bid-Ask Spread

The bid-ask spread for ICRO is typically reasonable, but can widen during periods of market volatility or low trading volume.

Market Environment Factors

ICRO is affected by global economic growth, interest rates, currency fluctuations, geopolitical events, and changes in investor sentiment towards international markets.

Growth Trajectory

ICRO's growth trajectory depends on its ability to generate positive returns through its active country rotation strategy and attract investor interest in international equity exposure.

Competitive Edge

ICRO's competitive edge lies in its active country rotation strategy managed by experienced professionals at BlackRock. The fund aims to identify and capitalize on macroeconomic trends and valuation discrepancies across different international markets. The active management approach offers the potential for outperformance compared to passive international equity ETFs. However, the success of the strategy depends on the manager's ability to accurately forecast market movements.

Volatility

ICRO's volatility is expected to be moderate to high, reflecting the inherent risks of investing in international equity markets and the active management strategy.

Market Risk

ICRO is exposed to market risk, currency risk, political risk, and economic risk associated with investing in international markets. Fluctuations in global equity markets and country-specific events can impact the fund's performance.

Ideal Investor Profile

The ideal investor for ICRO is someone seeking international equity exposure with the potential for enhanced returns through active management and willing to accept higher fees and potentially higher volatility.

Market Risk

ICRO is suitable for investors with a long-term investment horizon who are comfortable with the risks of international investing and active management. It is not ideal for passive index followers seeking broad market exposure at a low cost.

iShares International Country Rotation Active ETF is an actively managed fund that invests in international equities, rotating its investments among different countries based on macroeconomic analysis and valuation. The fund offers the potential for outperformance compared to passive international equity ETFs, but also carries higher fees and the risk of underperformance. ICRO is best suited for investors seeking international equity exposure with an active management approach and a higher risk tolerance. Investors should carefully consider their investment objectives, risk tolerance, and time horizon before investing in ICRO.

Data Sources:

• iShares.com
• Morningstar
• Bloomberg
• ETF.com

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered investment advice. Investment decisions should be based on your own due diligence and consultation with a qualified financial advisor. Market share data may be approximate and based on available information.