iShares Edge MSCI Intl Value Factor ETF (IVLU)

Overview

The iShares Edge MSCI Intl Value Factor ETF (IVLU) seeks to track the investment results of an index composed of international developed market equities that exhibit overall value characteristics. It offers exposure to a broad range of international developed markets with a focus on stocks that are considered undervalued based on fundamental metrics.

Reputation and Reliability

BlackRock is a leading global asset manager with a strong reputation for managing ETFs and other investment products. They are considered reliable and have a long track record in the market.

Management Expertise

BlackRock has a team of experienced investment professionals who manage its ETFs, including those focused on factor-based investing. They have expertise in portfolio construction, risk management, and trading.

Goal

The fund seeks to track the investment results of the MSCI International Value Factor Index.

Investment Approach and Strategy

Strategy: The ETF tracks the MSCI International Value Factor Index, which selects stocks from the MSCI World ex USA Index based on value characteristics.

Composition The ETF holds a diversified portfolio of stocks from international developed markets, primarily focusing on companies with relatively low valuations based on metrics such as price-to-book, price-to-earnings, and dividend yield.

Market Share: IVLU holds a relatively small market share within the international value ETF segment.

Total Net Assets (AUM): 172566670

Key Competitors

• Vanguard International Value ETF (VTVT)
• Avantis International Value ETF (AVIV)
• Dimensional International Value ETF (DFIV)

Competitive Landscape

The international value ETF market is competitive, with several large players offering similar strategies. IVLU competes with larger, more established funds like VTVT. Advantages include BlackRock's brand recognition and potential for factor outperformance. Disadvantages include a higher expense ratio compared to some competitors and relatively lower AUM.

Historical Performance: Historical performance can be viewed on financial websites. Past performance is not indicative of future results.

Benchmark Comparison: The ETF's performance should be compared to the MSCI International Value Factor Index to assess its tracking effectiveness.

Expense Ratio: 0.3

Average Trading Volume

The ETF exhibits moderate liquidity with an average trading volume that facilitates buying and selling shares, but it's lower than some of the larger, more liquid ETFs.

Bid-Ask Spread

The bid-ask spread is typically narrow, which indicates relatively low transaction costs, though it widens during periods of market volatility.

Market Environment Factors

Economic growth in international developed markets, interest rate policies of foreign central banks, currency fluctuations, and investor sentiment towards value stocks can all impact IVLU's performance.

Growth Trajectory

The ETF's growth depends on the popularity of value investing and the performance of international developed markets. There might be periodic adjustments to holdings to reflect index changes.

Competitive Edge

IVLU's competitive edge lies in its targeted approach to international value stocks within the iShares ETF family, providing a convenient way to access this factor. It benefits from BlackRock's established ETF platform and brand recognition. Its value factor tilt can provide diversification benefits within a broader portfolio. However, other competitors have a lower expense ratio.

Volatility

The ETF's volatility will depend on the volatility of the underlying international equity markets and the specific value factor strategy. Periods of economic uncertainty can lead to heightened volatility.

Market Risk

The ETF is subject to market risk, including the risk of declines in international equity markets, currency risk, and the risk that the value factor underperforms the broader market.

Ideal Investor Profile

IVLU is suitable for investors seeking exposure to international developed market equities with a value tilt. It's appropriate for those who believe value stocks will outperform growth stocks over the long term and who are comfortable with the risks associated with international investing.

Market Risk

IVLU may be suitable for long-term investors seeking factor diversification within their portfolio and who are comfortable with moderate risk.

The iShares Edge MSCI Intl Value Factor ETF (IVLU) provides targeted access to international developed market equities that exhibit value characteristics, offering diversification potential and a focus on undervalued stocks. Its performance is tied to the value factor's success and the health of international economies. While BlackRock's reputation is a plus, the ETF must compete with larger, lower-cost funds. Investors should consider the ETF's moderate liquidity and assess if its value-oriented strategy aligns with their investment goals and risk tolerance. IVLU can be a component of a diversified portfolio for investors seeking international value exposure.

Data Sources:

• iShares.com
• Bloomberg
• Morningstar

Disclaimers:

The information provided is for informational purposes only and should not be considered investment advice. Investors should consult with a qualified financial advisor before making any investment decisions. Past performance is not indicative of future results.