John Hancock Multifactor Mid Cap ETF (JHMM)

Overview

The John Hancock Multifactor Mid Cap ETF (JHMM) seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the John Hancock Dimensional Mid Cap Index. The ETF focuses on U.S. mid-cap stocks, utilizing a multifactor investment approach that considers profitability, relative price, and size factors.

Reputation and Reliability

John Hancock is a well-established and reputable financial services company with a long history in the investment management industry.

Management Expertise

The management team has experience in factor-based investing and utilizes the expertise of Dimensional Fund Advisors for the underlying index.

Goal

To provide investment results that closely correspond, before fees and expenses, to the performance of the John Hancock Dimensional Mid Cap Index.

Investment Approach and Strategy

Strategy: The ETF aims to track the John Hancock Dimensional Mid Cap Index, which uses a multifactor approach, considering profitability, relative price, and size.

Composition The ETF holds a portfolio of U.S. mid-cap stocks selected and weighted based on the factors defined in the underlying index methodology.

Market Share: The John Hancock Multifactor Mid Cap ETF has a moderate market share within the mid-cap ETF segment.

Total Net Assets (AUM): 1928000000

Key Competitors

• iShares Core S&P Mid-Cap ETF (IJH)
• Vanguard Mid-Cap ETF (VO)
• Schwab U.S. Mid-Cap ETF (SCHM)

Competitive Landscape

The mid-cap ETF market is highly competitive, with several large players. JHMM differentiates itself through its multifactor approach, which may appeal to investors seeking enhanced returns compared to broad market-cap-weighted ETFs. However, larger ETFs benefit from greater liquidity and brand recognition.

Historical Performance: Historical performance data should be retrieved from financial data providers. The ETF's returns will vary depending on market conditions and the effectiveness of its multifactor strategy.

Benchmark Comparison: The ETF's performance should be compared to the Russell Midcap Index or similar mid-cap benchmarks to assess its relative performance.

Expense Ratio: 0.29

Average Trading Volume

The ETF's liquidity is sufficient for most investors, evidenced by an average trading volume that allows for relatively easy buying and selling of shares.

Bid-Ask Spread

The bid-ask spread is typically narrow, indicating a relatively low cost of trading the ETF.

Market Environment Factors

Economic growth, interest rate changes, and sector-specific trends can impact the performance of mid-cap stocks held by JHMM.

Growth Trajectory

The ETF's growth trajectory depends on its ability to attract and retain assets, driven by its investment performance and marketing efforts.

Competitive Edge

JHMM's competitive advantage lies in its multifactor approach, aiming to capture excess returns by targeting profitable, attractively priced, and smaller-sized mid-cap companies. The index methodology is based on research from Dimensional Fund Advisors, which has a strong track record in factor-based investing. This factor-based approach provides a distinct investment strategy compared to traditional market-cap-weighted indexes. The ETF also benefits from the John Hancock brand, which is known in the investment community. These characteristics collectively help in attracting investors who prioritize a systematic and research-driven investment strategy within the mid-cap market.

Volatility

The ETF's volatility will be similar to that of other mid-cap equity investments.

Market Risk

Market risk is the primary risk, as the value of the ETF's holdings can fluctuate based on overall market conditions and investor sentiment towards mid-cap stocks.

Ideal Investor Profile

The ideal investor is one seeking exposure to U.S. mid-cap stocks with a multifactor investment approach. These investors typically have a long-term investment horizon.

Market Risk

The ETF is best suited for long-term investors seeking diversified exposure to the mid-cap segment of the U.S. equity market, utilizing a factor-based approach.

The John Hancock Multifactor Mid Cap ETF (JHMM) offers a differentiated approach to mid-cap investing through its multifactor strategy, targeting profitability, relative price, and size factors. While it faces competition from larger, more liquid mid-cap ETFs, its factor-based methodology may appeal to investors seeking potentially enhanced returns. The ETFu2019s performance will be influenced by market conditions and the effectiveness of its investment strategy. The expense ratio is a consideration, though is relatively competitive within its peer group. Investors should weigh the benefits of the multifactor approach against the potential for underperformance relative to a broad market-cap-weighted index.

Data Sources:

• John Hancock official website
• ETF.com
• Morningstar
• Bloomberg

Disclaimers:

The information provided is for informational purposes only and should not be considered investment advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor. Market share data is based on the most recent available information and may not be exact.