AAM S&P 500 High Dividend Value ETF (SPDV)

Overview

The AAM S&P 500 High Dividend Value ETF (SPDV) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the S&P 500 High Dividend Value Index. It focuses on large-cap U.S. companies with high dividend yields and value characteristics.

Reputation and Reliability

AAM is an established asset manager focused on smart beta and actively managed ETFs. While not one of the largest issuers, they are known for their rules-based and transparent approach.

Management Expertise

AAM has a team of experienced investment professionals specializing in quantitative and rules-based investment strategies.

Goal

To track the S&P 500 High Dividend Value Index and provide current income and long-term capital appreciation.

Investment Approach and Strategy

Strategy: The ETF tracks the S&P 500 High Dividend Value Index, which selects companies from the S&P 500 based on dividend yield and value factors.

Composition The ETF primarily holds stocks of large-cap U.S. companies characterized by high dividend yields and value characteristics.

Market Share: SPDV's market share within the high dividend value ETF segment is relatively small compared to larger competitors.

Total Net Assets (AUM): 172400000

Key Competitors

• Vanguard High Dividend Yield ETF (VYM)
• Schwab US Dividend Equity ETF (SCHD)
• iShares Select Dividend ETF (DVY)

Competitive Landscape

The high dividend value ETF market is highly competitive, dominated by larger, more established ETF providers like Vanguard and Schwab. SPDV distinguishes itself by focusing on a more concentrated portfolio of high dividend value stocks within the S&P 500. This targeted approach offers potentially higher yield but also higher concentration risk compared to more diversified competitors. SPDV advantages include a rules-based index methodology and potentially higher dividend yield. Disadvantages includes it's smaller AUM and lower liquidity compared to peers

Historical Performance: Historical performance data needs to be collected from financial sources.

Benchmark Comparison: Benchmark comparison data needs to be collected from financial sources.

Expense Ratio: 0.29

Average Trading Volume

The average trading volume of SPDV is moderate, which may affect the ease of buying and selling large positions.

Bid-Ask Spread

The bid-ask spread for SPDV is generally competitive but can widen during periods of market volatility.

Market Environment Factors

Economic growth, interest rate movements, and sector-specific factors influence the performance of SPDV, particularly those affecting dividend-paying stocks and value companies.

Growth Trajectory

Growth trends depend on the performance of the underlying index, inflows into the ETF, and the overall market demand for high dividend and value strategies, coupled with possible portfolio adjustments.

Competitive Edge

SPDV's competitive advantage lies in its focused exposure to high dividend value stocks within the S&P 500, potentially providing higher yield than broader dividend ETFs. The rules-based index methodology ensures transparency and consistency in stock selection. Its smaller size can allow for more nimble adjustments in the portfolio, but it can also mean lower trading volume. The lower trading volume can translate into wider bid-ask spreads.

Volatility

Historical volatility data needs to be collected from financial sources.

Market Risk

SPDV is exposed to market risk, particularly the risk associated with equity investments, dividend-paying stocks, and value-oriented companies. Sector concentration can amplify risk if certain sectors underperform.

Ideal Investor Profile

SPDV is suitable for investors seeking current income, exposure to value stocks, and a focus on high dividend yields. It is best for investors who understand the risks associated with concentration in high dividend value stocks.

Market Risk

SPDV is best suited for long-term investors seeking income and moderate capital appreciation, and who are comfortable with value-oriented investments.

AAM S&P 500 High Dividend Value ETF (SPDV) offers targeted exposure to high dividend value stocks within the S&P 500. It aims to provide current income and long-term capital appreciation by tracking the S&P 500 High Dividend Value Index. While offering potentially higher yield, it also carries greater concentration risk compared to broader dividend ETFs. SPDV is suitable for long-term investors seeking income and value exposure, but investors should be aware of its smaller size and potential liquidity constraints.

Data Sources:

• AAM Website
• ETF.com
• Morningstar
• Bloomberg

Disclaimers:

The information provided is for informational purposes only and should not be considered investment advice. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions. Market share data is estimated and may vary. Financial data is subject to change.