iShares Edge MSCI USA Multifactor

ETF description

This ETF aims to track the performance of companies in the U.S. stock market by using multiple factors that may influence investment returns. These factors include value (focusing on stocks that appear underpriced), quality (selecting financially stable companies), momentum (investing in stocks with recent strong performance), and size (favoring smaller companies). By blending these factors, the ETF seeks to provide a diversified approach to U.S. equities, rather than concentrating on one specific investment style.

The fund could appeal to investors who want to take advantage of different market conditions by combining various strategies that aim to capture different aspects of stock performance.

Issuer details

iShares ETFs are issued and managed by BlackRock, the world’s largest asset management company.

With 800+ products globally and over $2trn in assets (as at June 2024), iShares ETFs are a flexible, low‑cost way for investors to gain exposure to various market segments, including fixed income, emerging markets and broad‑based indexes.

Index details

The Edge MSCI USA Multifactor index provides diversified exposure to U.S. equities by incorporating multiple investment factors, such as value, momentum, quality, and low volatility. By leveraging a multifactor approach, this index aims to capture the benefits of various investment styles and strategies, potentially enhancing returns while managing risk. Its emphasis on a multifactor strategy within the U.S. equity market makes it a valuable addition for portfolios seeking to capitalize on a broad range of investment factors and achieve a balanced exposure to different market dynamics.