Investing

First Trust Large Cap Core AlphaDEX Fund Ranked Best US Large Cap Smart Beta ETF Amid Covid Concerns And Mixed Economic Data

While the markets are trying to fight off the red tape this morning, they have a few things working against them. Although YTD returns are impressive, there are cracks in the global economy that cannot be ignored at this point and time. The Delta variant of Covid-19 continues to thrash reopening efforts, and fiscal and monetary stimulus cannot go on in this amount forever — at some point there will be interest rate hikes and tapering. Of course, the most recent nonfarm payrolls report from last week is likely going to give some runway to central bankers to continue easing, after it missed expectations of job creations by almost 500,000 workers. The Nasdaq
NDAQ
remains the only index in the green this morning as we start to look at some US Large Cap Smart Beta ETFs for your portfolio today. While caution can be warranted, these holdings are well diversified and concentrate on companies that are not likely to fail anytime soon. Q.ai’s deep learning algorithms have identified several top US Large Cap Smart Beta ETFs based on fund flows over the last 90-days, 30-days, and 7-days. We have recognized 1 ETF rated as “Best,” 4 ETFs rated as “Good,” and another 5 ETFs rated as “Caution.”

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Best

First Trust Large Cap Core AlphaDEX Fund (FEX)

The First Trust Large Cap Core AlphaDEX Fund is our only Best-rated ETF this week. The objective of the ETF is to correspond generally to the performance of the NASDAQ AlphaDEX Large Cap Core Index. The ETF is the smallest on this week’s list with just $1,139,466,165.14 AUM. It has also seen primarily negative fund flows, with a 90-day fund flow of -$17,468,500.00, and a 30-day fund flow of -$13,228,500.00. Its net expense ratio of 0.61% is by far the priciest on this week’s list.  

MORE FROM FORBESFirst Trust Large Cap Core AlphaDEX Fund (FEX)

Good

Schwab US Large-Cap ETF (SCHX)

The Schwab US Large-Cap ETF is our first Top US Large Cap Smart Beta ETF rated as “Good” this week. The ETF’s goal is to track as closely as possible the total return of the Dow Jones U.S. Large-Cap Total Stock Market Index. The ETF is small to medium sized with $28,945,971,026.63 AUM. It has also seen consistently positive fund flows, with a 90-day fund flow of $812,338,480.25, 30-day fund flow of $151,276,431.35, and 1-week fund flow of $16,372,543.95. It also has a very attractive net expense ratio of 0.03%. 

MORE FROM FORBESSchwab US Large-Cap ETF (SCHX)

Invesco S&P 500 Equal Weight ETF (RSP)

The Invesco S&P 500 Equal Weight ETF is our next Good-rated ETF for this week. The ETF is based on the S&P 500 Equal Weight Index, and equally weights the stocks in the S&P 500 Index. Both the fund and the index are rebalanced quarterly. The ETF is small to medium sized with $25,723,229,941.61 AUM. It has also seen consistently positive fund flows, with a 90-day fund flow of $519,759,070.20, 30-day fund flow of $744,692,817.70, and 1-week fund flow of $120,336,796.60. Its net expense ratio of 0.2% is decent, but more expensive than many other ETFs on this week’s list. 

MORE FROM FORBESInvesco S&P 500 Equal Weight ETF (RSP)

Vanguard Large-Cap ETF (VV)

The Vanguard Large-Cap ETF is our next Good-rated ETF this week. The ETF aims to track the performance of the CRSP US Large Cap Index, and provides investors a convenient way to gain diversified exposure to large-cap U.S. companies. The ETF is small to medium sized with $23,373,167,816.32 AUM. It has also seen mixed fund flows, with a 90-day fund flow of $372,754,552.68, 30-day fund flow of $154,455,469.54, and 1-week fund flow of -$10,347,382.56. Its net expense ratio of 0.04% is also quite cheap. 

MORE FROM FORBESVanguard Large-Cap ETF (VV)

iShares Dow Jones U.S. ETF (IYY)

The next ETF on our list of Good-rated is the iShares Dow Jones U.S. ETF. The ETF aims to track the performance of the Dow Jones, and to provide investors easy exposure to a broad range of large and mid-sized U.S. companies. The ETF is one of the smallest on this week’s list with $1,592,105,776.10 AUM. It has also seen positive fund flows, with a 90-day fund flow of $237,650.00. Its net expense ratio of 0.2% is pricier than other ETFs on this week’s list.

MORE FROM FORBESiShares Dow Jones U.S. ETF (IYY)

Caution

iShares S&P 500 ETF (IVV)

The iShares S&P 500 ETF is our first Caution-rated Top US Large Cap Smart Beta ETF this week. This ETF is one that aims to track and mirror the S&P 500’s performance as closely as possible. With $273,877,156,749.00 AUM, it is one of the largest ETFs on this week’s list. Its fund flows have been primarily positive but not exclusively so, with a 90-day fund flow of $4,757,183,450.00, 30-day fund flow of $2,512,745,740.00, and 1-week fund flow of $1,089,726,525.00. With a net expense ratio of 0.03%, it is also very cheap.

MORE FROM FORBESiShares Core S&P 500 ETF (IVV)

iShares Russell 1000 ETF (IWB)

The iShares Russell 1000 ETF is our next Large Cap Smart Beta ETF with a Caution score to focus on for this week. This ETF aims to give investors exposure to 1000 large and mid-cap domestic stocks. It is also small to medium sized in terms of AUM with $28,319,832,730.80 AUM. Its fund flows have been primarily negative, with a 90-day fund flow of -$111,777,335.00, 30-day fund flow of -$307,890,025.00, and 1-week fund flow of -$445,720,305.00. With a net expense ratio of 0.15%, it is decently cheap to own. 

MORE FROM FORBESiShares Russell 1000 ETF (IWB)

SPDR S&P 500 ETF Trust (SPY)

The next Caution-rated ETF for this week is the SPDR S&P 500 ETF Trust. This ETF is widely considered the benchmark ETF for tracking the S&P 500 as closely as possible. It is also the largest ETFs in the world in terms of AUM with $357,840,044,986.53 AUM. Its fund flows have been consistently positive, with a 90-day fund flow of $15,992,217,248.15, a 30-day fund flow of $11,079,102,661.75, and 1-week fund flow of $5,871,520,503.85. With a net expense ratio of 0.09%, it is also very cheap.

MORE FROM FORBESSPDR S&P 500 ETF Trust (SPY)

Vanguard S&P 500 ETF (VOO)

The next Caution-rated ETF is another S&P 500-tracking ETF- the Vanguard S&P 500 ETF. The goal of this ETF is to mirror the performance of the S&P 500 as closely as possible, and is relatively self explanatory. With $215,377,023,543.30, it is one of the larger ETFs on this week’s list. Its fund flows have been consistently positive with a 90-day fund flow of $12,869,552,480.49, a 30-day fund flow of $4,119,830,181.87, and 1-week fund flow of $847,304,280.84. With a net expense ratio of 0.03%, it is also very cheap.

MORE FROM FORBESVanguard S&P 500 ETF (VOO)

Invesco FTSE RAFI US 1000 ETF (PRF)

The Invesco FTSE RAFI US 1000 ETF is our final Caution-rated ETF this week. This is a unique large-cap ETF, and is designed to track the performance of the largest US equities based on the following four fundamental measures: book value, cash flow, sales and dividends. The 1,000 equities with the highest fundamental strength are then weighted by their fundamental scores. With $5,116,775,070.00, it is one of the smaller-sized ETFs on this week’s list. Its fund flows have been mixed with a 90-day fund flow of $52,624,825.90, and a 30-day fund flow of -$9,664,589.30. With a net expense ratio of 0.39%, it is not very cheap to own.

MORE FROM FORBESInvesco FTSE RAFI US 1000 ETF (PRF)

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