Is Janus Henderson Small/Mid Cap Growth Alpha ETF (JSMD) a Strong ETF Right Now?

Core Viewpoint - The Janus Henderson Small/Mid Cap Growth Alpha ETF (JSMD) is designed to provide broad exposure to the small-cap growth segment of the market, utilizing a smart beta strategy to select stocks based on fundamental characteristics [1][3][5]. Fund Overview - JSMD was launched on February 23, 2016, and has accumulated over $565.73 million in assets, positioning it as an average-sized ETF in its category [1][5]. - The fund aims to match the performance of the Janus Small/Mid Cap Growth Alpha Index, which evaluates stocks based on growth, profitability, and capital efficiency [5][6]. Cost Structure - The annual operating expenses for JSMD are 0.30%, which is competitive within its peer group [7]. - The ETF has a 12-month trailing dividend yield of 0.80% [7]. Sector Exposure and Holdings - The largest sector allocation for JSMD is in Financials, comprising approximately 20.7% of the portfolio, followed by Information Technology and Industrials [8]. - Equitable Holdings Inc. (EQH) is the top individual holding at about 2.3% of total assets, with the top 10 holdings representing around 21.14% of total assets under management [9]. Performance Metrics - As of July 28, 2025, JSMD has increased by approximately 6.29% year-to-date and 15.06% over the past year [10]. - The ETF has traded within a range of $62.52 to $82.80 over the last 52 weeks, with a beta of 1.08 and a standard deviation of 21.42% for the trailing three-year period [10]. Alternatives - Other ETFs in the small-cap growth space include iShares Russell 2000 Growth ETF (IWO) and Vanguard Small-Cap Growth ETF (VBK), with IWO having $11.95 billion in assets and VBK at $19.73 billion [12]. - IWO has an expense ratio of 0.24%, while VBK has a lower expense ratio of 0.07%, presenting options for investors seeking lower-cost alternatives [12].