Core Viewpoint - The iShares Russell 2000 ETF (IWM) is a significant player in the Small Cap Blend segment of the US equity market, with over $66.50 billion in assets, making it one of the largest ETFs in this category [1] Group 1: Investment Potential - Small cap companies, defined as those with market capitalizations below $2 billion, present high potential but also come with increased risk [2] - Blend ETFs typically include a mix of growth and value stocks, providing a diversified investment approach [2] Group 2: Costs - The iShares Russell 2000 ETF has an annual operating expense ratio of 0.19%, which is competitive within its peer group [3] - The ETF offers a 12-month trailing dividend yield of 1.12% [3] Group 3: Sector Exposure and Holdings - The ETF's largest sector allocation is to Financials, comprising approximately 19% of the portfolio, followed by Industrials and Healthcare [4] - Insmed Inc (INSM) represents about 0.66% of total assets, with the top 10 holdings accounting for around 4.5% of total assets under management [5] Group 4: Performance and Risk - The ETF aims to replicate the performance of the Russell 2000 Index, with a year-to-date return of approximately 0.50% and a decline of about -0.49% over the past year as of July 17, 2025 [6] - The ETF has a beta of 1.10 and a standard deviation of 22.23% over the trailing three-year period, indicating a medium risk profile [7] Group 5: Alternatives - The iShares Russell 2000 ETF holds a Zacks ETF Rank of 2 (Buy), suggesting it is a strong option for investors interested in the Small Cap Blend segment [8] - Other comparable ETFs include the Vanguard Small-Cap ETF (VB) with $64.33 billion in assets and an expense ratio of 0.05%, and the iShares Core S&P Small-Cap ETF (IJR) with $81.21 billion in assets and an expense ratio of 0.06% [9] Group 6: Bottom Line - Passively managed ETFs are gaining popularity among both institutional and retail investors due to their low costs, transparency, flexibility, and tax efficiency, making them suitable for long-term investment strategies [10]

Core Viewpoint - The Fidelity Quality Factor ETF (FQAL) is a passively managed ETF that provides broad exposure to the Large Cap Blend segment of the US equity market, with assets exceeding $1.05 billion, making it one of the larger ETFs in this category [1]. Group 1: Large Cap Blend Overview - Large cap companies typically have a market capitalization above $10 billion, offering more predictable cash flows and lower volatility compared to mid and small cap companies [2]. - Blend ETFs combine both growth and value stocks, showcasing characteristics of both investment styles [2]. Group 2: Cost Structure - FQAL has an annual operating expense ratio of 0.16%, positioning it as one of the more cost-effective options in the ETF market [3]. - The ETF has a 12-month trailing dividend yield of 1.22% [3]. Group 3: Sector Exposure and Holdings - The ETF's largest allocation is to the Information Technology sector, comprising approximately 31.50% of the portfolio, followed by Financials and Consumer Discretionary [4]. - Microsoft Corp (MSFT) represents about 6.79% of total assets, with Nvidia Corp (NVDA) and Apple Inc (AAPL) also among the top holdings; the top 10 holdings account for around 35.35% of total assets [5]. Group 4: Performance Metrics - FQAL aims to match the performance of the Fidelity U.S. Quality Factor Index, with a year-to-date return of approximately 7.89% and a one-year return of about 14.09% as of July 10, 2025 [6]. - The ETF has traded between $57.29 and $70.41 over the past 52 weeks [6]. Group 5: Risk and Diversification - FQAL has a beta of 0.97 and a standard deviation of 16.27% over the trailing three-year period, indicating effective diversification of company-specific risk with around 131 holdings [7]. Group 6: Alternatives - FQAL holds a Zacks ETF Rank of 2 (Buy), indicating favorable expected returns based on various factors [8]. - Other ETFs in the Large Cap Blend space include the SPDR S&P 500 ETF (SPY) and the Vanguard S&P 500 ETF (VOO), with assets of $641.52 billion and $688.84 billion respectively, and lower expense ratios of 0.09% for SPY and 0.03% for VOO [9]. Group 7: Market Trends - There is a growing trend among retail and institutional investors towards passively managed ETFs due to their low costs, transparency, flexibility, and tax efficiency, making them suitable for long-term investment strategies [10].