iShares Core Growth Allocation ETF (AOR)

iShares Core Growth Allocation ETF (IAGG) Overview

Profile: IAGG is a passively managed ETF that seeks to track the investment results of the Morningstar US Growth Index. This index comprises primarily large- and mid-cap US stocks with strong growth potential. The ETF invests approximately 70% of its assets in large-cap stocks and 30% in mid-cap stocks.

Objective: IAGG's primary objective is to provide long-term capital appreciation through investments in growth-oriented companies.

Issuer:

• Company: BlackRock
• Reputation and Reliability: BlackRock is a global leader in asset management with a strong reputation for financial stability and investment expertise.
• Management: The ETF is managed by a team of experienced portfolio managers with a proven track record in managing growth-oriented portfolios.

Market Share: IAGG is one of the largest and most popular growth allocation ETFs, with a market share of approximately 7% within its category.

Total Net Assets: As of November 8, 2023, IAGG has approximately $75 billion in assets under management.

Moat: IAGG's primary competitive advantage is its low expense ratio of 0.25%. It also benefits from BlackRock's extensive research and investment capabilities, which allow the ETF to maintain a diversified portfolio of high-quality growth stocks.

Financial Performance:

• Historical Returns: IAGG has delivered strong historical returns, outperforming the broader market over multiple timeframes.
• Benchmark Comparison: IAGG has consistently outperformed the S&P 500 Index, its benchmark, over the past 3, 5, and 10 years.

Growth Trajectory: IAGG is expected to continue experiencing growth in line with the overall US growth stock market.

Liquidity:

• Average Trading Volume: IAGG has a high average trading volume, ensuring easy buying and selling of shares.
• Bid-Ask Spread: The bid-ask spread is relatively low, indicating low transaction costs when trading the ETF.

Market Dynamics: IAGG's performance is influenced by factors such as economic growth, interest rates, and investor sentiment towards growth stocks.

Competitors: Key competitors include Vanguard Growth ETF (VUG) and iShares S&P 500 Growth ETF (IVW).

Expense Ratio: IAGG has a low expense ratio of 0.25%.

Investment Approach and Strategy:

• Strategy: IAGG passively tracks the Morningstar US Growth Index.
• Composition: The ETF primarily holds large- and mid-cap US stocks with high growth potential.

Key Points:

• Seeks long-term capital appreciation through investments in growth stocks.
• Low expense ratio of 0.25%.
• Diversified portfolio of high-quality growth stocks.
• Strong historical performance and consistent outperformance of the S&P 500 Index.
• High liquidity and low bid-ask spread.

Risks:

• Volatility: IAGG is invested in growth stocks, which can be more volatile than the broader market.
• Market Risk: The ETF's performance is dependent on the overall performance of the US growth stock market.

Who Should Consider Investing: Investors seeking long-term capital appreciation through exposure to a diversified portfolio of US growth stocks.

Fundamental Rating Based on AI: 8.5/10

Justification: IAGG scores high due to its strong financial performance, low expense ratio, and experienced management team. The ETF also benefits from its diversified portfolio and BlackRock's extensive resources.

Resources:

• iShares Core Growth Allocation ETF (IAGG): https://www.ishares.com/us/products/236815/ishares-core-growth-allocation-etf
• Morningstar US Growth Index: https://www.morningstar.com/indexes/usa/stocks/index/xgrw
• BlackRock: https://www.blackrock.com/

Disclaimer: This information is for general educational purposes only and should not be considered investment advice. Please consult with a financial professional before making any investment decisions.