Invesco S&P MidCap 400® Pure Value ETF (RFV)

Overview

The Invesco S&P MidCap 400u00ae Pure Value ETF (RFV) seeks to track the investment results of the S&P MidCap 400u00ae Pure Value Index, which is designed to measure the performance of mid-capitalization U.S. stocks exhibiting strong value characteristics. The fund aims to provide exposure to companies deemed undervalued relative to their peers based on metrics like book value to price ratio, earnings to price ratio, and sales to price ratio. Asset allocation focuses on U.S. mid-cap equities.

Reputation and Reliability

Invesco is a well-established global investment management firm with a strong reputation and extensive experience in managing ETFs.

Management Expertise

Invesco has a dedicated team of investment professionals with expertise in index tracking and value investing strategies.

Goal

The primary investment goal of RFV is to track the performance, before fees and expenses, of the S&P MidCap 400u00ae Pure Value Index.

Investment Approach and Strategy

Strategy: RFV aims to replicate the S&P MidCap 400u00ae Pure Value Index, selecting stocks from the S&P MidCap 400 Index that exhibit the strongest value characteristics.

Composition The ETF primarily holds stocks of mid-sized U.S. companies identified as having strong value characteristics. It does not invest in bonds, commodities, or other asset classes.

Market Share: RFV holds a moderate market share within the mid-cap value ETF segment.

Total Net Assets (AUM): 61460000

Key Competitors

• IJS
• EWMC
• XMLV

Competitive Landscape

The mid-cap value ETF space is relatively concentrated, with a few key players dominating market share. RFV competes with other value-focused ETFs by offering a pure value approach based on specific fundamental metrics. Its advantages may include a more targeted value focus compared to broader value ETFs, while potential disadvantages could include higher volatility due to its focused strategy and sector biases.

Historical Performance: Historical performance data should be retrieved from financial data providers for accurate figures.

Benchmark Comparison: RFV's performance should be compared to the S&P MidCap 400u00ae Value Index and the broader S&P MidCap 400u00ae Index.

Expense Ratio: 0.35

Average Trading Volume

RFV generally exhibits moderate trading volume, which can affect the ease of buying and selling shares.

Bid-Ask Spread

The bid-ask spread for RFV is typically competitive, but can widen during periods of market volatility.

Market Environment Factors

Economic conditions, interest rate changes, and sector-specific performance influence RFV's value due to its concentrated value focus. Positive economic growth and rising interest rates may benefit value stocks.

Growth Trajectory

RFV's growth trajectory depends on the performance of mid-cap value stocks and any changes in the underlying index methodology or holdings.

Competitive Edge

RFV's competitive advantage lies in its pure value approach to mid-cap investing. It offers investors targeted exposure to companies identified as undervalued based on specific fundamental metrics. This focused strategy may appeal to investors seeking deep value opportunities within the mid-cap space. However, this approach could result in higher volatility and sector concentration compared to broader value ETFs.

Volatility

RFV may exhibit higher volatility compared to broader market ETFs due to its concentrated focus on value stocks and specific sectors.

Market Risk

RFV is subject to market risk, particularly risks associated with the performance of mid-cap companies and value stocks. Changes in economic conditions, industry trends, and company-specific factors can impact RFV's performance.

Ideal Investor Profile

The ideal investor for RFV is one seeking exposure to undervalued mid-cap companies and willing to accept higher volatility for potential outperformance. Investors should have a long-term investment horizon and a tolerance for market fluctuations.

Market Risk

RFV is suitable for long-term investors seeking value exposure, but may not be suitable for active traders due to its focused strategy. It's a better fit for investors who want to add a specific value tilt to their mid-cap allocation.

The Invesco S&P MidCap 400u00ae Pure Value ETF (RFV) provides targeted exposure to U.S. mid-cap companies identified as having strong value characteristics. Its pure value approach can result in higher volatility compared to broader market ETFs. The fund's performance is closely tied to the performance of value stocks and economic conditions. RFV is suitable for long-term investors seeking to enhance their mid-cap exposure with a value tilt and who are comfortable with potential fluctuations.

Data Sources:

• Invesco Official Website
• Morningstar
• Bloomberg
• Yahoo Finance

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Investors should consult with a qualified financial advisor before making any investment decisions.