iShares MSCI USA ESG Select (SUSA)SUSA

ETF overview: iShares MSCI USA ESG Select (SUSL)

Profile:

iShares MSCI USA ESG Select is an exchange-traded fund (ETF) designed to track the performance of the MSCI USA ESG Select Index. This index includes large- and mid-cap U.S. companies with high environmental, social, and governance (ESG) ratings. The ETF's asset allocation is heavily weighted towards the technology, healthcare, and consumer discretionary sectors.

Objective:

The primary investment goal of SUSL is to provide investors with exposure to U.S. companies that demonstrate strong ESG practices while seeking to achieve a competitive financial return.

Issuer:

BlackRock, the world's largest asset manager, is the issuer of SUSL.

Reputation and Reliability:

BlackRock has a strong reputation and long track record in the financial industry. The firm manages over $10 trillion in assets and has a solid financial position.

Management:

The ETF is managed by a team of experienced portfolio managers with expertise in ESG investing.

Market Share:

SUSL is one of the largest ESG-focused ETFs in the U.S. market, with over $11 billion in assets under management.

Total Net Assets:

As of October 27, 2023, SUSL has total net assets of $11.09 billion.

Moat:

SUSL's competitive advantage lies in its access to BlackRock's extensive research and data analytics capabilities. This allows the portfolio managers to identify companies with strong ESG practices and high growth potential.

Financial Performance:

Year-to-date, SUSL has returned 10.2%, outperforming the S&P 500 index by 3.5%. Over the past 3 and 5 years, the ETF has generated annualized returns of 14.5% and 16.7%, respectively, exceeding the S&P 500's performance in both periods.

Benchmark Comparison:

SUSL has consistently outperformed its benchmark index, the MSCI USA Index, over various timeframes.

Growth Trajectory:

The demand for ESG investments is growing rapidly, suggesting a positive growth trajectory for SUSL.

Liquidity:

SUSL has an average daily trading volume of over 1 million shares, providing ample liquidity for investors. The bid-ask spread is tight, indicating low transaction costs.

Market Dynamics:

The ETF's market environment is driven by factors such as increasing investor demand for ESG investments, economic growth, and regulatory changes.

Competitors:

Key competitors include:

• iShares ESG Aware MSCI USA ETF (ESGU)
• Vanguard ESG US Stock ETF (ESGV)
• Xtrackers MSCI USA ESG Leaders Equity ETF (USSG)

Expense Ratio:

The expense ratio for SUSL is 0.15%, which is relatively low compared to other ESG-focused ETFs.

Investment approach and strategy:

SUSL tracks the MSCI USA ESG Select Index, which includes companies with high ESG ratings. The ETF invests in a diversified portfolio of large- and mid-cap U.S. stocks across various sectors.

Key Points:

• High ESG ratings
• Diversified portfolio
• Strong track record
• Competitive expense ratio
• Access to BlackRock's research and data analytics

Risks:

• Market volatility
• Sector concentration
• ESG controversies

Who Should Consider Investing:

SUSL is suitable for investors seeking:

• Exposure to U.S. companies with strong ESG practices
• Competitive financial returns
• Long-term growth potential

Fundamental Rating Based on AI:

Based on an AI-powered analysis of financial health, market position, and future prospects, SUSL receives a Fundamental Rating of 8.5 out of 10. The strong track record, competitive expense ratio, and robust growth potential contribute to this high rating.

Resources and Disclaimers:

• iShares MSCI USA ESG Select ETF website: https://www.ishares.com/us/products/etf-product-detail?isin=US71607H8D65&tab=overview
• MSCI USA ESG Select Index Methodology: https://www.msci.com/documents/10199/4a8e687b-852d-4b09-a025-dafa85b6e6fd

Disclaimer: This information is intended for educational purposes only and should not be considered investment advice. Always conduct your research and consult with a financial professional before making any investment decisions.