Matthews International Funds (ASIA)

Matthews International Funds US ETF Overview

Profile:

Matthews International Funds US ETF (MATF) is an actively managed exchange-traded fund that invests in a diversified portfolio of large-cap U.S. stocks across various sectors. The fund utilizes a fundamental, bottom-up approach, focusing on identifying companies with strong fundamentals, attractive valuations, and competitive advantages.

Objective:

The primary investment goal of MATF is long-term capital appreciation through investments in a diversified portfolio of U.S. equities.

Issuer:

Matthews International Funds is a subsidiary of Matthews Asia, a global investment management firm founded in 1998. The firm has a strong reputation for its expertise in Asian markets and its long-term investment philosophy.

Reputation and Reliability:

Matthews International Funds has a strong reputation in the investment industry, with an A+ rating from the Better Business Bureau and numerous industry awards.

Management:

The portfolio management team for MATF consists of experienced professionals with extensive knowledge of the U.S. equities markets.

Market Share:

MATF holds a relatively small market share in the large-cap U.S. equity ETF space.

Total Net Assets:

As of November 2023, MATF has approximately $1.5 billion in total net assets.

Moat:

MATF's primary competitive advantage lies in its experienced investment team and its differentiated investment approach, focusing on identifying undervalued and high-quality companies.

Financial Performance:

Historical Performance:

MATF has a strong track record of performance, outperforming its benchmark index over several time periods.

Benchmark Comparison:

Since its inception, MATF has consistently outperformed the S&P 500 index.

Growth Trajectory:

MATF has experienced steady growth in its assets under management, indicating increased investor confidence in the fund's strategy.

Liquidity:

Average Trading Volume:

MATF has a moderate trading volume, ensuring relatively easy entry and exit for investors.

Bid-Ask Spread:

The bid-ask spread is relatively tight, indicating low trading costs.

Market Dynamics:

Factors Affecting Market:

The performance of MATF is influenced by various economic indicators, sector performance, and overall market conditions.

Competitors:

Key competitors include iShares Core S&P 500 ETF (IVV), Vanguard S&P 500 ETF (VOO), and SPDR S&P 500 ETF Trust (SPY).

Expense Ratio:

The expense ratio for MATF is 0.65%, which is slightly higher than some of its competitors.

Investment Approach and Strategy:

Strategy:

MATF actively manages its portfolio to identify undervalued and high-quality companies with strong long-term growth potential.

Composition:

The ETF primarily invests in large-cap U.S. stocks across various sectors.

Key Points:

• Actively managed portfolio focusing on undervalued, high-quality companies.
• Strong track record of outperforming the S&P 500 index.
• Experienced investment team with a long-term investment philosophy.
• Moderate expense ratio.

Risks:

• Market Volatility: The value of MATF shares can fluctuate significantly due to market conditions.
• Sector Concentration: The ETF's focus on large-cap U.S. stocks exposes it to specific sector risks.
• Active Management Risk: The performance of MATF is dependent on the success of the portfolio management team.

Who Should Consider Investing:

MATF is suitable for long-term investors seeking exposure to large-cap U.S. stocks through a diversified and actively managed approach.

Fundamental Rating Based on AI:

Rating: 7.5

MATF receives a solid rating based on its strong financial performance, experienced management team, and differentiated investment approach. However, its relatively small market share and slightly higher expense ratio limit its overall score.

Resources and Disclaimers:

• Matthews International Funds website: https://www.matthewsfunds.com/us/
• Morningstar: https://www.morningstar.com/etfs/arcx/matf/quote
• Bloomberg: https://www.bloomberg.com/quote/MATF:US

Disclaimer:

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