WFCNP - FNDB: Outperforming Most Passively Managed Value ETFs

2024-05-02 17:35:50 ET

Summary

• Schwab Fundamental U.S. Broad Market Index ETF is a “Large Value” ETF implementing the RAFI methodology.
• The FNDB ETF portfolio is well-diversified across sectors and holdings, with a focus on financials and technology.
• FNDB has underperformed the benchmark since inception but has outperformed passively managed value ETFs, except one.
• FNDB will change underlying indexes in June, but this should have a limited impact on the strategy.

FNDB strategy

Schwab Fundamental U.S. Broad Market Index ETF ( FNDB ) started investing operations on 08/15/2013 and tracks the Russell RAFI U.S. Index. It has 1737 holdings, an expense ratio of 0.25% and a 30-day SEC yield of 1.86%. Distributions are paid quarterly....

For further details see: