- PRF is primarily a large-cap ETF that selects constituents based on fundamental factors like dividends, free cash flow, total sales, and book to equity value. Annual fees are 0.39%.
- Performance since its launch has been impressive. PRF has nearly matched the returns of the S&P 500 Index despite taking a fundamentals-based approach.
- Historically, PRF's drawdowns are more significant but its recoveries are stronger and faster. For this reason, it doesn't look like it's the best product to reduce risk.
- However, PRF has a good combination of diversification, valuation, and growth. There's nothing wrong with the approach, but the high expense ratio means investors should look elsewhere.
- I'm rating PRF as a hold today, and will provide fundamental analysis for four other low-cost ETFs worth consideration.
For further details see:
PRF: Solid Smart Beta Fund, But There Are Cheaper Alternatives