PRFZ
Invesco Exchange-Traded Fund Trust Invesco RAFI US 1500 Small-Mid ETF
📎 Investment Objective
The Invesco RAFI US 1500 Small-Mid ETF (PRFZ) seeks to track the performance of the RAFI US 1500 Small-Mid Index, which is designed to provide exposure to small and mid-cap U.S. companies based on their fundamental business size rather than market capitalization.
Overview
ETF tracking Invesco Exchange-Traded Fund Trust Invesco RAFI US 1500 Small-Mid ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The Invesco RAFI US 1500 Small-Mid ETF (PRFZ) seeks to track the performance of the RAFI US 1500 Small-Mid Index, which is designed to provide exposure to small and mid-cap U.S. companies based on their fundamental business size rather than market capitalization.
🎯 Investment Strategy
The fund employs a sampling strategy to replicate the index, holding a representative subset of the index's securities. The index selects and weights companies based on four fundamental factors: sales, cash flow, book value, and dividends.
✨ Key Features
- Exposure to small and mid-cap U.S. companies using a fundamental weighting methodology
- Diversified portfolio across multiple sectors and industries
- Low expense ratio of 0.00%
- Potential for higher long-term returns compared to market-cap weighted indexes
⚠️ Primary Risks
- Increased volatility and risk compared to large-cap stocks
- Potential for higher trading costs and lower liquidity
- Concentration in certain sectors or industries
- Tracking error risk relative to the underlying index
👤 Best For
The Invesco RAFI US 1500 Small-Mid ETF may be suitable for investors seeking exposure to small and mid-cap U.S. equities as part of a diversified portfolio. It may be appropriate for investors with a longer-term investment horizon and a higher risk tolerance who are looking to potentially benefit from the outperformance of fundamentally-weighted small and mid-cap stocks over the long run.