Press "Enter" to skip to content

Tag: specific fundamental characteristics

Is American Century US Quality Growth ETF (QGRO) a strong ETF right now?

The post Is American Century US Quality Growth ETF was launched on 09/10/2018, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box All Cap Growth category of the market. What are smart Beta ETFs? Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy. Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in markeHowever, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta. Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance. This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results. Fund sponsor and index QGRO is managed by American Century Investments, and this fund has amassed over $2. 04 billion, which makes it one of the largest ETFs in the Style Box All Cap Growth. This particular fund, before fees and expenses, seeks to match the performance of the AMERICAN CENTURY U. S. QUALITY GROWTH IND. The American Century U. S. Quality Growth Index seeks to select securities of large and mid-capitalization U. S. companies with attractive growth and quality fundamentals. Cost and other expenses Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same. With one of the cheaper products.