The result, ideally, is a subset of the ACWI index that would deliver lower beta and overall volatility while still granting exposure to an ACWI “like” index. Currently, top holdings of ACWV are ENB (1.54%), TRP (1.52%), MCD (1.50%), ADP (1.50%), and NTT DoCoMo (1.34%).
Since the inception of ACWV last October, it is up 4.51% versus ACWX which has rallied 8.30%, but given the overall path of the equity markets during this timeframe, this is quite expected, as investors that will likely be attracted to the product are probably willing to forgo some upside performance as a trade-off for a lower overall beta to their benchmark and a less volatile path of returns over time.
iShares MSCI All Country World Minimum Volatility
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