Importantly, QVM has the potential to prove durable in various market settings.
“There are periods when the AIQVM Index would expect to trail the broad market when market prices are driven by speculation, like the Internet craze of the 1990s. However, when the internet bubble burst in the early 2000s, due to a lack of quality and earnings, the Tri-Factor™ approach really shined,” Barrato told Forbes.
As of the end of January, QVM’s largest sector weight was 20% to consumer staples, followed by 18% to technology and 16% to industrials. Two-thirds of the ETF’s weight is allocated to large-caps with 18% to mid-caps and 16% to smaller stocks.
Top 10 holdings include (NYSE: KSS), Aetna (NYSE: AET) and Dow component UnitedHealth (NYSE: UNH). The new Kohl’s ETF charges 0.65% per year.
Arrow QVM Equity Factor ETF
