Specifically, the factors include value or how attractively a stock is price relative to fundamentals like book value and free cash flow; momentum or the current up or down trend in a company stock; quality or profitability; and low volatility or the degree of fluctuation in a company’s share price over time.
Goldman’s other ETFs are the Goldman Sachs ActiveBeta Emerging Markets Equity ETF (NYSEArca: GEM) and the Goldman Sachs ActiveBeta International Equity ETF (NYSEArca: GSIE). GSIE is the newest of the trio, having debuted last month.
ETFs such as the SPDR MSCI ACWI Low Carbon Target ETF (NYSEArca: LOWC) and the iShares MSCI ACWI Low Carbon Target ETF (NYSEArca: CRBN) along with a spate of recently launched products offer investors exposure to environmentally responsible theme.
“The Goldman Sachs ETF will hold stocks in S&P 500 companies that are not heavily involved in the production of coal, oil, gas, tobacco and military armaments,” reports Reuters.