iShares ESG MSCI EM ETF
ALTAR
Score™
8.6% info Recommen-
dation
NEUTRAL
2020E    2021E
P/E
ratio
12.4x P/Sales
ratio
0.9x
P/BV
ratio
1.4x Div.
yield
3.3%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
The iShares MSCI EM ESG Optimized ETF& tracks an index of emerging market companies that have been selected and weighted for positive environmental, social, and governance characteristics.

FUND BASICS
Category Emerging Market Equities
Fund Sponsor BlackRock
Website www.ishares.com
Inception date Jun 28, 2016
Assets (mns) $2,054
Currency USD
Expense ratio 25 bp
Distributions Semi-Annually

FUND STRUCTURE
Regulation Open-Ended Fund
Custodian
Weighting Principles-based
Index replication
Uses derivatives No
Options available No

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 306
Wgt avg mkt cap (mns) $109,996
Large cap (>$10bn) 68.2%
Mid cap ($2-10bn) 29.5%
Small cap (<$2bn) 1.7%
Developed mkts 6.8%
Emerging mkts 91.4%

TOP TEN HOLDINGS
ALIBABA GROUP HOLDING LTD. SPONSOR 6.2 %
TENCENT HOLDINGS LTD 5.3 %
TAIWAN SEMICONDUCTOR MANUFAC 5.0 %
SAMSUNG ELECTRONICS CO LTD 3.9 %
PING AN INSURANCE GROUP CO-H 1.3 %
NASPERS LTD-N SHS 1.3 %
HOUSING DEVELOPMENT FINANCE 1.2 %
E.SUN FINANCIAL HOLDING CO 1.1 %
BM&FBOVESPA SA 1.1 %
CHINA CONSTRUCTION BANK-H 1.1 %
Total 27.5 %

TOP COUNTRY EXPOSURE
CHINA 29.4 %
TAIWAN 12.5 %
SOUTH KOREA 11.5 %
INDIA 9.3 %
BRAZIL 6.7 %
SOUTH AFRICA 5.1 %
RUSSIA 4.1 %
HONG KONG 3.3 %
THAILAND 3.1 %
MALAYSIA 2.7 %

HISTORICAL PERFORMANCE info

  Custom date range Compare to  
  thru


Standardized Annual Returns (thru January 31)
Year-to-date 1 year 5 years 10 years Since Incep.
-5.5% 2.4% -- -- 9.4%

Market Correlations
versus... Beta R-squared
S&P500 0.90 53%
MSCI EAFE 1.14 71%
MSCI Emg. Mkts. 1.01 96%

Technical Indicators
Recent close $33.67
30d moving avg. $35.65
Annualized volatility 15.0%
Short interest (ETF) 1.1%
Relative strength (RSI) 45

Liquidity measures
Avg. volume (thou.) 1,805
Turnover 3.0%
Bid/Ask (% of price) 0.10%
ADV underlying (mns) $17,984

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the iShares ESG MSCI EM ETF ETF based on the alternatives' overlap in portfolio holdings with ESGE. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: ESGE Expense: 25 bp ALTAR Score™: 8.6%


ALTERNATIVE ETFs BASED ON OVERLAP WITH ESGE
Ticker Fund
Name
Overlap1
vs ESGE
(%)
Expense
ratio
(bp)
Savings
vs ESGE
(bp)
ALTAR
Score™
(%)
ALTAR
vs ESGE
(%)
EEM iShares MSCI Emerging Markets ETF 55.0 68 -43 8.1 -0.5
EMSG Xtrackers MSCI Emerging Markets ESG Leaders Equity ETF 54.7 20 5 7.6 -1.0
EEMX SPDR MSCI Emerging Markets Fossil Fuel Free ETF 53.5 30 -5 8.1 -0.5
DBEM Xtrackers MSCI Emerging Markets Hedged Equity ETF 52.2 65 -40 8.1 -0.6
GEM Goldman Sachs ActiveBeta Emerging Markets Equity ETF 51.6 45 -20 8.9 +0.3
EEMA iShares MSCI Emerging Markets Asia ETF 50.6 50 -25 8.3 -0.3
IEMG iShares Core MSCI Emerging Markets ETF 50.2 14 11 8.5 -0.1
AAXJ iShares MSCI All Country Asia ex Japan ETF 47.4 68 -43 7.8 -0.8
JHEM John Hancock Multifactor Emerging Markets ETF 47.4 55 -30 8.8 +0.2
FLAX Franklin FTSE Asia Ex Japan ETF 46.9 19 6 8.3 -0.3
SCHE Schwab Emerging Markets Equity ETF 46.9 13 12 8.2 -0.4
NUEM Nuveen ESG Emerging Markets Equity ETF 46.1 45 -20 7.6 -1.1
XSOE WisdomTree Emerging Markets ex-State-Owned Enterprises Fund 46.0 32 -7 6.8 -1.8
PBEE Invesco PureBeta FTSE Emerging Markets ETF 43.2 14 11 8.9 +0.3
VWO Vanguard FTSE Emerging Markets ETF 42.4 10 15 8.3 -0.3
RFEM First Trust Riverfront Dynamic Emerging Markets ETF 39.6 95 -70 10.8 +2.2
KEMX KraneShares MSCI Emerging Markets EX China Index ETF 39.3 49 -24 8.3 -0.4
BKF iShares MSCI BRIC ETF 38.6 69 -44 8.2 -0.4
SPEM SPDR Portfolio Emerging Markets ETF 37.7 11 14 8.3 -0.3
EMXC iShares MSCI Emerging Markets ex China ETF 36.9 49 -24 8.4 -0.2

1Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

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RESULTS & ESTIMATES

  2015 2016 2017 2018 2019 2020E 2021E
Sales per share ** ** ** ** ** ** **
Earnings per share ** ** ** ** ** ** **
Dividends per share info ** ** ** ** ** ** **
Book value per share ** ** ** ** ** ** **

 

Sales per share growth   **% **% **% **% **% **%
EPS growth   **% **% **% **% **% **%

Sales per share growth   **% **% **% **% **% **%
EPS growth   **% **% **% **% **% **%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est. **%   Debt-to-equity **x
Asset turnover **%   Assets-to-equity **x

Return on equity

Revision activity*
*Six months ago = 100

Net margins

Compound annual growth rates

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VALUATION METRICS
  2019 2020E 2021E
Price-to-sales ** ** **
Price-to-earnings ** ** **
Price-to-cash flow ** ** **
Price-to-growth ** ** **
Price-to-book value ** ** **
Yield ** ** **

Historical valuation trends

Forward
multiple:
iShares ESG MSCI EM ETF
Relative
to:
S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

NEUTRAL

Average appreciation potential. A rating of NEUTRAL is assigned to ETFs with ALTAR Scores in the middle quintile (ranking between 40%-60%) of their category. This indicates that valuations adequately reflect the fundamentals of stocks in these funds.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity 12.6 %
Divided by: Fwd. P/BV 1.4 x
Less: Expense ratio 25 bp
Equals: ALTAR Score 8.6 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.46 CATEGORY
AVERAGE
1.48
 
The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale:

BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3.

Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.
 

 

See RATING tab for calculation of ALTAR Score™
Risk & reward. Uses std. dev. as proxy for risk, ALTAR Score™ for return forecast.
Dividends paid by constituents to the fund. May differ from actual distributions to shareholders due to constituent changes, timing issues or other factors.
Monthly returns based on changes in price plus dividends. May differ from daily returns reported by funds. See below for standardized returns.