Invesco Strategic Emerging Markets
ALTAR
Score™
10.1% info Recommen-
dation
OVERWEIGHT
2019E    2020E
P/E
ratio
10.0x P/Sales
ratio
0.4x
P/BV
ratio
1.0x Div.
yield
3.9%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
ISEM tracks an index of stocks from large firms in emerging markets. The index determines firm size by fundamental metrics and also screens by quality metrics. Stocks are weighted by firm size.

FUND BASICS
Category Emerging Market Equities
Fund Sponsor Invesco
Website www.invesco.com
Inception date Sep 12, 2018
Assets (mns) $26
Currency USD
Expense ratio 35 bp
Distributions Quarterly

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

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 375
Wgt avg mkt cap (mns) $72,004
Large cap (>$10bn) 67.1%
Mid cap ($2-10bn) 27.4%
Small cap (<$2bn) 3.5%
Developed mkts 7.4%
Emerging mkts 92.6%

TOP TEN HOLDINGS
PETROCHINA CO LTD-H 6.3 %
ALIBABA GROUP HOLDING LTD. SPONSOR 5.8 %
CHINA PETROLEUM & CHEMICAL-H 4.8 %
PING AN INSURANCE GROUP CO-H 3.3 %
TAIWAN SEMICONDUCTOR MANUFAC 2.8 %
GAZPROM OAO 2.6 %
PETROBRAS - PETROLEO BRAS-PR 2.5 %
HON HAI PRECISION INDUSTRY 2.0 %
JD.COM INC-ADR 2.0 %
BANCO BRADESCO SA-PREF 1.9 %
Total 34.2 %

TOP COUNTRY EXPOSURE
CHINA 50.9 %
TAIWAN 12.3 %
BRAZIL 8.9 %
RUSSIA 6.6 %
HONG KONG 5.3 %
MEXICO 3.1 %
INDIA 2.8 %
SOUTH AFRICA 2.3 %
THAILAND 1.3 %
MALAYSIA 1.2 %

HISTORICAL PERFORMANCE info

  Custom date range Compare to  
  thru


Standardized Annual Returns (thru October 31)
Year-to-date 1 year 5 years 10 years Since Incep.
6.8% -- -- -- 3.4%

Market Correlations
versus... Beta R-squared
S&P500 0.96 75%
MSCI EAFE 1.34 87%
MSCI Emg. Mkts. 1.14 94%

Technical Indicators
Recent close $25.00
30d moving avg. $24.98
Annualized volatility 18.8%
Short interest (ETF) 0.4%
Relative strength (RSI) 61

Liquidity measures
Avg. volume (thou.) 3
Turnover 0.3%
Bid/Ask (% of price) 0.23%
ADV underlying (mns) $10,454

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Invesco Strategic Emerging Markets ETF based on the alternatives' overlap in portfolio holdings with ISEM. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: ISEM Expense: 35 bp ALTAR Score™: 10.1%


ALTERNATIVE ETFs BASED ON OVERLAP WITH ISEM
Ticker Fund
Name
Overlap1
vs ISEM
(%)
Expense
ratio
(bp)
Savings
vs ISEM
(bp)
ALTAR
Score™
(%)
ALTAR
vs ISEM
(%)
PXH Invesco FTSE-RAFI Emerging Markets 42.7 50 -15 12.6 +2.5
PBEE Invesco PureBeta FTSE Emerging Markets 40.3 14 21 9.4 -0.8
SCHE Schwab Emerging Markets Equity 35.5 13 22 8.8 -1.4
EEM iShares MSCI Emerging Markets 35.2 67 -32 8.7 -1.5
FNDE Schwab Fundamental Emg Mkt Large Cap 34.7 39 -4 11.2 +1.1
DBEM Xtrackers MSCI Emg. Mkts. Hedged 34.3 65 -30 8.6 -1.6
BKF iShares MSCI BRIC 33.8 67 -32 8.9 -1.2
REEM Invesco Emerging Markets Revenue ETF 33.3 46 -11 11.8 +1.7
JHEM John Hancock Multifactor Emerging Markets 32.8 55 -20 8.9 -1.2
EEMA iShares MSCI Emg Mkts Asia 32.6 50 -15 8.8 -1.4
IEMG iShares Core MSCI Emerging Markets 32.4 14 21 8.7 -1.4
EEMX SPDR MSCI Emerging Markets Fossil Fuel Free 31.1 30 5 8.7 -1.5
MCHI iShares MSCI China 30.8 59 -24 9.5 -0.6
VWO Vanguard Emerging Markets 30.7 12 23 8.8 -1.3
FLCH Franklin FTSE China 30.4 19 16 10.1 0.0
GMF SPDR S&P Emerging Asia Pacific 30.1 49 -14 8.2 -1.9
SPEM SPDR Portfolio Emerging Markets 30.0 11 24 8.6 -1.6
GXC SPDR S&P China ETF 29.4 59 -24 9.3 -0.8
AAXJ iShares MSCI Asia ex-Japan 29.2 67 -32 8.3 -1.8
FLAX Franklin FTSE Asia Ex Japan 28.6 19 16 8.8 -1.4

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

  2014 2015 2016 2017 2018 2019E 2020E
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

Content on this tab for subscribers only

VALUATION METRICS
  2018 2019E 2020E
Price-to-sales ** ** **
Price-to-earnings ** ** **
Price-to-cash flow ** ** **
Price-to-growth ** ** **
Price-to-book value ** ** **
Yield ** ** **

Historical valuation trends

Forward
multiple:
Invesco Strategic Emerging Markets
Relative
to:
S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

OVERWEIGHT

Above average appreciation potential. A rating of OVERWEIGHT is assigned to ETFs with ALTAR Scores in the 4th quintile (ranking higher than 60%-80%) of their category. Typically, funds in this category consist of stocks trading at attractive valuations and/or having above-average fundamentals.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity 9.6 %
Divided by: Fwd. P/BV 0.9 x
Less: Expense ratio 35 bp
Equals: ALTAR Score 10.1 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.47 CATEGORY
AVERAGE
1.49
 
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.