ETF Research Center

The iShares FactorSelect MSCI USA ETF tracks an index of US large- and midcap equities. Stocks are selected and weighted to increase exposure to 4 factors (quality, value, momentum and size) while maintaining similar characteristics to the MSCI USA index.

FUND BASICS
Category	US Equities
Fund Sponsor	BlackRock
Website	www.ishares.com
Inception date	Apr 30, 2015
Assets (mns)	$980
Currency	USD
Expense ratio	20 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-End Investment Company
Custodian
Weighting	Multi-Factor
Index replication
Uses derivatives	No
Options available	Yes

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	157
Wgt avg mkt cap (mns)	$132,463
Large cap (>$10bn)	88.1%
Mid cap ($2-10bn)	11.9%
Small cap (<$2bn)	0.0%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	24.6 %
INTEL CORP	3.2 %
APPLE INC	2.8 %
AT&T INC	2.6 %
INTUIT INC	2.4 %
WAL-MART STORES INC	2.4 %
DUKE ENERGY CORP	2.4 %
MICROSOFT CORP	2.3 %
MICRON TECHNOLOGY INC	2.2 %
BIOGEN IDEC INC	2.1 %
TARGET CORP	2.1 %

TOP COUNTRY EXPOSURE
	UNITED STATES	93.9 %
	IRELAND	2.6 %
	SWITZERLAND	1.5 %
	BERMUDA	0.8 %
	BRITAIN	0.8 %
	SINGAPORE	0.2 %

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.
-1.3%	14.4%	--	--	9.1%

Market Correlations
versus...	Beta	R-squared
S&P500	1.02	95%
MSCI EAFE	0.97	71%
MSCI Emg. Mkts.	0.63	53%

Technical Indicators
Recent close	$35.78
30d moving avg.	$35.02
Annualized volatility	12.7%
Short interest (ETF)	0.2%
Relative strength (RSI)	63

Liquidity measures
Avg. volume (thou.)	142
Turnover	0.5%
Bid/Ask (% of price)	0.04%
ADV underlying (mns)	$47,341

Distributions

FINDING ALTERNATIVE FUNDS

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

Benchmark ticker:

LRGF

Expense:

20 bp

ALTAR Score™:

6.8%

ALTERNATIVE ETFs BASED ON OVERLAP WITH LRGF
Ticker	Fund Name	Overlap¹ vs LRGF (%)	Expense ratio (bp)	Savings vs LRGF (bp)	ALTAR Score™ (%)	ALTAR vs LRGF (%)
ACWF	iShares FactorSelect MSCI Global	39.9	35	-15	7.7	+0.9
MIDF	iShares Edge MSCI Multifactor USA Mid-Cap ETF	32.9	25	-5	7.1	+0.3
ONEV	SPDR Russell 1000 Low Volatility Focus	31.7	20	0	6.8	+0.0
AFLG	First Trust Active Factor Large Cap	31.2	55	-35	6.2	-0.6
VLUE	iShares MSCI USA Value Factor	29.7	15	5	10.5	+3.7
VALQ	American Century STOXX U.S. Quality Value	29.5	29	-9	8.8	+2.0
FTA	First Trust Large Cap Value	28.4	60	-40	8.3	+1.5
ULVM	USAA MSCI USA Value Momentum Blend Index	27.8	20	0	7.2	+0.3
DEUS	Xtrackers Russell 1000 Comprehensive Factor	27.4	17	3	6.5	-0.3
FLQL	Franklin LibertyQ U.S. Equity	27.1	15	5	6.5	-0.3
SCIU	Global X Scientific Beta US	27.0	19	1	5.6	-1.2
FEX	First Trust Large Cap Core Alphadex	26.9	60	-40	5.8	-1.0
ONEO	SPDR Russell 1000 Momentum Focus	26.9	20	0	6.6	-0.2
DYNF	BlackRock U.S. Equity Factor Rotation	26.3	30	-10	6.3	-0.5
VOE	Vanguard Mid-Cap Value	26.0	7	13	7.2	+0.4
VO	Vanguard Mid-Cap ETF	25.8	4	16	5.4	-1.4
PQLC	PGIM QMA Strategic Alpha Large-Cap Core	25.4	17	3	6.7	-0.1
QRFT	Qraft Ai-Enhanced U.S. Large Cap ETF	24.7	75	-55	4.1	-2.7
OVLU	Invesco Russell 1000 Value Factor ETF	24.4	19	1	7.6	+0.8
JVAL	JPMorgan U.S. Value Factor	24.3	12	8	8.4	+1.6

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	**	**	**	**	**	**	**
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 Edge MSCI Multifactor USA ETF
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	17.7	%
Divided by: Fwd. P/BV	2.5	x
Less: Expense ratio	20	bp
Equals: ALTAR Score	6.8	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.60	CATEGORY AVERAGE	1.56

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.