iShares Mortgage Real Estate Capped
ALTAR
Score™
10.9% info Recommen-
dation
SPECULATIVE
2019E    2020E
P/E
ratio
15.5x P/Sales
ratio
4.2x
P/BV
ratio
0.9x Div.
yield
10.2%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
The iShares Mortgage Real Estate Capped ETF seeks to track the investment results of an index composed of U.S. REITs that hold U.S. residential and commercial mortgages.

FUND BASICS
Category US Equities
Fund Sponsor Barclays Global Fund Advisors
Website www.ishares.com
Inception date May 04, 2007
Assets (mns) $1,314
Currency USD
Expense ratio 48 bp
Distributions Quarterly

FUND STRUCTURE
Regulation Open-Ended Fund
Custodian State Street Bank & Trust
Weighting Market Cap
Index replication Optimized
Uses derivatives No
Options available Yes

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 37
Wgt avg mkt cap (mns) $4,272
Large cap (>$10bn) 0.0%
Mid cap ($2-10bn) 64.0%
Small cap (<$2bn) 36.0%
Developed mkts 100.0%
Emerging mkts 0.0%

TOP TEN HOLDINGS
ANNALY CAPITAL MANAGEMENT IN 17.0 %
AGNC INVESTMENT CORP. 12.2 %
NEW RESIDENTIAL INVESTMENT 8.6 %
STARWOOD PROPERTY TRUST INC 8.5 %
TWO HARBORS INVESTMENT CORP. 4.7 %
MFA FINANCIAL INC 4.5 %
CHIMERA INVESTMENT CORPORATION 4.4 %
CAPITAL TRUST-CL A 4.3 %
APOLLO COMMERCIAL REAL ESTAT 4.0 %
INVESCO MORTGAGE CAPITAL 3.3 %
Total 71.4 %

TOP COUNTRY EXPOSURE
UNITED STATES 99.8 %










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.
15.4% 10.7% 7.9% 8.8% -0.4%

Market Correlations
versus... Beta R-squared
S&P500 0.56 27%
MSCI EAFE 0.51 19%
MSCI Emg. Mkts. 0.35 15%

Technical Indicators
Recent close $43.45
30d moving avg. $42.68
Annualized volatility 12.8%
Short interest (ETF) 0.0%
Short interest (Underlying) 3.1%
Relative strength (RSI) 66

Liquidity measures
Avg. volume (thou.) 259
Turnover 0.9%
Bid/Ask (% of price) 0.05%
ADV underlying (mns) $699

Distributions


FINDING ALTERNATIVE FUNDS

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

Benchmark ticker: REM Expense: 48 bp ALTAR Score™: 10.9%


ALTERNATIVE ETFs BASED ON OVERLAP WITH REM
Ticker Fund
Name
Overlap1
vs REM
(%)
Expense
ratio
(bp)
Savings
vs REM
(bp)
ALTAR
Score™
(%)
ALTAR
vs REM
(%)
MORT VanEck Vectors Mortgage REIT 82.7 42 6 11.1 +0.2
SRET Global X SuperDividend REIT 44.8 59 -11 10.1 -0.8
KBWD Invesco KBW High Dividend Financial 30.9 242 -194 10.3 -0.6
SDIV Global X Superdividend 20.8 58 -10 11.1 +0.2
XSHD Invesco S&P SmallCap High Div Low Volatility 16.6 30 18 8.2 -2.7
ROOF IQ US Real Estate Small Cap 16.0 70 -22 8.6 -2.3
DIV Global X SuperDividend US ETF 13.8 45 3 7.6 -3.3
XSLV Invesco S&P SmallCap Low Volatility 10.0 25 23 6.9 -4.0
SMLV SPDR Russell 2000 Low Volatility 9.2 12 36 6.7 -4.3
VFMV Vanguard U.S. Minimum Volatility 8.7 13 35 5.5 -5.4
FDVV Fidelity Core Dividend 8.0 29 19 7.4 -3.5
SMMV iShares Edge MSCI Min Vol USA Small-Cap 7.9 20 28 5.2 -5.7
PSCF Invesco S&P Small Cap Financials 7.5 29 19 8.7 -2.2
USVM USAA MSCI USA Small Cap Value Momentum Blend Index 7.4 24 24 6.6 -4.3
PXSG Invesco Fundamental Pure Small Growth 5.2 39 9 4.7 -6.2
AUSF Global X Adaptive U.S. Factor 5.0 27 21 8.3 -2.7
FDRR Fidelity Dividend for Rising Rates 4.6 29 19 7.8 -3.1
PSC Principal U.S. Small Cap Index 4.6 38 10 6.3 -4.6
IYR iShares U.S. Real Estate 4.5 42 6 5.9 -5.0
DDIV First Trust Dorsey Wright Momentum & Dividend 4.3 60 -12 6.7 -4.2

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

  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:
iShares Mortgage Real Estate Capped
Relative
to:
S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

SPECULATIVE

Deeply undervalued but risky. A rating of SPECULATIVE is assigned to ETFs with ALTAR Scores in the top quintile (the top 20%) of their category, indicating exceptional appreciation potential. However, often these are narrowly-focused funds or in industries with structural issues, which may also make them very risky. Nonetheless they may still be useful as part of a well-diversified portfolio.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity 10.1 %
Divided by: Fwd. P/BV 0.9 x
Less: Expense ratio 48 bp
Equals: ALTAR Score 10.9 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.48 CATEGORY
AVERAGE
1.55
 
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.