For traders looking for momentum, Vanguard U.S. Minimal Volatility ETF VFMV might be on the radar. The fund simply hit a 52-week excessive and is up 20.46% from its 52-week low worth of $106.80/share.
However are extra beneficial properties in retailer for this ETF? Let’s take a fast take a look at the fund and the near-term outlook on it to get a greater concept of the place it is likely to be headed:
VFMV in Focus
The fund employs an energetic technique, investing in securities that search to offer long-term capital appreciation with decrease volatility relative to the broad U.S. fairness market. The product fees 13 bps in annual charges (See: All Cap Blend ETFs).
Why the Transfer?
The low volatility nook of the broader market has been an space to observe these days, given rising uncertainty fueled by tariffs launched by President Trump which enhance the chance of a commerce warfare and considerations over an financial slowdown. Latest unfavorable inflation information and expectations of reciprocal tariffs to additional put upward stress on worth ranges, make this fund a superb wager. Low-volatility ETFs have the potential to outpace the broader market in bearish circumstances or an unsure setting, offering important safety to the portfolio.
Extra Good points Forward?
Presently, VFMV may proceed its robust efficiency within the close to time period, with a constructive weighted alpha of 16.31 (as per Barchart.com), which provides cues of an additional rally.
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Vanguard U.S. Minimum Volatility ETF (VFMV): ETF Research Reports
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.
