The Principal U.S. Mega-Cap ETF (USMC) tracks an index of the largest U.S. companies. The index first divides the biggest 10% of companies by market value from the bottom 90%. The top tier is weighted by market value while the bottom 90% are equal-weighted, with a tilt based on volatility. The result is a concentrated portfolio of about 40 securities. The biggest holdings are familiar names like Microsoft, Amazon, and Johnson & Johnson, with the lower tier including stocks like Home Depot and Chevron. USMC charges a reasonable management fee for the category.
USMC’s concentrated portfolio is an argument against using the fund as a core portfolio holding, especially considering that there’s so much portfolio overlap with better-diversified funds. USMC has plenty of competition in the multi-factor space, such as the JPMorgan Diversified Return U.S. Equity ETF (JPUS), the Invesco S&P 500 Low Volatility ETF (SPLV), the Invesco S&P 500 High Dividend Low Volatility ETF (SPHD), or the Goldman Sachs ActiveBeta U.S. Large Cap Equity ETF (GSLC), to name a few. Plain-vanilla market-cap weighted index funds also come with a built-in bent toward the largest companies, so investors should also take a look at ultra-low-cost S&P 500 index ETFs like the iShares S&P 500 ETF (IVV) or the Vanguard S&P 500 ETF (VOO).
| Segment | Equity: U.S. - Large Cap |
| Category | Size and Style |
| Focus | Large Cap |
| Niche | Broad-based |
| Strategy | Active |
| Weighting Scheme | Proprietary |
This section compares how balanced and deep this ETF is relative to its peers.
| USMC | ETF Database Category Average | FactSet Segment Average | |
|---|---|---|---|
| Number of Holdings | 44 | 370 | 116 |
| % of Assets in Top 10 | 47.27% | 44.71% | 65.37% |
| % of Assets in Top 15 | 59.74% | 52.55% | 69.27% |
| % of Assets in Top 50 | 100.01% | 77.32% | 82.96% |
| USMC | ETF Database Category Average | FactSet Segment Average | |
|---|---|---|---|
| Large (>12.9B) | 99.60% | 87.65% | 41.97% |
| Mid (>2.7B) | 0.00% | 5.12% | 2.79% |
| Small (>600M) | 0.00% | 0.61% | 0.09% |
| Micro (<600M) | 0.00% | 0.07% | 0.22% |
This section compares the P/E ratio of this ETF to its peers.
This section compares the dividend yield of this ETF to its peers.
| USMC | ETF Database Category Average | FactSet Segment Average | |
|---|---|---|---|
| Dividend | $ 0.16 | $ 0.32 | $ 0.19 |
| Dividend Date | 2024-07-01 | N/A | N/A |
| Annual Dividend Rate | $ 0.64 | $ 0.93 | $ 0.67 |
| Annual Dividend Yield | 1.16% | 1.03% | 1.59% |
View charts featuring USMC price and volume data.
View charts featuring ETF fund flow data.
5 Day Net Flows: -7.57 M 1 Month Net Flows: 795.47 K 3 Month Net Flows: 42.42 M 6 Month Net Flows: 77.92 M 1 Year Net Flows: 513.99 M 3 Year Net Flows: -137.28 M 5 Year Net Flows: -315.91 M 10 Year Net Flows: 1.11 BView charts that break down the influence that fund flows and price had on overall assets.
5 Day Net AUM Change: 9.79 MThe adjacent table gives investors an individual Realtime Rating for USMC on several different metrics, including liquidity, expenses, performance, volatility, dividend, concentration of holdings in addition to an overall rating. The "A+ Metric Rated ETF" field, available to ETF Database Pro members, shows the ETF in the Large Cap Growth Equities with the highest Metric Realtime Rating for each individual field. To view all of this data, sign up for a free 14-day trial for ETF Database Pro. To view information on how the ETF Database Realtime Ratings work, click here.
This section compares the cost efficiency of this ETF to its peers.
| Max ST Capital Gains Rate | 39.60% |
| Max LT Capital Gains Rate | 20.00% |
| Tax On Distributions | Qualified dividends |
| Distributes K1 | No |
This section shows how this ETF has performed relative to its peers. Returns over 1 year are annualized.
| USMC |
ETF Database
Category Average |
Factset Segment
Average |
|
|---|---|---|---|
| 1 Month Return | 6.90% | 5.02% | 2.26% |
| 3 Month Return | 8.54% | 5.81% | 3.08% |
| YTD Return | 18.28% | 15.80% | 7.87% |
| 1 Year Return | 27.77% | 25.60% | 11.85% |
| 3 Year Return | 12.82% | 5.63% | 3.50% |
| 5 Year Return | 15.32% | 9.31% | 2.86% |
The following charts reflect the geographic spread of USMC's underlying holdings.
| Region | Percentage |
|---|---|
| North, Central and South America | 100.01% |
| Other | 0.0% |
| Country | Percentage |
|---|---|
| United States | 95.93% |
| Ireland | 2.61% |
| United Kingdom | 1.06% |
| Other | 0.41% |
The following charts reflect the allocation of USMC's underlying holdings.
| Sector | Percentage |
|---|---|
| Technology Services | 23.84% |
| Electronic Technology | 22.15% |
| Health Technology | 14.18% |
| Retail Trade | 10.03% |
| Finance | 7.03% |
| Commercial Services | 5.45% |
| Consumer Non-Durables | 4.12% |
| Energy Minerals | 3.86% |
| Consumer Services | 2.57% |
| Health Services | 2.43% |
| Consumer Durables | 2.08% |
| Process Industries | 1.06% |
| Utilities | 0.8% |
| Miscellaneous | 0.41% |
| CASH | 0.0% |
| Market Cap | Percentage |
|---|---|
| Large | 99.6% |
| Mid | 0.0% |
| Small | 0.0% |
| Micro | 0.0% |
| Region | Percentage |
|---|
| Asset | Percentage |
|---|---|
| Share/Common/Ordinary | 99.6% |
| Open-ended Fund | 0.41% |
| CASH | 0.0% |
| Sector | Percentage |
|---|---|
| Technology Services | 23.84% |
| Electronic Technology | 22.15% |
| Health Technology | 14.18% |
| Retail Trade | 10.03% |
| Finance | 7.03% |
| Commercial Services | 5.45% |
| Consumer Non-Durables | 4.12% |
| Energy Minerals | 3.86% |
| Consumer Services | 2.57% |
| Health Services | 2.43% |
| Consumer Durables | 2.08% |
| Process Industries | 1.06% |
| Utilities | 0.8% |
| Miscellaneous | 0.41% |
| CASH | 0.0% |
This section shows how the volatility of this ETF compares to the peer group ETF Database Category.
| 5 Day Volatility | 20.06% |
| 20 Day Volatility | 6.16% |
| 50 Day Volatility | 9.37% |
| 200 Day Volatility | 11.08% |
| Beta | 0.92 |
| Standard Deviation | 3.75% |
ETF Database's Financial Advisor Reports are designed as an easy handout for clients to explain the key information on a fund. Includes new analyst insights and classification data.
Fact sheets are issued by the ETF provider and framed by ETF Database. Information contained within the fact sheet is not guaranteed to be timely or accurate.
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