6 Winning Investment Strategies [Infographic]

Proj Omni: Aug 30, '17

Among the mainstream ETF investment strategies (with collective assets of over $100 Billion), growth, value and dividends stand out because of their superior historical returns. 

Growth, value and dividends ETFs have returned 14.53%, 14.24%, and 8.16% (respectively), over the last five years.Compare that to the five-year average of 4% for all ETFs. 

Even better: growth, value and dividends ETFs have returned 19.87%, 18.16%, and 13.24% (respectively), over the last year.Compare that to the one-year average of 10.99% for all ETFs. 

The growth ETFs that have attracted the most ETF assets are:

  • iShares Russell 1000 Growth ETF (IWF); $36B assets
  • Vanguard Growth ETF (VUG); $28B assets
  • iShares S&P 500 Growth ETF (IVW); $19B assets

The value ETFs that have attracted the most ETF assets are:

  • iShares Russell 1000 Value ETF (IWD); $37B assets
  • Vanguard Value ETF (VTV); $32B assets
  • iShares S&P 500 Value ETF (IVE); $13B assets

The dividends ETFs that have attracted the most ETF assets are:

  • Vanguard Dividend Appreciation ETF (VIG); $25B assets
  • Vanguard High Dividend Yield ETF (VYM); $19B assets
  • iShares Select Dividend ETF (DVY); $17B assets

Among the smaller, but increasingly important investment strategies (with collective assets of under $20 Billion), currency hedged fundamentals, ESG and momentum stand out because of their superior historical returns. 

Currency hedged fundamentals, ESG and momentumETFs have returned 14.63%, 14.32%, and 9.62% (respectively), over the last five years.  Compare that to the five-year average of 4% for all ETFs. 

Here are the top currency hedged fundamentals, ESG and momentum ETFs by assets:

  • Currency hedged fundamentals: WisdomTree Europe Hedged Equity Fund (HEDJ); $9B assets
  • ESG: iShares MSCI KLD 400 Social ETF (DSI); $0.9B assets
  • Momentum: iShares Edge MSCI USA Momentum Factor ETF (MTUM); $3.3B assets

Remember the six strategies: growth, value, dividends, currency hedged fundamentals, ESG and momentum!

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