FlexShares Tilt ETF Shows Mixed Performance in Market

FlexShares Tilt ETF offers broad market exposure but faced a -3.30% decline this year. With a growing asset base and medium risk rating, investors may consider it a strategic choice despite recent losses.

Date: 21-03-2025

AI Rating: 5

Overview of FlexShares Morningstar U.S. Market Factor Tilt ETF (TILT)
Designed for broad exposure to the All Cap Blend category, TILT aims to outperform market averages through smart beta strategies. However, it has recorded a loss of -3.30% so far this year and a gain of just 9.06% over the last year, indicating some volatility in performance.

Expense Ratio and Dividend Yield
The fund's operating expense ratio is 0.25%, which is competitive compared to peers. It also offers a 12-month trailing dividend yield of 1.07%, making it a reasonable long-term investment choice for income-seeking investors.

Sector Allocation and Holdings
TILT has a significant portion of its assets allocated to the Information Technology sector (22.90%), with notable holdings in major companies like Apple (AAPL - 4.75%), Microsoft (MSFT), and NVIDIA (NVDA). This concentration could affect performance based on the tech sector's market movements.

Risk Assessment
TILT has a beta of 1.09, indicating it is slightly more volatile than the market. Its standard deviation of 17.35% suggests medium risk potential, which may be appealing to risk-tolerant investors.
Assessing the ETF's performance and sector exposure suggests that while there are opportunities for growth, the recent downturn could impact investor sentiment and stock prices negatively.

Stocks: AAPL MSFT NVDA