iShares Russell 1000 Value UCITS ETF (Acc)

Issuer: iShares

Asset Class: Equity

TER: 18bps

Trading Currency: USD

Pays Income: False

Listing Date: 30 Jun 2023

Ticker: R1VL

ISIN: IE0002EKOXU6

This fund offers targeted exposure to large-cap U.S. companies that exhibit value characteristics, aiming to replicate the performance of a specific value-focused index. The investment strategy centers on identifying and holding stocks that the market may be undervaluing relative to their fundamental worth, which is often assessed using metrics like price-to-book, price-to-earnings, and dividend yields. This approach serves as a classic counterpart to growth-oriented strategies, seeking to capitalize on potential price reversions as the market recognizes the true value of these established firms.

The investment product is designed for those looking to implement a specific factor tilt towards 'value' within their U.S. equity allocation. Value stocks have historically shown distinct performance patterns across different economic cycles and can provide diversification benefits when combined with other investment styles, such as growth or momentum. By investing in a diversified basket of hundreds of undervalued U.S. large-cap stocks, investors can gain efficient access to this segment of the market, potentially capturing long-term capital appreciation from some of America's most prominent corporations.

As an accumulating share class, this fund automatically reinvests any dividends paid by the underlying holdings back into the portfolio. This feature makes it particularly well-suited for long-term investors focused on capital growth, as it allows for the benefits of compounding to work over time without the need for manual reinvestment. The fund can serve as a strategic satellite holding to complement a core, broad-market U.S. equity position, enabling investors to express a clear view on the potential outperformance of value stocks.