Equity: U.S. - Mid Cap

EZM Top Performer Intra-day
Price $104.17
Today’s Change +0.72%(0.70)
4:00pm 01/13/2017
EQWM Bottom Performer Intra-day
Price $42.49
Today’s Change +0.06%(0.14)
2:39pm 01/13/2017
  • Overview
  • Efficiency
  • Tradability
  • Fit

ETF.com Insight

Most often than not, the early bird gets the AUM, meaning first-movers win the most assets. This holds true for US midcap ETFs. In 1995, the SPDR S&P MidCap 400 ETF (MDY) was the firstAs obvious as it sounds, a key to selecting the right midcap ETF is firm size to enter the midcap space, followed by the iShares S&P 400 MidCap ETF (IJH) 5 years later. These two funds hold about half of all assets invested in US midcap ETFs and lead in liquidity too.
However, some younger funds are giving MDY and IJH a run for their money. Currently, 16 ETFs offer exposure to US midcaps: About half are plain vanilla broad-based funds, while the others aspire to beat the market or serve investors in some other unique way. Many of the vanilla funds track the same index, and therefore have to compete in Efficiency and Tradability for investor dollars. For example, the Vanguard S&P Mid Cap 400 ETF (IVOO) and IJH track the same index, and marketplace pressures forced BlackRock to lower fees on IJH to stay competitive.
As obvious as it sounds, a key to selecting the right midcap ETF is firm size. Little consensus exists on ideal bounds for midcap exposure. In our view, few funds get firm size right: They err either on the large cap or small cap side—even our benchmark leans to large-caps. This distinction matters most to investors who mix and match funds from different index families to cover the entire cap spectrum. In such cases, the possibility for double coverage or omitted coverage of the market cap spectrum is real.
Note: VO changed its underlying index in late January 2013 from an MSCI index to a CRSP index. (Insight updated 01/16/17)

All Funds (20)

VO $17.1 B 17102014336.71 Second lowest expense ratio

A 99
E
99
99
T
99
99
F
99
99

IWR $14.55 B 14547208745 Great tradability

A 93
E
97
97
T
99
99
F
93
93

SCHM $2.93 B 2933052165.4 Cheapest fund in the segment

A 88
E
100
100
T
98
98
F
88
88

JKG $663.4 M 663403645 Solid core basket

A 87
E
95
95
T
91
91
F
87
87

MDY $19.38 B 19382096282.56 Unit Investment Trust

A 81
E
94
94
T
98
98
F
81
81

IVOO $600.33 M 600331000 Spotty trading

A 80
E
97
97
T
98
98
F
80
80

IJH $36.21 B 36207275600 Popular and liquid

A 80
E
100
100
T
99
99
F
80
80

EZM $775.26 M 775263390 Value play on midcaps

A 76
E
93
93
T
90
90
F
76
76

XMLV $800.66 M 800658900 --

A 50
E
96
96
T
95
95
F
50
50

DON $2.52 B 2517787295 High dividends

B 97
E
87
87
T
97
97
F
97
97

JHMM $143.35 M 143353420 new; trade with care

B 90
E
88
88
T
72
72
F
90
90

EQWM $25.49 M 25487400 Unremarkable assets

B 81
E
94
94
T
58
58
F
81
81

FNX $723.28 M 723277914.806 Most expensive

B 81
E
88
88
T
95
95
F
81
81

CZA $157.57 M 157567950 Shows alpha

B 76
E
84
84
T
72
72
F
76
76

EWMC $122.61 M 122606400 Equal-weighted

B 75
E
91
91
T
69
69
F
75
75

RWK $256.45 M 256445636.2 Elevated market risk

B 70
E
85
85
T
93
93
F
70
70

REGL $340.49 M 340494000 N/A

N/A 0
E
0
-1
T
0
-1
F
0
-1

JPME $44.03 M 44034519.586665 N/A

N/A 0
E
0
-1
T
0
-1
F
0
-1

PTMC $221.81 M 221810000 risk toggler

N/A 0
E
0
-1
T
0
-1
F
0
-1

EWRM $105.03 M 105025000 Equal-weighted

B 81
E
90
90
T
69
69
F
81
81

ETF.com Grade as 01/05/17

Equity: U.S. - Mid Cap

Performance Dispersion
Performance  [as of 01/12/17] 1 Month 3 Month YTD 1 Year 3 Years 5 Years 10 Years
Benchmark: MSCI USA Mid Cap-0.10%7.23%1.82%21.67%7.70%13.39%--
A 98.584948VO17102014336.71VOVanguard Mid-Cap Index Fund0.14%6.41%1.79%21.07%8.19%13.91%7.68%
A 93.144744IWR14547208745IWRiShares Russell Midcap ETF0.26%7.28%1.60%22.85%8.17%14.09%7.69%
A 87.668014SCHM2933052165.4SCHMSchwab U.S. Mid-Cap ETF0.10%8.11%1.55%24.33%8.41%14.56%--
A 86.678626JKG663403645JKGiShares Morningstar Mid-Cap ETF0.09%6.61%1.58%21.17%8.92%14.21%8.25%
A 80.529992MDY19382096282.56MDYSPDR S&P Midcap 400 ETF Trust-0.17%10.29%1.07%29.92%8.90%14.42%8.71%
A 80.490681IVOO600331000IVOOVanguard S&P Mid Cap 400 Index Fund-0.07%10.41%1.32%30.27%9.11%14.59%--
A 80.466952IJH36207275600IJHiShares Core S&P Mid-Cap ETF-0.13%10.37%1.10%30.27%9.13%14.65%8.92%
A 75.955014EZM775263390EZMWisdomTree MidCap Earnings Fund-0.76%10.29%0.76%29.27%7.53%14.56%--
A 49.656951XMLV800658900XMLVPowerShares S&P MidCap Low Volatility Portfolio0.30%8.11%0.37%26.24%14.72%----
B 96.686373DON2517787295DONWisdomTree MidCap Dividend Fund-0.48%8.33%1.11%27.82%11.52%15.63%8.50%
B 90.270899JHMM143353420JHMMJohn Hancock Multifactor Mid Cap ETF0.21%8.10%1.81%24.58%------
B 80.707368EQWM25487400EQWMPowerShares Russell Midcap Equal Weight Portfolio0.03%7.28%1.65%29.79%7.79%12.46%5.55%
B 80.687809FNX723277914.806FNXFirst Trust Mid Cap Core AlphaDEX Fund-0.24%10.15%1.29%28.60%5.14%12.06%--
B 76.491344CZA157567950CZAGuggenheim Mid-Cap Core ETF1.00%7.53%1.40%24.37%8.16%14.08%--
B 75.256821EWMC122606400EWMCGuggenheim S&P Midcap 400 Equal Weight ETF-0.73%11.22%0.78%33.69%8.69%14.32%--
B 69.76224RWK256445636.2RWKOppenheimer Mid Cap Revenue ETF-1.03%11.51%1.24%32.29%8.12%14.65%--
N/A 0REGL340494000REGLProShares S&P MidCap 400 Dividend Aristocrats ETF0.71%12.22%0.81%38.07%------
N/A 0JPME44034519.586665JPMEJPMorgan Diversified Return U.S. Mid Cap Equity ETF0.32%6.61%1.42%--------
N/A 0PTMC221810000PTMCPacer Trendpilot 450 ETF0.12%8.80%1.58%17.31%------
B 81.392247950162EWRM105025000EWRMGuggenheim Russell Midcap Equal Weight-9.73%-13.89%-11.78%-14.17%5.82%7.21%--
All returns over 1 year are annualized. All returns are total returns unless otherwise stated.

ETF.com Efficiency Insight

A major part of a funds Efficiency score is the expense ratio. Typically, low holding costs translate to high Efficiency rankings; however, this isn’t always so for US midcaps. TheSCHM is the segments cheapest portfolio at 0.07%, Schwab U.S. Mid-Cap ETF (SCHM) is the segments cheapest portfolio at 0.07%, while the Vanguard Mid-Cap Fund (VO) is also cheap—charging 0.09%. However, VO loses points for posting holdings monthly with a 2 week lag, not daily, as is customary for most ETFs.
The finer points of funds securities-lending programs are on display here too. IJH and IWRs fund provider, BlackRock, only rebates 65% of profits to shareholders, while Schwab gives it all back. Meanwhile, MDY is legally restricted from lending securities. As a unit investment trust (UIT), MDY is unable to lend securities or reinvest dividends between distribution periods. Such subtle differences can impact how well each fund tracks its index and by extension, how much the fund truly costs to hold beyond its headline fee.
PXMC lands at the opposite end of the AUM spectrum. It risks closure due to low assets - below $30M.The good news is that all ETFs in this segment have avoided capital gains payouts within the last 3 years, making them highly tax efficient.
Note: VO changed its underlying index in late January 2013 from an MSCI index to a CRSP index. (Insight updated 01/16/17)

All Funds (20)

99
98.966003
97
97.462385
97
97.18253
96
95.838617
95
95.471472
94
94.288002
94
93.910734
93
92.887298
91
90.966025
88
87.689895
88
87.516253
87
87.267593
85
84.816223
84
84.451676
100
100
100
100
N/A
0
N/A
0
N/A
0
90
89.58189656938

ETF.com Grade as 01/05/17

Equity: U.S. - Mid Cap

Tracking Difference (12 Month)

Ticker Expense Ratio Median Max. Upside Max. Downside Max LT/ST Cap Gains Rate Rule Legal Structure Fund Closure Risk Efficiency
EZM WisdomTree MidCap Earnings Fund 0.38% -0.26% -0.21% -0.41% 20.00% / 39.60% Low 92.887298
SCHM Schwab U.S. Mid-Cap ETF 0.06% -0.00% 0.02% -0.03% 20.00% / 39.60% Low 100
FNX First Trust Mid Cap Core AlphaDEX Fund 0.63% -0.58% -0.48% -0.69% 20.00% / 39.60% Low 87.689895
VO Vanguard Mid-Cap Index Fund 0.08% -0.03% -0.01% -0.05% 20.00% / 39.60% Low 98.966003
IJH iShares Core S&P Mid-Cap ETF 0.07% -0.07% -0.03% -0.11% 20.00% / 39.60% Low 100
XMLV PowerShares S&P MidCap Low Volatility Portfolio 0.25% -0.35% -0.24% -0.42% 20.00% / 39.60% Low 95.838617
IVOO Vanguard S&P Mid Cap 400 Index Fund 0.15% -0.13% -0.09% -0.19% 20.00% / 39.60% Low 97.462385
EWMC Guggenheim S&P Midcap 400 Equal Weight ETF 0.41% -0.20% 6.37% -1.80% 20.00% / 39.60% Low 90.966025
IWR iShares Russell Midcap ETF 0.20% -0.17% -0.11% -0.25% 20.00% / 39.60% Low 97.18253
JPME JPMorgan Diversified Return U.S. Mid Cap Equity ETF 0.34% -- -- -- 20.00% / 39.60% Low 0
JHMM John Hancock Multifactor Mid Cap ETF 0.45% -- -- -- 20.00% / 39.60% Low 87.516253
JKG iShares Morningstar Mid-Cap ETF 0.25% -0.21% -0.14% -0.31% 20.00% / 39.60% Low 95.471472
CZA Guggenheim Mid-Cap Core ETF 0.65% -0.83% -0.72% -0.96% 20.00% / 39.60% Low 84.451676
MDY SPDR S&P Midcap 400 ETF Trust 0.25% -0.29% -0.18% -0.45% 20.00% / 39.60% Low 93.910734
DON WisdomTree MidCap Dividend Fund 0.38% -0.40% -0.33% -0.91% 20.00% / 39.60% Low 87.267593
PTMC Pacer Trendpilot 450 ETF 0.63% -- -- -- 20.00% / 39.60% Low 0
EQWM PowerShares Russell Midcap Equal Weight Portfolio 0.25% -0.20% -0.13% -0.27% 20.00% / 39.60% Low 94.288002
REGL ProShares S&P MidCap 400 Dividend Aristocrats ETF 0.40% -- -- -- 20.00% / 39.60% Low 0
RWK Oppenheimer Mid Cap Revenue ETF 0.39% -0.55% -0.29% -0.95% 20.00% / 39.60% Low 84.816223
EWRM Guggenheim Russell Midcap Equal Weight -0.32% -0.14% -0.45% 20.00% / 39.60% Low 89.58189656938

ETF.com Tradability Insight

Although MDY is not the largest fund by AUM, it certainly is the most traded. Its average daily trading volume is almost $500M: about four times as large as its nearest competitor, IJH.MDY is not the largest fund by AUM, but is certainly the most traded.  Both MDY and IJH show super tight bid/ask spreads - 1 to 2 bps.
IWR, VO also shine in Tradability—bid/ask spreads average 0.04% or better.
SCHM, DON, FNX and EZM form a second tier of liquidity. The funds have similar trading volumes, while their bid/ask spreads vary between 6 bps and 12 bps.
Toward the bottom of the Tradability barrel, investors will find funds that are harder to trade such as PXMC, TRNM, EWRM, XMLV and CZA. Limit orders and iNav tracking will help investors make the most of their trades here.
Block liquidity for all funds is strong. Institutional investors can trade these funds easily and cheaply. Still, we recommend using liquidity providers for best execution. (Insight updated 01/16/17)

All Funds (20)

99
99.120224
99
98.865386
99
98.743405
98
98.421374
98
98.388746
98
98.121225
97
97.260069
95
95.430422
95
95.044326
93
92.81031
91
90.739559
90
90.206598
72
72.060003
72
71.987771
69
68.527928
58
57.669555
N/A
0
N/A
0
N/A
0
69
69.37468231609

ETF.com Grade as 01/05/17

Equity: U.S. - Mid Cap

Ticker Median Daily Volume ($) Average Spread Creation Unit/Day Market Hours Overlap Underlying Volume/Unit % Creation Cost Per Unit (%) Impediment to Creations Score - Tradability
IJH iShares Core S&P Mid-Cap ETF $235.94 M 0.02% 28.34 100.00% 0.07% 0.01% None 98.865386
IVOO Vanguard S&P Mid Cap 400 Index Fund $3.48 M 0.06% 1.23 100.00% 0.02% 0.02% None 98.121225
IWR iShares Russell Midcap ETF $44.97 M 0.04% 5.03 100.00% 0.02% 0.02% None 98.743405
JHMM John Hancock Multifactor Mid Cap ETF $330.48 K 0.19% 0.23 100.00% 0.00% 0.05% None 72.060003
JKG iShares Morningstar Mid-Cap ETF $2.3 M 0.18% 0.29 100.00% 0.06% 0.01% None 90.739559
MDY SPDR S&P Midcap 400 ETF Trust $467.31 M 0.02% 61.91 100.00% 0.06% 0.04% None 98.388746
PTMC Pacer Trendpilot 450 ETF $1.22 M 0.21% 0.93 100.00% 0.01% 0.04% None 0
REGL ProShares S&P MidCap 400 Dividend Aristocrats ETF $4.34 M 0.14% 3.45 100.00% 0.22% 0.02% None 0
RWK Oppenheimer Mid Cap Revenue ETF $1.58 M 0.11% 0.59 100.00% 0.04% 0.07% None 92.81031
SCHM Schwab U.S. Mid-Cap ETF $16.05 M 0.05% 7.04 100.00% 0.01% 0.02% None 98.421374
CZA Guggenheim Mid-Cap Core ETF $406.95 K 0.24% 0.15 100.00% 0.05% 0.02% None 71.987771
VO Vanguard Mid-Cap Index Fund $63.74 M 0.03% 19.30 100.00% 0.01% 0.02% None 99.120224
DON WisdomTree MidCap Dividend Fund $12.86 M 0.08% 2.76 100.00% 0.04% 0.02% None 97.260069
XMLV PowerShares S&P MidCap Low Volatility Portfolio $6.2 M 0.10% 3.07 100.00% 0.04% 0.02% None 95.430422
EQWM PowerShares Russell Midcap Equal Weight Portfolio $51.73 K 0.45% 0.02 100.00% 0.02% 0.02% None 57.669555
EWMC Guggenheim S&P Midcap 400 Equal Weight ETF $701.93 K 0.32% 0.24 100.00% 0.02% 0.07% None 68.527928
JPME JPMorgan Diversified Return U.S. Mid Cap Equity ETF $91.61 K 0.13% 0.02 100.00% 0.03% 0.03% None 0
EZM WisdomTree MidCap Earnings Fund $2.29 M 0.21% 0.45 100.00% 0.04% 0.03% None 90.206598
FNX First Trust Mid Cap Core AlphaDEX Fund $2.7 M 0.15% 0.98 100.00% 0.04% 0.02% None 95.044326
EWRM Guggenheim Russell Midcap Equal Weight $394.86 K 0.16 98.00% 0.01% 0.09% None 69.37468231609

ETF.com/ Block Liquidity

PTMC
5
4
3
2
1
REGL
5
4
3
2
1
RWK
5
4
3
2
1
SCHM
5
4
3
2
1
VO
5
4
3
2
1
XMLV
5
4
3
2
1
EWMC
5
4
3
2
1
JPME
5
4
3
2
1
CZA
5
4
3
2
1
DON
5
4
3
2
1
EQWM
5
4
3
2
1
EZM
5
4
3
2
1
FNX
5
4
3
2
1
IJH
5
4
3
2
1
IVOO
5
4
3
2
1
IWR
5
4
3
2
1
JHMM
5
4
3
2
1
JKG
5
4
3
2
1
MDY
5
4
3
2
1
EWRM
5
4
3
2
1

This measurement shows how easy it is to trade 25,000 shares of each ETF.

ETF.com Fit Insight

Boundaries for market-cap buckets vary greatly by issuer, and even our own benchmark leans toward large caps. VO offers the tightest fit to our benchmark with about 63% of its assets inThe S&P Mid Cap 400 Index is tracked by three ETFs: IJH, MDY and IVOO midcaps and the rest in large-caps.
Many of the US midcap ETFs can be evaluated in clusters since several track the same indexes. The S&P Mid Cap 400 Index is especially popular and is tracked by three ETFs: IJH, MDY and IVOO. Although the index bills itself as pure midcap, from our perspective it tilts small—with about 13% of its basket dedicated to small-caps. Still, the funds that track it don't show elevated market risk against the segment benchmark.
EWRM offers equal-weighted exposure to midcaps, but it equal weights by sector first. EWRM's beta is marketlike, but sector biases are sizable. DON offers a dividend take on midcaps. The fund Fits our benchmark poorly but that’s hardly the point. Its gross portfolio yield is more than twice that of the benchmark. (Insight updated 01/16/17)

All Funds (20)

99
98.584948
97
96.686373
93
93.144744
90
90.270899
88
87.668014
87
86.678626
81
80.707368
81
80.687809
81
80.529992
80
80.490681
80
80.466952
76
76.491344
76
75.955014
75
75.256821
70
69.76224
50
49.656951
N/A
0
N/A
0
N/A
0
81
81.392247950162

ETF.com Grade as 01/05/17

Equity: U.S. - Mid Cap