The State Street SPDR SSGA US Lg Cap Low Vol Index ETF offers a diversified, volatility-weighted portfolio with modest growth and profitability metrics. LGLV trades at a 7% P/E discount to the Russell 1000, reflecting lower technology exposure and a balanced sector mix, while maintaining lower volatility. The fund has outperformed most low-volatility peers over 3- and 5-year periods, though it lags the broader market during strong rallies and excels in downturns.
On this episode of the “ETF of the Week” podcast, VettaFi's Head of Research Todd Rosenbluth discussed the State Street SPDR US Large Cap Low Volatility Index ETF (LGLV) with Chuck Jaffe of Money Life. The pair discussed several topics related to the fund to give investors a deeper understanding of the ETF.
VettaFi's Head of Research Todd Rosenbluth discussed the State Street SPDR SSGA US Lg Cap Low Vol Index ETF (LGLV) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.” For more news, information, and strategy, visit the ETF Strategist Content Hub.
| Name | Quantity | Cost | Value | Profit ($) | Gain (%) |
|---|---|---|---|---|---|
| JD Jim Dushek HARBOUR INVESTMENTS Inc. | 12,461 | $2.1M | $2.29M | $187,776.68 | 8.95% |
Jeff Ameen Spire Wealth Management | 168 | $25,016.48 | $30,861.6 | $5,845.12 | 23.37% |
Kyle P. Smith NewEdge Wealth LLC | 1,776 | $316,305.62 | $326,180.16 | $9,874.54 | 3.12% |
| RS Ryan Sanford Elevation Capital Advisory LLC | 7,483 | $1.31M | $1.37M | $60,312.91 | 4.59% |
| RS Richard Slavik Newbridge Financial Services Group Inc. | 306 | $46,686.42 | $56,114.28 | $9,427.86 | 20.19% |
| ARCA Exchange | US Country |
The fund is a financial instrument that focuses on investing primarily in stock securities associated with U.S. large capitalization companies that are characterized by low volatility. This strategic focus on low-volatility stocks is designed to potentially offer investors a more stable investment option within the equity market. By committing at least 80% of its total assets to securities that make up its benchmark index, the fund is dedicated to closely mirroring the performance of the index. This index specifically measures the performance of U.S. large cap companies which are deemed to have lower than average volatility, where volatility represents the degree to which the price of a stock fluctuates over time.
The fund's primary product is an investment vehicle that allocates substantially all of its assets to securities within its benchmark index. This type of investment is designed for investors looking for exposure to U.S. large capitalization stocks with a strategy to minimize volatility. It aims to replicate the performance of its index, thereby offering investors a pathway to participate in the performance of selected companies exhibiting lower volatility.
In line with its investment strategy, the fund creates a portfolio that is heavily weighted towards stocks characterized by lower volatility. This is achieved through a meticulous selection process that identifies U.S. large cap companies with a track record of lower price fluctuations. The goal is to provide a potentially less risky investment option for investors concerned about market instability and looking for steadier returns over time.