SMOT: Frustrating Performance, Unconvincing Factor Mix
SMOT is supposed to offer exposure to narrow- and wide-moat companies from the SMID league. This proposition looks solid at first glance, but neither its performance delivered since inception in 2022 nor the current factor mix are convincing enough. Over November 2022–July 2024, SMOT delivered the weakest risk-adjusted returns compared to IVV, MOAT, and IWR. It slightly beat IWM.
Is VanEck Morningstar SMID Moat ETF (SMOT) a Strong ETF Right Now?
Making its debut on 10/04/2022, smart beta exchange traded fund VanEck Morningstar SMID Moat ETF (SMOT) provides investors broad exposure to the Style Box - All Cap Blend category of the market.
Is VanEck Morningstar SMID Moat ETF (SMOT) a Strong ETF Right Now?
A smart beta exchange traded fund, the VanEck Morningstar SMID Moat ETF (SMOT) debuted on 10/04/2022, and offers broad exposure to the Style Box - All Cap Blend category of the market.
SMOT: My First Look At VanEck's Mid-Cap Moat ETF
SMOT tracks the Morningstar US Small-Mid Cap Moat Focus Index, selecting wide and narrow moat stocks from the 70-97th percentile of the investable market. Its expense ratio is currently 0.49%. SMOT is different from MOAT because it includes narrow moat stocks, a necessary change because only about 150 small- and mid-cap stocks have wide moat coverage from Morningstar. One consequence is that quality isn't necessarily very strong, though that is true for several other Morningstar Moat ETFs. Instead, SMOT's strength is its 15.02x forward P/E.
