Should Goldman Sachs Equal Weight U.S. Large Cap Equity ETF (GSEW) Be on Your Investing Radar?

If you're interested in broad exposure to the Large Cap Blend segment of the US equity market, look no further than the Goldman Sachs Equal Weight U.S. Large Cap Equity ETF (GSEW), a passively managed exchange traded fund launched on 09/12/2017.The fund is sponsored by Goldman Sachs Funds. It has amassed assets over $871.10 million, making it one of the larger ETFs attempting to match the Large Cap Blend segment of the US equity market.Why Large Cap BlendLarge cap companies typically have a market capitalization above $10 billion. They tend to be stable companies with predictable cash flows and are usually less volatile than mid and small cap companies.Blend ETFs are aptly named, since they tend to hold a mix of growth and value stocks, as well as show characteristics of both kinds of equities.CostsWhen considering an ETF's total return, expense ratios are an important factor, and cheaper funds can significantly outperform their more expensive counterparts in the long term if all other factors remain equal.Annual operating expenses for this ETF are 0.09%, making it one of the least expensive products in the space.It has a 12-month trailing dividend yield of 1.51%.Sector Exposure and Top HoldingsEven though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.This ETF has heaviest allocation to the Industrials sector--about 17.10% of the portfolio. Information Technology and Financials round out the top three.Looking at individual holdings, Vistra Corp (VST) accounts for about 0.29% of total assets, followed by Constellation Energy Corp (CEG) and Microstrategy Inc (MSTR).The top 10 holdings account for about 2.56% of total assets under management.Performance and RiskGSEW seeks to match the performance of the Solactive US Large Cap Equal Weight Index before fees and expenses. The Solactive US Large Cap Equal Weight Index is an equal-weight version of the Solactive US Large Cap Index including equity securities of approximately 500 of the largest U.S. companies.The ETF has added roughly 15.91% so far this year and is up about 35.35% in the last one year (as of 11/04/2024). In the past 52-week period, it has traded between $59.16 and $79.11.The ETF has a beta of 1.05 and standard deviation of 17.93% for the trailing three-year period. With about 495 holdings, it effectively diversifies company-specific risk.AlternativesGoldman Sachs Equal Weight U.S. Large Cap Equity ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, GSEW is a good option for those seeking exposure to the Style Box - Large Cap Blend area of the market. Investors might also want to consider some other ETF options in the space.The iShares Core S&P 500 ETF (IVV) and the SPDR S&P 500 ETF (SPY) track a similar index. While iShares Core S&P 500 ETF has $540.81 billion in assets, SPDR S&P 500 ETF has $588.15 billion. IVV has an expense ratio of 0.03% and SPY charges 0.09%.Bottom-LineWhile an excellent vehicle for long term investors, passively managed ETFs are a popular choice among institutional and retail investors due to their low costs, transparency, flexibility, and tax efficiency.To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.Want key ETF info delivered straight to your inbox?Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Goldman Sachs Equal Weight U.S. Large Cap Equity ETF (GSEW): ETF Research Reports Constellation Energy Corporation (CEG): Free Stock Analysis Report SPDR S&P 500 ETF (SPY): ETF Research Reports MicroStrategy Incorporated (MSTR): Free Stock Analysis Report iShares Core S&P 500 ETF (IVV): ETF Research Reports Vistra Corp. (VST): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks