Principal Price Setters Index ETF ETF.com segment: Equity: U.S. - Large Cap Competing ETFs: GSLC, SPHD, FEX, JKD, CFO Related ETF Channels: North America, Smart-Beta ETFs, Multi-factor, Large Cap, U.S., Broad-based, Equity, Size and Style Find more ETFs with our ETF Screener and Database *Unless otherwise stated, data provided by FactSet. B 72 FUND DESCRIPTION The Principal Price Setters Index ETF tracks an index of large-cap US firms with a high degree of pricing power. Holdings are selected by several fundamental and technical factors, and weighted equally within three tiers. FACTSET ANALYTICS INSIGHT aims to hold companies with strong pricing power the ability to raise prices without affecting demand. The idea is that such firms tend to face little competition, and can pass through cost increases to their customers, which should lead to more consistent sales and earnings growth. In fact, what actually selects for in its holdings is strong and consistent sales, earnings and operating margins. Additional selection factors include return volatility, earnings quality and volatility of earnings forecasts. This should result in a basket of firms with strong fundamentals. Price setting firms are selected only indirectly, but it's hard to fault the fund for this, since the concept of pricing power is somewhat nebulous and difficult to capture in an indexed product. Notably, market share is not considered.'s holdings are equally-weighted inside of three tiers with 50 names each (based on the selection ranking), making up 50%, 35% and 15% of the portfolio. With no sector caps, the portfolio may look quite different from the broad market. The fund is reconstituted and rebalanced annually, in late March. launched in March 2016 and charges a reasonable fee in context. MSCI ESG ANALYTICS INSIGHT The MSCI ESG Fund Quality Score measures the ability of ETF underlying holdings to manage key medium to long-term risks and opportunities arising from environmental, social, and governance factors, as determined by MSCI ESG Research LLC. As of October 25, 2018 the Principal Price Setters Index ETF MSCI ESG Fund Quality Score is 5.26 out of 10. SUMMARY DATA Issuer Brand Inception Date Legal Structure Expense Ratio Assets Under Management Average Daily $ Average Spread (%) PORTFOLIO DATA Weighted Average Market Cap Price / Earnings Ratio Price / Book Ratio Distribution Yield Next Ex-Dividend Date Number of Holdings The Principal Financial Group Principal 03/21/16 Open-Ended Fund 0.29% $22.49M $255.04K 0.22% $57.78B 20.63 4.92 1.20% 12/27/18 146 The fund s Peer Rank reflects the ranking of a fund s MSCI ESG Fund Quality Score against the scores of other funds within the same peer group, as defined by the Thomson Reuters Lipper Global Classification. ranks in the 48th percentile within its peer group and in the 41st percentile within the global universe of all funds in MSCI ESG Fund Metrics coverage. INDEX DATA Index Tracked Index Weighting Methodology Index Selection Methodology NASDAQ US Price Setters Index Tiered Multi-Factor MSCI USA Large Cap Index
1 Year Daily Price ($) 36.00 35.00 34.00 33.00 32.00 31.00 Nov Dec `18 Feb Mar Apr May Jun Jul Aug Sep Oct 400k PERFORMANCE [as of 10/25/18] 1 MONTH 3 MONTHS YTD 1 YEAR 3 YEARS 5 YEARS 10 YEARS -7.69% -4.16% 1.84% 6.66% -- -- -- (NAV) -7.39% -5.47% 2.27% 7.39% -- -- -- NASDAQ US Price Setters Index -7.38% -5.41% 2.52% 7.73% -- -- -- MSCI USA Large Cap Index -6.75% -4.08% 3.60% 8.64% 11.83% 11.55% 14.20% All returns over 1 year are annualized. All returns are total returns unless otherwise stated. TOP 10 COUNTRIES United States 100.00% TOP 10 SECTORS Industrials 26.88% Utilities 5.49% Technology 23.15% Consumer Cyclicals 4.44% Financials 14.91% Basic Materials 3.13% Healthcare 11.12% Consumer Non-Cyclicals 10.88% TOP 10 HOLDINGS Jack Henry & Associates, 1.32% Humana Inc. Intuit Inc. 1.28% Clorox Company Adobe Inc. 1.25% UnitedHealth Group Incor Progressive Corporation 1.23% WEC Energy Group Inc Pfizer Inc. 1.22% Mastercard Incorporated 1.20% Total Top 10 Weighting 12.34%
PORTFOLIO MANAGEMENT TAX EXPOSURES FUND STRUCTURE Expense Ratio Median Tracking Difference (12 Mo) Max. Upside Deviation (12 Mo) Max. Downside Deviation (12 Mo) 0.29% -0.43% -0.33% -0.57% Max LT/ST Capital Gains Rate Capital Gains Distributions (3 Year) Tax on Distributions Distributes K1 20.00% / 39.60% 0.05% Qualified dividends No Legal Structure OTC Derivative Use Securities Lending Active Securities Lending Split (Fund/Issuer) ETN Counterparty Open-Ended Fund No No 100% / 0% N/A ETN Counterparty Risk N/A Fund Closure Risk High Portfolio Disclosure Daily
Daily Spread 2.0% FACTSET ANALYTICS BLOCK LIQUIDITY As of 10/26/18 1.5% 1.0% 0.5% 0% 5 4 3 2 1 This measurement shows how easy it is to trade a $1 million USD block of. is rated a 4 out of 5. Premium/Discount 5.0% 2.5% TRADABILITY Avg. Daily Share 5,577 0.0% Average Daily $ $255.04K -2.5% Median Daily Share 76-5.0% 250k 200k 150k 100k 50k Median Daily ($) Average Spread (%) Average Spread ($) $11.08K 0.22% $0.08 Dec Feb Apr May Jul Sep Oct Median Premium / Discount (12 Mo) -0.04% Max. Premium / Discount (12 Mo) 3.97% / -3.02% Impediment to Creations None Market Hours Overlap 100.00% Creation Unit Size (Shares) 50,000 Creation Unit/Day (45 Day Average) 0.00 Creation Unit Cost (%) 0.03% Underlying / Unit 0.01% Open Interest on ETF Options -- Net Asset Value (Yesterday) $32.52 ETF.com Implied Liquidity 4
SECTOR/INDUSTRY BREAKDOWN TOP 10 HOLDINGS PERFORMANCE STATISTICS Industrials 26.88% 9.12% Technology 23.15% 27.59% Financials 14.91% 14.73% Healthcare 11.12% 14.48% Consumer Non- Cyclicals 10.88% 7.67% Jack Henry & Associates, Inc. Intuit Inc. Adobe Inc. Progressive Corporation Pfizer Inc. Humana Inc. Clorox Company UnitedHealth Group Incorporated WEC Energy Group Inc 1.32% 1.28% 1.25% 1.23% 1.22% Goodness of Fit (R2) Beta Up Beta Down Beta Downside Standard Deviation 0.93 0.88 0.86 0.87 0.25% MSCI USA Large Cap Index Utilities 5.49% 2.26% Consumer Cyclicals 4.44% 12.48% Mastercard Incorporated Class A Total Top 10 Weighting 1.20% 12.34% MSCI ESG RATINGS MSCI ESG Quality Score 5.26 / 10 Basic Materials 3.13% 1.29% Peer Group Percentile Rank 47.57 Global Percentile Rank 40.86 COUNTRIES United States 100.00% 100.00% SRI Screening Criteria Exposure Exposure to Sustainable Impact Solutions 7.54% 6.43% REGIONS Weighted Average Carbon Intensity (t CO2e/$M Sales) 266.27 North America 100.00% 100.00% BENCHMARK COMPARISON HOLDINGS ECONOMIC DEVELOPMENT Developed Countries 100.00% 100.00% Number of Holdings Constituents Shared Holdings Shared Holdings Weight 146 299 86 24.57% BENCHMARK COMPARISON SUMMARY Number of Holdings 146 299 Weighted Average Market Cap $57.78B $271.04B Price / Earnings Ratio Price / Book Ratio Dividend Yield 20.63 24.17 4.92 3.66 1.47% 1.80% Concentration -- --
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