iShares Morningstar Large-Cap ETF (JKD)
PG Stock Weighting: 4.68%
Although PG stock is the third-largest holding in the iShares Morningstar Large-Cap ETF (JKD), it represents just 4.68% of the $433 million in total net assets.
In one respect, JKD is similar to HDV in that they both invest in large-cap stocks. However, JKD invests 72% of its funds in growth-value blends whereas HDV allocates 53% of its portfolio to value stocks with the remainder in growth-value blends. In addition, JKD allocates just 14% of its portfolio to consumer goods compared to 26% for HDV. JKD is much more diversified but it’s also less reliant on consumer staples stocks, which many investors favor during times of economic difficulty.
If you believe that ETFs with low management expenses produce better returns you’ll love JKD. Charging 0.20% annually, it has achieved a five-year annualized total return of 18.0%. In the last two calendar years it has handily outperformed the HDV, KXI and VDC. Its SEC-yield is a modest 1.87% which puts it within shouting distance of both KXI and VDC. The only downside other than the smallish weighting in PG stock is that it’s U.S.-centric, with just 2% invested outside America.