The iShares MSCI USA Min Vol Factor ETF (USMV), iShares MSCI EAFE Min Vol Factor ETF (EFAV), and iShares MSCI Emerging Markets Min Vol Factor ETF (EEMV) seek to track the minimum volatility indexes listed above. YTD, and over the trailing 1-year period, each benchmark min vol index has outperformed their respective broad market benchmarks with meaningfully lower risk1. Since inception, each index has also been successful at mitigating downside risk with downside capture ratios of less than 70%2.
The iShares minimum volatility suite can be a valuable set of tools for investors who are looking to maintain their equity exposure in a volatile market environment.