Pacer US Large Cp CA Cows Gr Ldrs ETF retains its Morningstar Medalist Rating of Bronze. The portfolio maintains a cost advantage over competitors, priced within the second-cheapest fee quintile among peers.  

 The strategy's sensible investment philosophy merits an Above Average Process Pillar rating. Independent of the rating, analysis of the strategy's portfolio shows it has maintained a significant overweight position in liquidity exposure and momentum exposure compared with category peers. High liquidity exposure is attributed to stocks with a high trading volume, lending managers more flexibility. And momentum exposure is rooted in holding stocks currently on a winning streak. The team managing this passive strategy earns a Below Average People Pillar rating. The strategy's parent organization is industry standard, albeit with some strong attributes like overall affordable fees and a high success ratio across its product shelf. This earns the firm an Average Parent Pillar rating.

Analyst Rating

CrowdStrike

GoDaddy

NVIDIA

Deckers Outdoor

Palantir Technologies

AppLovin Corp

Zscaler

QUALCOMM

Broadcom

Morningstar's evaluation of this security's process aims to determine the likelihood that it will outperform its Morningstar Category benchmark on a risk-adjusted basis over the long term. Pacer US Large Cp CA Cows Gr Ldrs ETF earns an Above Average Process Pillar rating. 

The main driver of the rating is that this fund tracks an index. Historical data, like Morningstar's Active/Passive Barometer, finds that passively managed funds have generally outperformed their active counterparts, especially over longer time horizons. The parent firm's five-year risk-adjusted success ratio of 69% also bolsters the process. The measure indicates the percentage of a firm's funds that survived and outperformed their respective category's median Morningstar Risk-Adjusted Return for the period. Their commendable success ratio suggests that the firm does well for investors and that this fund may benefit from that. Lastly, the process is limited by the instability of talent across its parent firm. The firm's asset-weighted manager tenure of seven years suggests it could do more to retain portfolio managers.

 This strategy skews toward smaller, more growth-oriented companies compared with its average peer in the Large Blend Morningstar Category. Looking at additional factor exposure, this strategy has consistently tilted toward companies with relatively higher trading volumes in the last few years. More-liquid assets are easier to buy and sell without adversely moving their prices and tend to provide some ballast during market selloffs. They also are easier to sell to meet redemptions if a host of investors decide to leave the fund in a short period of time. In recent months, the strategy was more exposed to the Liquidity factor compared with its Morningstar Category peers as well. This strategy has also had more exposure to high-momentum stocks in recent years. Momentum is based on the premise that market outperformers will continue to outperform, and laggards will continue to lag. This means that managers are overweighting stocks currently on a winning streak. Compared with category peers, the strategy also had more exposure to the Momentum factor in the most recent month. In addition, this strategy has exhibited a tilt toward higher-volatility stocks in these years, meaning companies that have a higher historical standard deviation of returns compared with peers. This contributes to a higher-risk, higher-reward approach. In this month, the strategy also had more exposure to the Volatility factor over its peers. More information on a fund and its respective category's factor exposure can be found in the Factor Profile module within the Portfolio section. 

 The portfolio is overweight in technology and energy relative to the category average by 27.2 and 9.7 percentage points, respectively. The sectors with low exposure compared to category peers are financial services and consumer cyclical, underweight the average by 13.4 and 5.7 percentage points of assets, respectively. The strategy owns 102 securities and is less top-heavy than peers. Specifically, 22.7% of the fund’s assets are concentrated within the top 10 fund holdings, as opposed to the typical peer's 48.8%. And finally, in terms of portfolio turnover, looking at year-over-year movements, 30% of the fund's holdings have changed, whether through increasing, decreasing, or changing a position.

Above Average

Process

Pacer’s team earns a Below Average People Pillar rating. The team benefits from its parent firm's five-year success ratio of 69%. The measure indicates the percentage of a firm's funds that survived and outperformed their respective category's median return for the period. However, the rating is weakened by the instability of talent across its parent firm. The firm's asset-weighted manager tenure of seven years suggests it could do more to retain portfolio managers. The number of months that the management team has been running this vehicle together also holds the rating back. Since this is a newly incepted product, more time is needed to monitor the team's capability at executing the strategy.

Below Average

People

Pacer's track record as a steward is mixed, leading to an Average Parent Pillar rating. One notable advantage of Pacer is its below-average fees. On average, the firm's open-end and exchange-traded fund fees fall in the second-lowest quintile of category peers. The product lineup at Pacer has exhibited exemplary durability compared with peer asset managers when looked at over the past five years. Notably, its five-year risk-adjusted success ratio stands at 69%, meaning that 69% of its products have both survived and beaten their respective category median on a risk-adjusted basis. Portfolio management turnover at Pacer is higher than at peer firms, detracting from the overall assessment of the firm's stewardship. Turnover in the portfolio-management ranks can happen for a number of reasons, including mergers and liquidations, portfolio managers moving into other roles, or portfolio managers leaving the firm. In some cases, such change may not signal a serious or immediate problem at the firm, but can still be disruptive for investors, hinder the effectiveness of a firm’s investment processes, or suggest a weaker investment culture.

Average

Parent

Pacer US Large Cap Cash Cows Growth Leaders ETF

COWG tracks a price momentum-weighted index of 100 large-cap US companies that exhibit the highest growth characteristics.

Pacer US Cash Cows Growth ETF

Pacer US Small Cap Cash Cows Growth Leaders Etf

Pacer US Small Cap Cash Cows 100 ETF

Amplify Cash Flow Dividend Leaders ETF

Pacer US Cash Cows 100 ETF

Pacer Cash Cows Fund of Funds ETF

Technology Select Sector SPDR Fund

Cash cow investing is a strategy that has gained popularity among investors seeking stable and consistent returns.

What You Need to Know About Cash-Cow ETF Investing

JPMorgan U.S. Quality Factor ETF

American Century U.S. Quality Growth ETF

Wisdomtree US Quality Growth Fund

iShares MSCI USA Quality Factor ETF

The S&P 500 may be hovering around all-time highs, but uncertainties still prevail in the market. Geopolitical crisis, China's property market crisis, uncertainties about interest rates and severe job cuts from the U.S. tech sector could cause economic slowdown.

3 Reasons Why Quality ETFs Worth a Bet

Cash cow investing can be a valuable strategy for investors seeking stability and consistent income.

Cash-Cow ETFs for Long-Term Growth & Income

Guide to Cash-Cow ETF Investing

Cash Cows funds have fueled the issuer's AUM growth.

Pacer ETFs' CEO on Why Cash Cows ETFs Are Resonating With Investors 

Pacer Lunt Large Cap Alternator ETF

Pacer Emerging Markets Cash Cows 100 ETF

Pacer Pacific Asset Floating Rate High Income ETF

Pacer Global Cash Cows Dividend ETF

Pacer Developed Markets International Cash Cows 100 ETF

Pacer BlueStar Engineering the Future ETF

Pacer BlueStar Digital Entertainment ETF

Pacer Industrials and Logistics ETF

Pacer Data And Digital Revolution ETF

MALVERN, Pa.--( BUSINESS WIRE )--Pacer ETFs celebrates an incredible year of growth driven by its suite of strategy-driven, rules-based ETFs, capped off by the outstanding achievement of reaching $19.6 billion in assets as of Dec. 30, 2022. After starting 2022 with $10.2 billion in AUM, Pacer achieved a 92.2% growth rate, nearly doubling its assets. Within the first week of the New Year, Pacer surpassed $20 billion in assets signaling a strong start for 2023.

Pacer ETFs Celebrates Banner Year of Growth in 2022, Crosses $20B to Kickoff New Year

PMV Adaptive Risk Parity ETF

Subversive Decarbonization ETF

iPath S&P MLP ETN

Subversive Food Security ETF

Teucrium Aila Long-Short Agriculture ETF

Pacer iPath Gold Trendpilot ETNs

Barclays Bank PLC - ZC SP REDEEM 17/09/2024 USD 50 - GMTN Sr A

Subversive Mental Health ETF

Barclays Bank PLC - ZC SP ETN REDEEM 15/07/2024 USD 50 - Series A

Gold ETPs turn up as favorite among 14 new issues this week.

Odds & Ends: Four Commodities ETPs Debut

MALVERN, Pa.--( BUSINESS WIRE )--Pacer ETFs (“Pacer”), an ETF provider that offers strategy-driven, rules-based ETFs, announces the launch of their newest fund and the latest addition to the Pacer Cash Cows Index® ETF Series: the Pacer US Large Cap Cash Cows Growth Leaders ETF, now available on the Nasdaq. COWG, which joins the firm's largest family of ETFs by assets, will provide investors with a growth-oriented investment strategy that will complement the firm's existing Cash Cows ETFs.

Pacer ETFs Launches New Growth Focused Fund, Expanding its Cash Cows ETF Series

News for Pacer US Large Cap Cash Cows Growth Leaders ETF ETF (COWG)