IShares Core S&P Mid-Cap ETF IJH effectively combines a broadly diversified portfolio of U.S. mid-cap stocks with low turnover and a minuscule price, providing it with a durable edge over its Morningstar Category peers. 
The fund tracks the S&P MidCap 400 Index, which is a market-cap-weighted basket of 400 mid-cap stocks that land between the 85th and 95th percentiles of the total U.S. stock market capitalization. An index committee has discretion over selecting stocks that meet certain liquidity, size, and profitability thresholds. 
Market-cap weighting is a sensible approach here. It harnesses the market’s collective view on the relative value of each holding and promotes diversification. Low turnover and associated trading costs add to the appeal.
Mid-cap stocks can take a variety of shapes. Some are companies with established business models and sound financials but lag large-cap stocks because they are not industry leaders. Others are smaller firms whose growth prospects come with volatile performance.
The fund effectively diversifies risk and tames concentration. Assets in the top 10 holdings constitute only 6.3% of the portfolio, 9.9 percentage points lower than the average mid-cap blend fund. In addition, it accurately mimics the complexion of its average peer in the mid-cap blend Morningstar Category in style and sector allocations. No sector deviates by more than 5 percentage points from the category average. These qualities emphasize the fund’s cost advantage in driving category-relative performance. 
The fund’s 0.05% annual fee gives it a durable performance edge over category peers. Since its 2000 inception, the fund has outperformed its average peer by 1.87 percentage points annualized.

Analyst Rating

Diversified exposure to mid-cap stocks

Associate Analyst

Mo'ath Almahasneh

Vistra Energy

Williams-Sonoma

Carlisle Companies

Reliance Steel & Aluminum

GoDaddy

EMCOR Group

Graco

Pure Storage

Lennox International

Owens Corning

The S&P 400 MidCap Index constructs a broadly diversified, low turnover portfolio that accurately represents the mid-cap market. It warrants a High Process rating.

High

Process

BlackRock's industry-leading technology, global footprint, and extensive supporting cast earn an Above Average People Pillar rating.
The team employs BlackRock's Aladdin platform to fulfill much of its portfolio management tasks, and global trading desks allow traders to conduct foreign transactions in a cost-effective way.
The iShares index equity team has endured some internal turnover at the top over the past few years. But index-tracking performance should remain tight, thanks to heavily automated processes, a large team of seasoned professionals, and several long-tenured managers that remain at the helm. Amy Whitelaw left the team in February 2023 for another role within the organization. Paul Whitehead replaced Alan Mason as a manager in January 2022, when Mason left to focus on the firm's customized institutional indexing capabilities. The broader index equity group, co-headed by Jennifer Hsui and Paul Whitehead, will continue to oversee iShares equity ETFs.
These managers interact with a wider team of traders and managers around the globe to execute the fund's day-to-day operations. The larger number of managers also limits the impact of personnel turnover when it does occur.

Above Average

People

BlackRock offers compelling options across asset classes and vehicles. It earns an Above Average rating for Parent. 
The firm’s approximately USD 8 trillion in assets under management, as of Sept. 30, 2022, gives it unparalleled scale and influence. It is a market-leading index fund provider globally, and its iShares exchange-traded fund franchise offers a low-cost lineup of core funds that investors can use to build a well-diversified portfolio for dirt cheap. The firm can be more adventurous in its ETF launches than some peers, so not everything it launches is appropriate for the masses. As a result, it is likely to have more ETF closures than peers that stick to the basic building blocks.  
The firm’s active fixed-income and multi-asset efforts also stand out as some of the best in the industry. Those benefit from BlackRock’s commitment to building a first-class risk management system via its Aladdin analytics software. The software is also available for sale to other firms and has proved to be a popular option for competitors, a testament to its usefulness. 
More recently, the firm has shifted its focus to ESG offerings and incorporating ESG across its investment lineup, leading to a political backlash in the United States.
BlackRock isn’t the best at everything it tries to do, but retail investors, financial advisors, and large institutions could all build robust portfolios using BlackRock’s products.

Parent

iShares Core S&P Mid-Cap ETF

IJH tracks a market cap-weighted index of mid-cap US companies.

The S&P 500 has seen a significant rally driven by AI and tech mega-caps, while the rest of the market has lagged behind. Large caps, especially mega-tech large caps, have attracted most of the investor capital, leading to high P/E ratios. The iShares Core S&P Mid-Cap ETF offers an opportunity for investors as mid-cap stocks are undervalued compared to large caps.

IJH: Mid-Caps Looking Cheap When Valuations Are Considered

Looking for broad exposure to the Mid Cap Blend segment of the US equity market? You should consider the iShares Core S&P Mid-Cap ETF (IJH), a passively managed exchange traded fund launched on 05/22/2000.

Should iShares Core S&P Mid-Cap ETF (IJH) Be on Your Investing Radar?

iShares Core S&P Mid-Cap ETF is a low-cost option to capture the growth potential of over 400 mid-cap holdings. IJH has the most attractive valuation metrics compared to other top peer mid-cap ETFs. Despite underperformance, mid-cap stocks may be a desirable option this year due to lowering interest rates and high valuations of large and mega-caps.

IJH: An Attractively Valued Fund To Capture Mid-Cap Growth Potential

SPDR Bloomberg 1-3 Month T-Bill ETF

BNY Mellon Core Bond ETF

iShares Core S&P 500 ETF

iShares Russell 2000 Value ETF

SPDR S&P 500 ETF Trust

iShares 20+ Year Treasury Bond ETF

WisdomTree Bloomberg Floating Rate Treasury Fund

During LSEG Lipper's fund flows week that ended December 20, 2023, investors were overall net sellers of fund assets for the second straight week, removing a net $42.8 billion.

U.S. Weekly Fund Flows Insight Report: Large-Cap Equity ETFs Post Largest Weekly Inflow Since March 19, 2008

U.S. mid-cap equities are gaining attention for their potential to outperform in 2024. The iShares Core S&P Mid-Cap ETF stands out as a strong contender for mid-cap exposure due to factors such as benchmarking, diversification, liquidity, and low expense ratio. Historical P/E multiples suggest that mid-cap stocks are currently undervalued compared to large-cap stocks, making them an attractive investment option.

Forget Mega-Cap Tech: 2024 Will Be About Mid-Cap

IJH has heavy exposure to industrials, financials, and consumer discretionary sectors. The lack of regional banking exposure within the financials bucket in IJH is positive, but there are still economic risks to consider. The ETF's financial and industrial exposures may be impacted by disinflation and declining economic activity.

IJH: Insurance, Asset Management And Industrials Compress Multiples

IJH covers a diversified range of businesses in the industrial sector, but the current earnings yield is not compelling. The ETF has significant exposure to industrial and consumer discretionary sectors, which may not be resilient in a downcycle. The pressure from higher interest will negatively impact the earnings growth of industrial companies in the ETF. It is unsure if falls in rents will save the day.

IJH: Not A Reasonable Price For Slice Of Old America

iShares Core U.S. Aggregate Bond ETF

Vanguard S&P 500 ETF

Vanguard Total Stock Market ETF

Overall, ETFs pulled in $162.2 million in capital last week, taking year-to-date inflows to $275.9 billion.

5 ETFs That Saw Inflows Last Week Amid Market Weakness

iShares MSCI EAFE Value ETF

Invesco QQQ

Invesco S&P 500 Equal Weight ETF

iShares Treasury Floating Rate Bond ETF

Vanguard Intermediate-Term Treasury ETF

U.S. stocks had an upbeat July. Investors poured money into the S&P 500 ETFs.

ETF Asset Reports of July: S&P 500 Wins

JPMorgan BetaBuilders Europe ETF

iShares iBoxx High Yield Corporate Bond ETF

JPMorgan Limited Duration Bond ETF

JPMorgan USD Emerging Markets Sovereign Bond ETF

iShares iBoxx $ Investment Grade Corporate Bond ETF

During LSEG Lipper's fund-flows week that ended August 2, 2023, investors were overall net redeemers of fund assets (including both conventional funds and ETFs) for the first week in three, removing a net $6.5 billion. Our fund-flows week kicked off on Thursday, July 27, with markets digesting the prior day's anticipated 25-bps rate hike from the Federal Reserve. Conventional taxable-fixed income funds realized a weekly outflow of $2.1 billion—marking their first weekly outflow in five weeks.

U.S. Weekly FundFlows Insight Report: Taxable Bond Funds Report First Outflow In Five Weeks

iShares Russell Midcap ETF

SPDR S&P Midcap 400 ETF Trust

Schwab U.S. Mid-Cap ETF

Vanguard Mid-Cap ETF

It's been an impressive 2023 for U.S. large-cap equities. The iShares Core S&P 500 ETF (IVV) had risen 19% as of July 24, with consumer discretionary and information technology stocks leading the way.

Chart of the Week: Mid-Cap ETFs in Focus

iShares Core S&P Mid-Cap ETF is trading at an attractive valuation compared to the S&P 500 index and its own historical range. However, IJH has a weaker growth profile than its large-cap peers, with less exposure to growth stocks like technology. Investors should be cautious of a potential recession, which could lead to further declines in IJH's fund price.

IJH: Valuation Not Expensive

Trading at less than 13 times forecasted earnings, both U.S. small and mid-cap stocks feature compelling valuations. But amid heightened volatility in economically-sensitive sectors, which impacts material holdings in IJH, the bears have a tight grip on price action.

IJH: Mid Caps Attractive On Valuation, But Technicals Suggest More Risks Ahead

Vanguard Total Bond Market ETF

Vanguard Total International Bond ETF

iShares Core S&P Small Cap ETF

iShares National Muni Bond ETF

Vanguard FTSE Developed Markets ETF

This year, let alone a few days in mid-March, is a good reminder of the role bonds and bond ETFs can play within a portfolio.

Once Again, Bond ETFs Provide Diversification Benefits

iShares MSCI ACWI ETF

iShares 7-10 Year Treasury Bond ETF

SPDR Bloomberg High Yield Bond ETF

Schwab Intermediate-Term US Treasury ETF

Health Care Select Sector SPDR Fund

The two-year Treasury yield closed above the 5% mark for the first time since June 18, 2007, on Tuesday. For the fund flows week, conventional taxable bond funds witnessed $1.0 billion in net redemptions, while their ETF counterparts attracted $4.9 billion.

ETF And Conventional Fund Investors Became More Risk Averse During The Fund Flows Week

iShares Short-Term National Muni Bond ETF

Investors were net purchasers of fund assets for the second week in a row, but they injected only a net $853 million for the week. Equity ETFs experienced net inflows for the first week in three, taking in a little less than $3.2 billion for the most recent fund-flows week.

U.S. Weekly FundFlows Insight Report: Investors Embrace Both Fixed Income And Equity ETFs While Turning A Cold Shoulder To Conventional Funds

VanEck Vectors Gold Miners ETF

SPDR Gold Trust

SPDR Gold MiniShares Trust

iShares Gold Trust

JPMorgan Equity Premium Income ETF

Energy Select Sector SPDR Fund

Industrial Select Sector SPDR Fund

Some of the best performing ETFs over the last week have been focused on commodities, but don't tell markets that; commodities ETFs saw the most outflows across the asset classes over the last week, with the commodities sector seeing more than $1 billion in outflows, the most across all weekly asset flows.

Weekly Asset Flows: There's Gold in Those ETFs

Should iShares Core S&P MidCap ETF (IJH) Be on Your Investing Radar?

The default options for many investors are the large-cap S&P 500 index and the small-cap Russell 2000. However, their lesser-known cousins, the S&P 600 small-cap index (IJR) and the S&P 400 mid-cap index (IJH) offer better valuations and historically superior returns.

Be A Better Bull: IJR And IJH Are Superior To The S&P 500 And Russell 2000

IJH and VO track different versions of the U.S. mid-cap market. Expense ratios are just 0.04% and 0.05%, and the two have a combined $212 billion in assets under management. The two have significantly different profiles despite similar long-term performance. VO is the higher-quality and more stable option but trades at a much higher valuation.

IJH Vs. VO: Battle Of The Mid-Cap ETFs

Invesco Senior Loan ETF

iShares MSCI Canada ETF

Schwab Fundamental U.S. Large Company Index ETF

iShares Core MSCI Emerging Markets ETF

iSh SP US PrfSt Shs

iShares 1-3 Year Treasury Bond ETF

 SPDR Blackstone Senior Loan ETF

As the Federal Reserve raised interest rates to combat inflation, NorthCoast Asset Management found opportunity in bond ETFs during the third quarter.

NorthCoast Ups Bond ETF Holdings In Q3

IJH is a mid-cap ETF, which is substantially cheaper than the large-cap issues, showing that multiples drive values in US markets. Where multiples are more dangerous when expectations could be turned by employment figures, inflation figures and rates, maybe mid-cap is better.

IJH Shows That Multiples Drive Values In The U.S.

IJH invests in mid-cap stocks. Based on earnings expectations, the portfolio seems to be priced with a high embedded equity risk premium.

IJH: Mid-Cap Stocks Are Priced For Uncertainty But Probably Undervalued

SPDR Portfolio S&P 500 High Dividend ETF

Technology Select Sector SPDR Fund

Many investors have found that a simpler, safer approach actually yields better returns.

If You've Been Burned by Tech Stocks, Try These 3 ETFs Instead

The economic backdrop is positive. The index has performed modestly well against its peers. The Fed is raising rates.

News for iShares Core S&P Mid-Cap ETF ETF (IJH)