As usual, there is a fair amount of debate regarding whether value or growth stocks will offer better long-term returns in the years ahead. Analysts often point to the unusually prolonged, robust nature of the U.S. economy over the last ten years, noting that such a financial environment typically favors growth stocks. But other pundits can point to the same factor as evidence of the remarkable resiliency of value stocks, noting that they’ve also performed remarkably well during this flourishing period for the overall market – considering that, historically, value stocks tend to do better during uncertain economic conditions (short of a recession).

Naturally, most institutional investors need to include both value and growth securities in their portfolio, to strategically diversity their exposure to companies in different phases of their life cycles and varied positions in their respective consumer markets.

A look at the iShares Russell 1000 Value ETF (IWD)

ETFs that seek to track value indexes can offer a diversified strategy to gain controlled exposure to stocks with value characteristics. One well-known example is the iShares Russell 1000 Value ETF (IWD), which seeks to track the Russell 1000 Value Index. The latter is typically comprised of approximately 800+ stocks in the larger Russell 1000 Index (which represents the biggest mid- and large-cap companies in the U.S. – and 98% of all public companies in the country) that, according to analysis, are thought to be undervalued by the market relative to comparable companies.

IWD is one of three iShares ETFs that offer exposure to the Russell 1000 Index. The other two are the iShares Russell 1000 Growth ETF (IWF), which contains the subset of companies in the index that demonstrate growth characteristics, and the iShares Russell 1000 ETF (IWB), which seeks long-term growth via straightforward exposure to the entire benchmark index.

Created in May 2000, IWD spreads its top five sector exposures across Financials, Health Care, Industrials, Information Technology, and Consumer Staples (see table below).

As of January 20, 2022, IWD had net assets of $57,640,203,182 and a 30-day average volume of $4,340,532.00.

See the chart below for more details about the iShares Russell 1000 Value ETF (IWD). You can find more info on this ETF here.

Carefully consider the Funds’ investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the Funds’ prospectuses or, if available, the summary prospectuses which may be obtained by visiting www.iShares.com or www.blackrock.com. Read the prospectus carefully before investing.

Investing involves risk, including possible loss of principal.

Diversification and asset allocation may not protect against market risk or loss of principal. Buying and selling shares of ETFs may result in brokerage commissions.

Shares of ETFs may be bought and sold throughout the day on the exchange through any brokerage account. Shares are not individually redeemable from an ETF, however, shares may be redeemed directly from an ETF by Authorized Participants, in very large creation/redemption units. There can be no assurance that an active trading market for shares of an ETF will develop or be maintained.

This material represents an assessment of the market environment as of the date indicated; is subject to change; and is not intended to be a forecast of future events or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any issuer or security in particular. The strategies discussed are strictly for illustrative and educational purposes and are not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. There is no guarantee that any strategies discussed will be effective.

Past performance does not guarantee future results. For iShares ETF performance, please visit www.iShares.com or www.blackrock.com. The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

The iShares Funds are not sponsored, endorsed, issued, sold or promoted by Russell, nor does this company make any representation regarding the advisability of investing in the Funds. BlackRock is not affiliated with Russell.

iSHARES and BLACKROCK are trademarks of BlackRock, Inc., or its subsidiaries in the United States and elsewhere. All other marks are the property of their respective owners.

FOR INSTITUTIONAL USE ONLY – NOT FOR PUBLIC DISTRIBUTION

iCRMH0122U/S-1896679