Should Invesco FTSE RAFI US 1500 Small-Mid ETF (PRFZ) Be on Your Investing Radar?
Invesco FTSE RAFI US 1500 Small-Mid ETF Overview: The Invesco FTSE RAFI US 1500 Small-Mid ETF (PRFZ) is a passively managed fund with over $2.40 billion in assets, focusing on small-cap blend stocks and aiming to match the performance of the FTSE RAFI US 1500 Small-Mid Index, which includes approximately 1,500 U.S. stocks.
Performance and Comparison: PRFZ has shown a return of about 5.18% this year and 16.44% over the past year, with a moderate risk profile; it competes with other ETFs like iShares Russell 2000 and iShares Core S&P Small-Cap ETFs, which have lower expense ratios and larger asset bases.
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52-Week Range Analysis: IJR's share price has a 52-week low of $89.22 and a high of $125.84, with the last trade recorded at $123.35.
Understanding ETFs: Exchange traded funds (ETFs) function like stocks, where investors buy and sell "units" that can be created or destroyed based on demand.
Monitoring ETF Flows: Weekly monitoring of shares outstanding helps identify ETFs with significant inflows (new units created) or outflows (units destroyed), impacting their underlying holdings.
Disclaimer: The views expressed in the article are those of the author and do not necessarily represent Nasdaq, Inc.
52-Week Range Analysis: IJR's share price has a 52-week low of $89.22 and a high of $126.58, with the last trade recorded at $121.39.
200-Day Moving Average: The article suggests that comparing the current share price to the 200-day moving average can be a useful technical analysis tool.
ETFs Trading Mechanism: Exchange traded funds (ETFs) function similarly to stocks, where investors buy and sell "units" that can be created or destroyed based on demand.
Monitoring ETF Flows: Weekly monitoring of changes in shares outstanding helps identify ETFs with significant inflows or outflows, which can affect the underlying holdings.
52-Week Range Analysis: IJR's share price has a 52-week low of $89.22 and a high of $127.87, with the last trade recorded at $119.06, indicating a stable position within this range.
Understanding ETFs: Exchange-traded funds (ETFs) function like stocks, where investors buy and sell "units" that can be created or destroyed based on demand, impacting the underlying assets.
Monitoring ETF Flows: Weekly analysis of shares outstanding helps identify ETFs with significant inflows (new units created) or outflows (units destroyed), which can affect the individual components of the ETFs.
Author's Perspective: The opinions expressed in the article are those of the author and do not necessarily represent the views of Nasdaq, Inc.

Investor Sentiment on Market Concentration: The AAII Sentiment Survey reveals that many retail investors are concerned about the dominance of the "Mag-7" tech stocks (Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia, and Tesla), with over a third labeling it a major concern, indicating a growing awareness of the risks associated with market concentration.
Shifts in Investment Strategies: As investors express unease about the concentration of returns among a few mega-cap stocks, there is a noticeable shift towards equal-weight and small-cap ETFs, suggesting a desire to diversify and mitigate risk.
Overall Market Sentiment: Despite some easing of bearish sentiment, overall investor confidence remains low, with bullish sentiment still below long-term averages, reflecting a cautious outlook rather than enthusiasm for the current market valuations.
Opportunities Amidst Concentration: The article emphasizes that while the market's focus on a few tech giants poses risks, it also creates opportunities for investors willing to explore other sectors and investment strategies beyond the dominant stocks.

Morgan Stanley's Forecast: Morgan Stanley has raised its year-end 2026 forecast for the S&P 500 to 7,800, citing stronger earnings and productivity gains from AI adoption, while UBS expects the index to reach 7,500 by the end of 2025.
Market Dynamics: The bank predicts a two-speed market rally, with mega-cap tech stocks leading the AI boom and small caps potentially outperforming as the Fed cuts rates and business confidence improves.
ETF Opportunities: Key ETFs like the Technology Select Sector SPDR Fund (XLK) and iShares Russell 2000 ETF (IWM) are positioned to benefit from the expected surge in capital expenditures and small-cap growth.
Equal-Weight Strategies: Equal-weight ETFs, such as Invesco S&P 500 Equal Weight ETF (RSP), may provide balanced exposure and reduce concentration risk, appealing to investors looking to capitalize on both tech leadership and small-cap recovery.
Stock Performance: IJR's share price is currently at $116.61, with a 52-week low of $89.22 and a high of $128.61, indicating fluctuations in its market performance.
Understanding ETFs: Exchange traded funds (ETFs) function like stocks, where investors buy and sell "units" that can be created or destroyed based on demand, impacting the underlying assets.
Monitoring ETF Flows: Weekly analysis of shares outstanding helps identify ETFs with significant inflows or outflows, which can affect the buying or selling of their underlying holdings.
Disclaimer: The opinions expressed in the article are those of the author and do not necessarily represent the views of Nasdaq, Inc.








