(FNDX) Schwab Fundamental U.S. - Ratings and Ratios

The Schwab Fundamental U.S. Large Company Index ETF (FNDX) is designed to track the performance of large U.S. companies, but with a twist. It doesn’t rely on traditional market-capitalization weighting. Instead, it uses a fundamentally driven approach to select and weight its holdings. This means the fund focuses on metrics like revenue, dividends, and operating cash flow to determine the fundamental scores of companies. The goal is to provide exposure to large-cap U.S. equities in a way that aligns more closely with the real economic footprint of these businesses.

The fund typically invests at least 90% of its net assets in securities from its underlying index. This index is constructed using the RAFI (Research Affiliates Fundamental Index) Global Equity Investable Universe, which screens for U.S. companies with sufficient liquidity and size. By focusing on fundamental measures rather than market cap, the ETF aims to reduce concentration risk and potentially deliver more stable performance over time. This approach can be particularly appealing to investors seeking a large-cap equity allocation that isn’t overly reliant on the most heavily weighted stocks in the market.

FNDX is listed on the NYSE ARCA under the ticker symbol FNDX and is categorized as a Large Value ETF. With an AUM of approximately $18.1 billion, it is one of the larger ETFs in its category, which can provide liquidity and economies of scale for investors. The fund is domiciled in the United States, and its issuer, Charles Schwab, is a well-established name in the financial services industry. For more information, investors can visit the fund’s website at http://www.schwabfunds.com.