(QUS) MSCI USA StrategicFactors - Overview

The SPDR® MSCI USA Strategic Factors ETF (NYSE ARCA: QUS) commits at least 80 % of its capital to the securities that compose its underlying index, which tracks large- and mid-cap U.S. equities. The index is constructed as an equal-weighted blend of three MSCI factor indices-Value, Quality, and Minimum Volatility-so the fund’s performance reflects a simultaneous exposure to those three investment styles.

Key quantitative details (as of the most recent filing) include an expense ratio of 0.30 %, total assets under management of roughly $1.2 billion, and an average daily turnover of about 15 %. The top ten holdings are heavily weighted toward information technology (≈25 % of the portfolio) and consumer discretionary, while the sector composition remains broadly diversified across the Large Blend universe. The fund’s 12-month trailing return has been near +8 % versus the S&P 500’s +12 % over the same period, reflecting the modest drag from the low-volatility tilt.

From a macro-economic perspective, the three factor exposures react differently to prevailing conditions: • Value tends to outperform when real-interest rates rise and inflation expectations recede, because cheaper-priced assets become more attractive. • Quality firms-characterized by high return on equity, stable earnings, and low leverage-generally benefit from tighter credit cycles and higher policy rates, as investors seek financial resilience. • Low-volatility stocks typically gain in periods of heightened market stress or widening credit spreads, providing downside protection when equity risk premiums spike. Consequently, the fund’s blended approach can serve as a hedge against divergent economic scenarios, but its performance will be constrained if all three factors move out of favor simultaneously.

If you want a deeper, data-driven view of how QUS’s factor mix behaves across different market regimes, a quick look at ValueRay’s analytics can help you spot hidden risks and opportunities.