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Is Janus Henderson Small Cap Growth Alpha ETF (JSML) a Strong ETF Right Now?
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Making its debut on 02/23/2016, smart beta exchange traded fund Janus Henderson Small Cap Growth Alpha ETF (JSML - Free Report) provides investors broad exposure to the Style Box - Small Cap Growth category of the market.
What Are Smart Beta ETFs?
The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
The fund is managed by Janus Henderson, and has been able to amass over $206.62 million, which makes it one of the average sized ETFs in the Style Box - Small Cap Growth. JSML seeks to match the performance of the Janus Small Cap Growth Alpha Index before fees and expenses.
The Janus Henderson Small Cap Growth Alpha Index selects small-sized capitalization stocks that are poised for smart growth by evaluating each company performance in three critical areas: growth, profitability, and capital efficiency.
Cost & Other Expenses
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.
Annual operating expenses for JSML are 0.30%, which makes it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 1.63%.
Sector Exposure and Top Holdings
Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.
For JSML, it has heaviest allocation in the Industrials sector --about 21.8% of the portfolio --while Information Technology and Financials round out the top three.
When you look at individual holdings, Sterling Infrastructure Inc. (STRL) accounts for about 2.23% of the fund's total assets, followed by Halozyme Therapeutics Inc. (HALO) and Commvault Systems Inc. (CVLT).
JSML's top 10 holdings account for about 18.94% of its total assets under management.
Performance and Risk
The ETF has added roughly 8.34% and was up about 15.71% so far this year and in the past one year (as of 08/18/2025), respectively. JSML has traded between $54.00 and $73.60 during this last 52-week period.
The ETF has a beta of 1.24 and standard deviation of 23.03% for the trailing three-year period. With about 115 holdings, it effectively diversifies company-specific risk .
Alternatives
Janus Henderson Small Cap Growth Alpha ETF is a reasonable option for investors seeking to outperform the Style Box - Small Cap Growth segment of the market. However, there are other ETFs in the space which investors could consider.
iShares Russell 2000 Growth ETF (IWO) tracks Russell 2000 Growth Index and the Vanguard Small-Cap Growth ETF (VBK) tracks CRSP U.S. Small Cap Growth Index. iShares Russell 2000 Growth ETF has $12.08 billion in assets, Vanguard Small-Cap Growth ETF has $19.68 billion. IWO has an expense ratio of 0.24% and VBK changes 0.07%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Small Cap Growth
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Is Janus Henderson Small Cap Growth Alpha ETF (JSML) a Strong ETF Right Now?
Making its debut on 02/23/2016, smart beta exchange traded fund Janus Henderson Small Cap Growth Alpha ETF (JSML - Free Report) provides investors broad exposure to the Style Box - Small Cap Growth category of the market.
What Are Smart Beta ETFs?
The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
The fund is managed by Janus Henderson, and has been able to amass over $206.62 million, which makes it one of the average sized ETFs in the Style Box - Small Cap Growth. JSML seeks to match the performance of the Janus Small Cap Growth Alpha Index before fees and expenses.
The Janus Henderson Small Cap Growth Alpha Index selects small-sized capitalization stocks that are poised for smart growth by evaluating each company performance in three critical areas: growth, profitability, and capital efficiency.
Cost & Other Expenses
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.
Annual operating expenses for JSML are 0.30%, which makes it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 1.63%.
Sector Exposure and Top Holdings
Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.
For JSML, it has heaviest allocation in the Industrials sector --about 21.8% of the portfolio --while Information Technology and Financials round out the top three.
When you look at individual holdings, Sterling Infrastructure Inc. (STRL) accounts for about 2.23% of the fund's total assets, followed by Halozyme Therapeutics Inc. (HALO) and Commvault Systems Inc. (CVLT).
JSML's top 10 holdings account for about 18.94% of its total assets under management.
Performance and Risk
The ETF has added roughly 8.34% and was up about 15.71% so far this year and in the past one year (as of 08/18/2025), respectively. JSML has traded between $54.00 and $73.60 during this last 52-week period.
The ETF has a beta of 1.24 and standard deviation of 23.03% for the trailing three-year period. With about 115 holdings, it effectively diversifies company-specific risk .
Alternatives
Janus Henderson Small Cap Growth Alpha ETF is a reasonable option for investors seeking to outperform the Style Box - Small Cap Growth segment of the market. However, there are other ETFs in the space which investors could consider.
iShares Russell 2000 Growth ETF (IWO) tracks Russell 2000 Growth Index and the Vanguard Small-Cap Growth ETF (VBK) tracks CRSP U.S. Small Cap Growth Index. iShares Russell 2000 Growth ETF has $12.08 billion in assets, Vanguard Small-Cap Growth ETF has $19.68 billion. IWO has an expense ratio of 0.24% and VBK changes 0.07%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Small Cap Growth
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.