We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Is Invesco S&P MidCap 400 GARP ETF (GRPM) a Strong ETF Right Now?
Read MoreHide Full Article
The Invesco S&P MidCap 400 GARP ETF (GRPM - Free Report) was launched on 12/03/2010, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Mid Cap Blend category of the market.
What Are Smart Beta ETFs?
The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.
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.
On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as 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.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
Managed by Invesco, GRPM has amassed assets over $497.61 million, making it one of the average sized ETFs in the Style Box - Mid Cap Blend. GRPM seeks to match the performance of the S&P MIDCAP 400 GARP INDEX before fees and expenses.
The S&P MidCap 400 GARP Index seeks to track companies with consistent fundamental growth, reasonable valuation, solid financial strength, and strong earning power.
Cost & Other Expenses
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Operating expenses on an annual basis are 0.35% for GRPM, making it on par with most peer products in the space.
GRPM's 12-month trailing dividend yield is 0.85%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
For GRPM, it has heaviest allocation in the Financials sector --about 25.8% of the portfolio --while Consumer Discretionary and Information Technology round out the top three.
Taking into account individual holdings, Celsius Holdings Inc (CELH) accounts for about 3.43% of the fund's total assets, followed by Comfort Systems Usa Inc (FIX) and Medpace Holdings Inc (MEDP).
The top 10 holdings account for about 25.39% of total assets under management.
Performance and Risk
Year-to-date, the Invesco S&P MidCap 400 GARP ETF has gained about 6.32% so far, and is down about -1.2% over the last 12 months (as of 11/13/2025). GRPM has traded between $90.38 $126.41 in this past 52-week period.
GRPM has a beta of 1.12 and standard deviation of 21.11% for the trailing three-year period. With about 60 holdings, it effectively diversifies company-specific risk .
Alternatives
Invesco S&P MidCap 400 GARP ETF is a reasonable option for investors seeking to outperform the Style Box - Mid Cap Blend segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard Mid-Cap ETF (VO) tracks CRSP US Mid Cap Index and the iShares Core S&P Mid-Cap ETF (IJH) tracks S&P MidCap 400 Index. Vanguard Mid-Cap ETF has $89.55 billion in assets, iShares Core S&P Mid-Cap ETF has $100.47 billion. VO has an expense ratio of 0.04% and IJH changes 0.05%.
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 - Mid Cap Blend
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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Is Invesco S&P MidCap 400 GARP ETF (GRPM) a Strong ETF Right Now?
The Invesco S&P MidCap 400 GARP ETF (GRPM - Free Report) was launched on 12/03/2010, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Mid Cap Blend category of the market.
What Are Smart Beta ETFs?
The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.
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.
On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as 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.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
Managed by Invesco, GRPM has amassed assets over $497.61 million, making it one of the average sized ETFs in the Style Box - Mid Cap Blend. GRPM seeks to match the performance of the S&P MIDCAP 400 GARP INDEX before fees and expenses.
The S&P MidCap 400 GARP Index seeks to track companies with consistent fundamental growth, reasonable valuation, solid financial strength, and strong earning power.
Cost & Other Expenses
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Operating expenses on an annual basis are 0.35% for GRPM, making it on par with most peer products in the space.
GRPM's 12-month trailing dividend yield is 0.85%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
For GRPM, it has heaviest allocation in the Financials sector --about 25.8% of the portfolio --while Consumer Discretionary and Information Technology round out the top three.
Taking into account individual holdings, Celsius Holdings Inc (CELH) accounts for about 3.43% of the fund's total assets, followed by Comfort Systems Usa Inc (FIX) and Medpace Holdings Inc (MEDP).
The top 10 holdings account for about 25.39% of total assets under management.
Performance and Risk
Year-to-date, the Invesco S&P MidCap 400 GARP ETF has gained about 6.32% so far, and is down about -1.2% over the last 12 months (as of 11/13/2025). GRPM has traded between $90.38 $126.41 in this past 52-week period.
GRPM has a beta of 1.12 and standard deviation of 21.11% for the trailing three-year period. With about 60 holdings, it effectively diversifies company-specific risk .
Alternatives
Invesco S&P MidCap 400 GARP ETF is a reasonable option for investors seeking to outperform the Style Box - Mid Cap Blend segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard Mid-Cap ETF (VO) tracks CRSP US Mid Cap Index and the iShares Core S&P Mid-Cap ETF (IJH) tracks S&P MidCap 400 Index. Vanguard Mid-Cap ETF has $89.55 billion in assets, iShares Core S&P Mid-Cap ETF has $100.47 billion. VO has an expense ratio of 0.04% and IJH changes 0.05%.
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 - Mid Cap Blend
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.