Looking for broad exposure to the Large Cap Blend segment of the US equity market? You should consider the iShares MSCI USA Min Vol Factor ETF (USMV Quick QuoteUSMV - Free Report) , a passively managed exchange traded fund launched on October 18, 2011.

The fund is sponsored by Blackrock. It has amassed assets over $22.66 billion, making it one of the largest ETFs attempting to match the Large Cap Blend segment of the US equity market.

Why Large Cap Blend

Companies that find themselves in the large cap category typically have a market capitalization above $10 billion. They tend to be stable companies with predictable cash flows and are usually less volatile than mid and small cap companies.

Blend ETFs are aptly named, since they tend to hold a mix of growth and value stocks, as well as show characteristics of both kinds of equities.

Costs

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.

Annual operating expenses for this ETF are 0.15%, making it one of the cheaper products in the space.

It has a 12-month trailing dividend yield of 1.58%.

Sector Exposure and Top Holdings

It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.

This ETF has heaviest allocation to the Information Technology sector -- about 28.2% of the portfolio. Financials and Healthcare round out the top three.

Looking at individual holdings, Duke Energy Corp (DUK) accounts for about 1.55% of total assets, followed by Verizon Communications Inc (VZ) and Exxon Mobil Corp (XOM).

The top 10 holdings account for about 15.17% of total assets under management.

Performance and Risk

USMV seeks to match the performance of the MSCI USA Minimum Volatility Index before fees and expenses. The MSCI USA Minimum Volatility (USD) Index is composed of U.S. equities that, in the aggregate, have lower volatility characteristics relative to the broader U.S. equity market.

The ETF has lost about 0.52% so far this year and is up roughly 2.03% in the last one year (as of 03/20/2026). In the past 52-week period, it has traded between $85.42 and $97.81.

The ETF has a beta of 0.69 and standard deviation of 10.19% for the trailing three-year period, making it a medium risk choice in the space. With about 175 holdings, it effectively diversifies company-specific risk.

Alternatives

iShares MSCI USA Min Vol Factor ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, USMV is a great option for investors seeking exposure to the Style Box - Large Cap Blend segment of the market. There are other additional ETFs in the space that investors could consider as well.

The iShares Core S&P 500 ETF (IVV) and the Vanguard 500 Index Fund ETF Shares (VOO) track a similar index. While iShares Core S&P 500 ETF has $664.97 billion in assets, Vanguard 500 Index Fund ETF Shares has $839.04 billion. IVV has an expense ratio of 0.03% and VOO charges 0.03%.

Bottom-Line

Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.

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.