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Is Invesco RAFI US 1000 ETF (PRF) a Strong ETF Right Now?
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The Invesco RAFI US 1000 ETF (PRF - Free Report) was launched on 12/19/2005, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Large Cap Value 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.
A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns.
If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
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
The fund is managed by Invesco. PRF has been able to amass assets over $9.96 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. Before fees and expenses, PRF seeks to match the performance of the FTSE RAFI US 1000 Index.
The RAFI Fundamental Select US 1000 Index tracks the performance of the largest US equities, selected based on the following four fundamental measures of firm size: book value, cash flow, sales and dividends.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
Annual operating expenses for PRF are 0.34%, which makes it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 1.34%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure which minimizes single stock risk, it is still important to look into a fund's holdings before investing. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
For PRF, it has heaviest allocation in the Information Technology sector --about 21% of the portfolio --while Financials and Healthcare round out the top three.
Looking at individual holdings, Apple Inc (AAPL) accounts for about 4.38% of total assets, followed by Alphabet Inc (GOOGL) and Microsoft Corp (MSFT).
Its top 10 holdings account for approximately 22.72% of PRF's total assets under management.
Performance and Risk
The ETF has gained about 18.93% and was up about 24.21% so far this year and in the past one year (as of 09/21/2026), respectively. PRF has traded between $44.13 and $56.54 during this last 52-week period.
PRF has a beta of 0.87 and standard deviation of 12.88% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 999 holdings, it effectively diversifies company-specific risk .
Alternatives
Invesco RAFI US 1000 ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.
Schwab U.S. Dividend Equity ETF (SCHD) tracks Dow Jones U.S. Dividend 100 Index and the Vanguard Morningstar Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. Schwab U.S. Dividend Equity ETF has $109.9 billion in assets, Vanguard Morningstar Value ETF has $189.11 billion. SCHD has an expense ratio of 0.06% and VTV changes 0.03%.
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 - Large Cap Value
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 Invesco RAFI US 1000 ETF (PRF) a Strong ETF Right Now?
The Invesco RAFI US 1000 ETF (PRF - Free Report) was launched on 12/19/2005, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Large Cap Value 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.
A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns.
If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
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
The fund is managed by Invesco. PRF has been able to amass assets over $9.96 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. Before fees and expenses, PRF seeks to match the performance of the FTSE RAFI US 1000 Index.
The RAFI Fundamental Select US 1000 Index tracks the performance of the largest US equities, selected based on the following four fundamental measures of firm size: book value, cash flow, sales and dividends.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
Annual operating expenses for PRF are 0.34%, which makes it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 1.34%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure which minimizes single stock risk, it is still important to look into a fund's holdings before investing. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
For PRF, it has heaviest allocation in the Information Technology sector --about 21% of the portfolio --while Financials and Healthcare round out the top three.
Looking at individual holdings, Apple Inc (AAPL) accounts for about 4.38% of total assets, followed by Alphabet Inc (GOOGL) and Microsoft Corp (MSFT).
Its top 10 holdings account for approximately 22.72% of PRF's total assets under management.
Performance and Risk
The ETF has gained about 18.93% and was up about 24.21% so far this year and in the past one year (as of 09/21/2026), respectively. PRF has traded between $44.13 and $56.54 during this last 52-week period.
PRF has a beta of 0.87 and standard deviation of 12.88% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 999 holdings, it effectively diversifies company-specific risk .
Alternatives
Invesco RAFI US 1000 ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.
Schwab U.S. Dividend Equity ETF (SCHD) tracks Dow Jones U.S. Dividend 100 Index and the Vanguard Morningstar Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. Schwab U.S. Dividend Equity ETF has $109.9 billion in assets, Vanguard Morningstar Value ETF has $189.11 billion. SCHD has an expense ratio of 0.06% and VTV changes 0.03%.
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 - Large Cap Value
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.